Capitalism takes it up the ***

[Proactive]

So what do you really think of the US goverment investing in the private industry sector? Laissez-faire nolonger?
pro

[lonewolf07]

Formerly known as "Creeping Trotskyism"  = )

[margypops]

Yup, here we go ,Socialism .

[lonewolf07]

I am a socialist and see no reason for the government not to get involved in the private sector - within limits.  I hope that if you respond you will address the issue and not the fact that I'm a lefty - even us flaming pinkos like to hear the opinins of others  = )

PS:  Manulife here in Canada is seriously considering "intervening" in AIG.  Don't know exactly what that means but AIG and Manulife are/were connected.

[Proactive]

"There is no reason why the government cannot be an investor. It has significant holdings in four major airlines, among other things."
Gosh SC, and that sure worked out well, I think you've proven my point already. I see this as a clear step towards socialism, pure market manipulation (isn't that illegal?) and the destructure of free financial market fundementals, nationized banking as well as a move to -in a sense, privatize social security (ie investing in the private sector)..just to name a few..Investing your future in high risk vetures..next they'll be buying pennystocks with part of your retirement....No thanks,,,,
Now that isn't to say I haven't been slowly filling my boat with JPM, the old saying don't fight the fed (PPT, "plunge protection team(g))----errrr, world banking system comes to mind...but the term diversification also comes to mind...I don't want a country to dictate how I attain some of my diversification though..
I'll stay away from the subject of bailing out individual mortgage borrows, now that really pisses mye off...;^)
just my thoughts

[swampcritter]

There is no reason why the government cannot be an investor. It has significant holdings in four major airlines, among other things. Also, the AIG loan gave the government ownership of that company.

But it is important that the holdings be non-political. This means it must be non-voting stock and the government's exposure must be limited. As well, the people responsible for making an investment decision in a bank must be completely separate from the FDIC and regulatory arms. Also, the government should be permitted to compel the institution to buy back the stock.