"Jim Devine" <jdevine03 supposedly, capitalism is morally justified by the fact that capitalists take risks. But then the taxpayers bail out the capitalists when things go bad. It's business as usual: privatization of benefits and socialization of risks and losses. It's the same idea as with limited-liability corporations: if you (the stock-holder) mess up, you're not held fully responsible.
^^^^^ CB: Yea, that bailouts retroactively make the risks fake is one of my pet peeves. I recall debating this with David S. here a while back. I believe he raised risk as the justification for charging interest on loans ? That giant hedge fund bailout raised the same issue. I believe it was Raghu and I who proposed bailing out the sub-prime mortgagors instead of the mortgagees. The mortgagors could then pay off the mortgagees or note-holders, and the later would get the money, the former the houses and everybody would be happy ( smile). _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
