I support the sentiments of previous posters that "too big to fail" is a non-sequitur. It simply means "too big." Our anti-trust laws seem to have failed us, if they have allowed automotive manufacturers to grow so large they can extort ransom from our treasury under the threat of mass unemployment. How is "pay the ransom if you want to see your daughter alive" any different from "give us $25 billion or we'll put millions of people out of work"? If GM has been too blind to read the handwriting on the wall regarding peak oil, and has continued to produce heavy, expensive gas-guzzlers, then perhaps they deserve to fail, or at least to be severely down-sized.
Why not provide the *citizens* a safety net of enhanced unemployment insurance coverage and a re-training allowance for the workers (NOT the high-paid executives), along with consideration for mortgages held by the affected workers. Then, let the corporation succeed or fail on its own merits, and stand firm against demands to have the public shoulder losses while executives reap bonuses.
The idea that profits should be privatized, while losses become a public liability is ridiculous.
posted 4 years, 6 months ago
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