[lbo-talk] Socialism ascendant?

Miles Jackson cqmv at pdx.edu
Wed Sep 17 21:32:11 PDT 2008


From the NYT on the AIG bailout, yesterday:

Under the plan, the Fed will make a two-year loan to A.I.G. of up to $85 billion and, in return, will receive warrants that can be converted into common stock giving the government nearly 80 percent ownership of the insurer, if the existing shareholders approve. All of the company’s assets are being pledged to secure the loan.

Is this how socialism happens: not with a revolution but with--government bailouts? (--And this from the "free markets will solve everything" crowd? Yeah, I'm indulging in a little schadenfreude.)

Miles



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