Roscat

Jim Rogers: It's Better To Let Financials Fail

I think Jim Rogers has good points. The failures in the financial services system should be exposed by allowing the companies to go bankrupt.

It seems to me that the government is looking to replace the bankruptcy courts when the best job is instead done by filing Chapter 11, re-org.

For the government plan to work, the values of the bubbled assets need to be revived. Does that mean 10, 20, 30 years? Surely the same government will not even be around by that time to realize that this choice was not feasible.

Unfortunately, most us will be around and we will only have us to blame if we don't ask for these companies to go bankrupt now. Take the medicine now - it tastes bad, but the downside if it's not taken, is that the virus could mutate in a worse shape.

Fixing the Economic Crisis in Six Easy Steps

You must be joking.

Nationalizing will do nothing to the taxpayers but increase their burden. That includes you too.

So, I sold my shares in BAC and C so you can force them down my throat by purchasing them through the government and then lose even more money because they are insolvent? Let me just say that I don't subscribe to that point of view.

There are old and very good bankruptcy laws that are very alive and well. They were invented in Capitalism. Use them wisely. Take example from Saab.

Regards.

Too Big to Bail: Lehman Brothers Is the Model for Fixing the Zombie Banks

Excellent article. Bankruptcy is meaningful.