Apr 4, 2023 18:08
1 yr ago
38 viewers *
English term

Gearing of income streams

English Bus/Financial Business/Commerce (general) Business
For many years, particularly since 2008, much of the wealth that was created did not result from economic growth. Instead, it was a by-product of declining capital costs which fueled the ***gearing of existing income streams***. This is readily observed in the all-time high global corporate profit margins that were achieved in the late-2010s amid the weakest business cycle in over a century was. While profit levels have been high, their quality has been poor.

Thank you!

Discussion

Luis M. Sosa Apr 5, 2023:
Agree with Ice Scream. A phenomenon at the corp. level, at some point similar to leveraging.
Christopher Schröder Apr 5, 2023:
Is it just trying to say everyone was borrowing more relative to their income?

Responses

+2
13 hrs
Selected

Optimization of ways to make money

Gearing here could be meant in the sense of "fine-tuning," perfecting, achieving effective operation (see sense 2b in reference).

The sentence would then mean that due to reduced financial impositions on capital gains (= making money through money), there was a re-tooling/optimization of existing ways to make money so that they resulted in even greater incomes and thereby profits, rather than innovation/development (= making money through products, goods, services).
Peer comment(s):

agree AllegroTrans : This makes sense
9 hrs
Thank you!
agree Anastasia Kalantzi
1 day 14 hrs
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4 KudoZ points awarded for this answer. Comment: "Thank you!"
-2
2 hrs

Makeshift income sources


For many years, particularly since 2008, much of the wealth made has not been bound to economic growth, but it has been wrought by the plunge of bearish capital market indexes leading to makeshift income sources. The late 2010s, all time high global corporate profit margins are eloquent, as the business cycle was volatile and at an all time low in over a century.

Peer comment(s):

disagree AllegroTrans : Your explanation merely repeats asker's own text and your answer doesn't make much sense. I don't think you are a native English speaker as claimed in your profile. This is misleading.
2 hrs
disagree Christopher Schröder : Makes little sense to me
10 hrs
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