“A capitalist system that privatizes profits in good times and socializes losses in bad times needs some fixes.“
Milton Friedman
“Wealth consists not in having great possessions, but in having few wants.“
Epictetus
“A capitalist system that privatizes profits in good times and socializes losses in bad times needs some fixes.“
Milton Friedman
“Wealth consists not in having great possessions, but in having few wants.“
Epictetus
Comments
2 responses to “Two Thoughts on the Economy”
Don’t know if this is what you had in mind, but the first sentence of an article in yesterday’s New York Times fits the bill: “President Obama said Thursday the U.S. government has forged a broad bankruptcy deal for Chrysler, which includes the Treasury Department loaning the struggling automaker up to $8 billion as it merges with Fiat.” I get the sense that somehow, somewhere in the midst of all the socialized losses, there are still profits being privatized…
There certainly are… as we see with the news that US banks have increased the amount of money they have on deposit at the Fed from $1.8bn last year to $804bn this. So just as Obama pumps $780bn into the economy with his stimulus package, the banks were out putting it into interest-bearing accounts at the Fed. [HT Prospect Magazine] Unbelievable.