QE Backfires Amid Dividend Quest

Analyst argues investors’ thirst for dividends and buybacks threatens business investment.

Worldwide quantitative easing may be making investors richer rather than encouraging business investment, according to Citigroup Inc.

Fulfilling the goals of central bankers such as Federal Reserve Chairman Ben S. Bernanke, ultra-low interest rates and bond purchases are encouraging investors to buy stocks. Policy makers’ intent was that asset prices and wealth would rise, encouraging consumers and businesses to spend more.

GE touts 'Industrial Internet'

The world economy could get a boost of as much as $15 trillion, equivalent to the size of U.S. gross domestic product, if companies embrace something General Electric Co. calls the “Industrial Internet.”

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