So you are saying that in-house production go reduced and there are a bunch of tasks that got outsourced to subcontractors. Well that is sort of what mainstream economics prescribes. And yeah that is sort of structure similarly to a pyramid scheme.
>I think it works sort of like this. Investors give money in the hopes that the company will grow, and in response, the company pretends to grow by doing more meaningless labor, social media crap and outreach programs. Seeing this growth, this prompts more investment which means more profit which means that in a sense, the artificial growth became actual growth in profit.
Well i don't quite follow how this is supposed to work, they can't just declare investment as profit.