Replies to This Discussion

Permalink Reply by Antsu-in-Japan on November 24, 2008 at 5:14

Actually, I think we should let them crash and burn...and then force them to pick their own selves up from the ashes. The same companies that we are bailing out have made it a point to not help us in times of need. We don't pay our car note and our car gets repossessed. Home loan from the bank getting too far behind? You'll be out on the street before you can count to two!! What about getting some of this 'bonus' money back from CEOs who walk out on ill-performing companies?? Oh yeah... are the credit ratings for these companies (that obviously need refresher courses in business) going to be 'blackened' for the next 7-10 years...?

Now that they are having problems, we're supposed to use tax money to help them start over? Not fair, not healthy and definitely not GOOD BUSINESS. Let them learn from their mistakes in the same manner we ordinary citizens have to. Our country is making it too easy for them; they will learn nothing from these rescues. Many people gripe about helping ordinary people in need with public money because it stinks of socialism. Well, what the heck is it called when you use this same money to help float these so-called COMPETITIVE companies that are now financially vulnerable? UNBELIEVABLE!

Permalink Reply by Antsu-in-Japan on November 24, 2008 at 5:51

My money (and I'd assume that of most Japanese citizens and/or businesses) is not in Citi accounts. Not sure of the connection between citi and the larger Japanese banks such as Mitsui-Sumitomo. (You might as well forecast Citi failing here, as Japanese business relies heavily...very heavily...on TRUST. That has, indeed, been broken. You can bet that Japanese companies and people will be removing their money from American banks with branches in Japan that are not FDIC insured and putting their money in banks that do insure them. It will be a loooooong time before Citi and possibly other foreign banks regain Japanese trust here!!)

As for angry Japanese, you are right. But they aren't pushing for government to step in and bail out the economy (we've been promised $ to each household to help perk up spending here). Most Japanese are angry because they do not NEED the money nor do they WANT it. They do not want Prime Minister Aso to follow blindly in the footsteps of the US economy and its 'rescue' attempts. I applaud them for that! I feel the same. There are much better uses for our money.

As for my first post, there is no change! Let them fail.

Permalink Reply by The_Baron on November 24, 2008 at 6:01

My question isn't should a bailout occur.

My question is: If they are to big to fail, should they be broken up?

We did it to Ma Bell. (not for the same reasons though, just an example that shows the govenment could break up a large corporation for the public good)