03-30-2020, 11:28 AM
(03-28-2020, 10:34 AM)Crazyjdawg Wrote: If a corporation were to be allowed to fail, them, their product, their warehouses and their market share wouldn't magically disappear.
They'd go bankrupt, competitors/ new companies would buy out their assets and expand into the void in the market the incompetent corporations left.
(03-28-2020, 10:56 AM)Millhouse Wrote: I wasn't even a fan of the banks bailout back in 08', because the whole housing crash was due to massive fraudulence by the big banks that saw trillions vanish almost overnight. And then they get bailed out without the law coming down on.
The problem with letting a US corporation fail is that a foreign corporation might replace it. That is exactly what would have happened with the auto industry in '08. There was no way any other US auto company could have started up at that time because the lending institutions required to finance a new auto company were on the verge of banruptcy also. No body had enough money to start a new auto company that could have competed with the Japanese and European auto companies. It takes much more money to start a new company than to keep an established one running.
I hate corporate bailouts, but some times they are necessary. What pisses me off is that these corporations demand that they receive the money with no restrictions or new regulations. In my opinion any corporation that requires a "bailout" should be in some sort of supervised receivership until it is back in the black and new regulations should be promulgated to prevent it happening in the future.
