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TARP? GM? AIG? It seems like private organizations under a certain size threshold have the ability to fail if someone else can do the same job better and cheape
by nroach 12y ago
TARP? GM? AIG? It seems like private organizations under a certain size threshold have the ability to fail if someone else can do the same job better and cheaper. Beyond a certain size, they are indistinguishable from government.
- seanflyon 12y agoYou have a valid point (although your examples not failing was the results of public action, not the private market). I think there is a trade off between economies of scale and "too big to fail". There is some size that is still too small to hide colossal mistakes, but big enough to streamline its processes.