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Originally Posted by CamaroSkooter
I don't get why a government is bailing out any company, regardless of what it does. If a company is hemorrhaging money because of poor management, why should the government help them? It just doesn't make sense to me. I always thought our government was built to encourage competition, not bad managment practices...  |
Hemorrhaging money due to bad management isn't a valid reason for government intervention. However, thats not the reason for issuing loans to automakers during the economic crisis. Well ... unless you want to define 'bad management' as being unable to cope with any and every possible contingency.
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Originally Posted by 8cd03gro
That article is very vague, but it sounds like a loan, not the free money bail out junk.
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Quote:
Originally Posted by 8cd03gro
GM got a hell of a lot more than a loan. Old GM DID receive loans, but they failed anyway.
Acting as a lender of last resort is an essential duty of any central bank. IMO, that's not a good thing, but it's not abnormal.
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Are you saying that GM was given 'free money', or were those comments directed towards others?