People are up in arms today because AIG, a company that was bailed out with taxpayer money, paid $165 million in bonuses. Should people angry? Sure, why not. The only problem is those people who are angry are basically the ones responsible.
The fact of the matter is AIG should no longer be a company. They should be out of business. Those same people that are furious with this company are mostly the ones who bought into the hysteria that the politicians fed them. What would we do without AIG? The economy would cease to exist. Well, let this be a lesson to people. When you give businesses that have been completely mismanaged billions of dollars... they are going to mismanage that money. What would possess them to get their act together? There is no longer a fear of failure for them. They have already failed, and they were saved.
So when you continue to read about AIG and other companies that were bailed out, which will undoubetdly make poor decisions in the future, just remember that if we had stood up to the fear mongering, these companies would no longer exist. They would be where they should be. Out of business. And believe it or not, the economy would survive. Sure there would be a downturn for awhile but we could come out of it stronger. Businesses led by smart people would step in and take the place of those that had failed. But those days of responsibility, for now, are gone. Remember this when the next bailout comes along.
52 minutes ago
Amen bro!
ReplyDeleteYou read about the bonuses and other 'abuses' of tax dollars, and the gut instinct is to get mad and demand they spend the money a certain way.
But that isn't the right reaction. The government doesn't belong in the board room.
The correct response (as you point out) is to just not give them money.
Don't give money to your drug addicted brother and expect him to not spend it on drugs. :)