Wait until you hear about the multi decade honey and garlic trade war.

https://www.beeculture.com/catch-the-buzz-tariffs-on-chinese-products-aid-us-garlic-and-honey-producers/

You realize if you buy $50,000,000 of Apple shares Apple doesn't receive any money, right?

Let’s take the top 10%, 3,000,000 and give you a liquid stock universe of 10,000 companies. 10,000 / 3,000,000 is 0.33%.

You realize that only like 5,000 companies are publicly traded on the Nasdaq and NYSE right? That pension money can't go to the mom and pop diner down the road because no mechanism exists for it to do so.

You don't just get money funneled into your company because you were chosen to be part of an ETF lol

You'd have to do share offerings to raise capital, and repeatedly doing that is a surefire way to NOT be included in ETF's in the first place.

You have a serious misunderstanding of the financial instruments you are talking so confidently about.

It only goes to the company if they issue a share offering to the public.

ETFs are not generally comprised of companies constantly doing share offerings.

The vast majority of companies that OP was referring to do not need to sell shares to raise capital.

OP has made VERY specific claims about the function of financial instruments that are objectively incorrect.

I agree overall, there are some companies that are too big to fail and they operate in detrimental ways to their respective industries because they know that.

But the mechanics OP is describing are not correct.

the government is very likely to intervene because if they don’t, many retirements would be affected due to the loss in value.

The government doesn't give a shit about your retirement funds, and most pensions aren't going to collapse because a single company does poorly.