[dv_dt]

Instead of viewing the problem as "bailing out", maybe it should be viewed at mitigated and fixed - because a system that people rely upon, one that needs to work, should be kept working - there are no better alternatives.

With private companies, everyone else is often left holding the bag - esp e.g. with mining and drilling companies. But with private corruption companies too - the bankruptcy of the company typically involves all of those being owed money taking a hit if not losing their money completely.

[kortilla]

> owed money taking a hit if not losing their money completely.

You mention that as if it’s a bad thing? Wiping out bad investments is one of the major tenets of free market approaches. It’s the negative feedback loop for bad investments.

If something is unsustainable, it should go out of business and the investors should take a loss.

[silexia]

I agree with the grandparent. Externalities should be born by the company making the profits.

Example: imagine an oil company that can pump toxic fluids into the ground in order to cheaply extract lots of oil. Those toxic fluids render miles of ground as wasteland far into the future. The owners of the company should not be allowed to take the profits now, then allow the company to go bankrupt so they don't have to pay back and repair the damage they did.

The limited liability company should be eliminated as it encourages terrible behaviors.

[kortilla]

> I agree with the grandparent. Externalities should be born by the company making the profits.

You ignored what I wrote. Wiping out investors is making externalities born by the company.

My statement has nothing to do with externalities. It’s about investors being on the hook a good thing.

The grandparent implied that poor investors lose their money on one hand and complain about externalities going to public on the other, which makes no sense. Holding companies, and subsequently shareholders, accountable for all of the company liabilities is the capitalist way.

[dv_dt]

For things that are private goods, it's fine to have a process of elimination - but only if that elimination doesn't leave even more public obligations to clean up (like pollution).

However the post office is a public good, so just letting it disappear is something that needs to be prefaced by an actual public discussion to do so.

[kortilla]

> just letting it disappear is something that needs to be prefaced by an actual public discussion to do so.

Not really. Budgeted government programs can’t continue to exist without money. They are default dying without top-ups.