Re:France could nationalize big companies if necessary: fina...
by adventured on Tuesday March 17, 2020 @02:21PM
(#22608238)
I generally agree, and I'm very much in favor of market based economies. There is nothing wrong with France doing what is necessary toward production, during such an extreme event.
The US extending massive credit to businesses, bailing out the airlines (coming), bailing out Boeing (coming), and the 407 other bailouts yet to come, are all variations of immense state intervention into the economy, due to a force of nature event. They're also necessary, as the alternative is a much harder reboot with dramatically more damage. You can let a few companies fail in a normal recession, if we let everything go here, the unnecessary economic damage will be measured in the $10 trillion type range. And some of it we may never get back (eg letting Boeing fall down now, they might never get back up, given China is absolutely coming online in the next 10-20 years with competitive planes).
The US extending massive credit to businesses, bailing out the airlines (coming), bailing out Boeing (coming), and the 407 other bailouts yet to come, are all variations of immense state intervention into the economy, due to a force of nature event. They're also necessary, as the alternative is a much harder reboot with dramatically more damage. You can let a few companies fail in a normal recession, if we let everything go here, the unnecessary economic damage will be measured in the $10 trillion type range. And some of it we may never get back (eg letting Boeing fall down now, they might never get back up, given China is absolutely coming online in the next 10-20 years with competitive planes).