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by arethuza 4151 days ago
"to eat the losses"

We already had to eat the losses of our own banks - look at the epic bail-out of RBS here in the UK.

1 comments

UK.gov will turn a profit on RBS. RBS is not a loss.
Getting the government to bail out your failing business? Sounds like a big win for the business.

*Note. I don't know the details of the RBS issue in the UK. Just commenting on a simple interpretation.

If a business wins, is it then implied that the government must lose?
Depends on quite a lot of details. But just by itself? Of course not. Though I wouldn't say it's the pinnacle of a voluntary transaction on both sides.

I'd also say that other business lose, in an indirect way. As well as the individuals that are now lured into transacting with a business that has failed or is more likely to fail in the future due to past performance.