4 ms·
actually, the corporate nanny state will just bail them out. See: Long Term Captial Management, S&L crisis/Continental Illinois under Reagan/Bush Sr, 2008 crisi
by f00_ 9y ago
actually, the corporate nanny state will just bail them out. See: Long Term Captial Management, S&L crisis/Continental Illinois under Reagan/Bush Sr, 2008 crisis
They have an implicit subsidy, Too Big To Fail: access to cheap credit because creditors know the nanny state will bail them out.
Why don't we call it welfare when we give money to the rich? Capitalism for the poor, socialism for the rich. We don't need market discipline, but YOU do
- stevenmays 9y agoThe corporate nanny state is more then willing to let individual firms collapse (bear stearns). Your examples were a systemic risk, if those organizations collapsed there was going to be a lot of collateral damage.
- f00_ 9y agothey could of nationalized the banks, but no instead they just give them handouts but yeah, I wonder why they didn't decide to save bear stearns, maybe it collapsed and that was the reason they decided to save the rest best source about the 2008 crisis? I really like noam chomsky and michael lewis' work
- junkscience2017 9y agoHussmans scenario is far worse than 2008...more like the Great Depression x2 we basically don't know what would happen, but it's safe to say the rich might not be assured of a safe bearish trading market in a civil society