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A comment on Volkswagen overtakes Toyota as the world's biggest carmaker. Parent comment

Re:Volkswagen overtakes Toyota as the world's biggest carmaker by kartan on Monday January 30, 2017 @10:23PM (#13527275)
> As a listed company you would be taking away many peoples jobs and savings who are innocent parties in this.

1. Nationalize part of the company hurting investors. 2. Auction the shares to the market 3. Profit$

This way a "too big to fail" company can continue running its business as usual while punishing the value of the company. That doesn't means that personal responsibilities are forgiven, any one that breaks the law should be prosecuted.

There are probably a lot of other solutions, the problem is that economics is not about economy but about politics.

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Re:Volkswagen overtakes Toyota as the world's biggest carmaker by matt4077 on Monday January 30, 2017 @11:58PM (#13527795)
That is fundamentally not different from a fine, which is ultimately also paid completely by the investors.
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Re:Volkswagen overtakes Toyota as the world's biggest carmaker by antivw on Tuesday January 31, 2017 @12:15PM (#13532690)
It is fundamentally different, because it targets equity, not operating capital.

Fines can be mitigated by raising prices so that equity-holders shift pain to consumers. Stripping equity on the other hand means that you change who profits from sales.

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Re:Volkswagen overtakes Toyota as the world's biggest carmaker by tremon on Tuesday January 31, 2017 @07:59AM (#13530122)
Yes, it is completely different, because the nationalization step strips the original investors from all power.
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Re:Volkswagen overtakes Toyota as the world's biggest carmaker by matt4077 on Tuesday January 31, 2017 @10:24AM (#13531264)
It only strips them of money, if they're willing to use money to buy the stock again in the auction.
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