PPRuNe Forums - View Single Post - Trump urges Congress to provide $25 billion bailout for U.S. airlines
Old 12th Oct 2020, 21:01
  #36 (permalink)  
Torquetalk
 
Join Date: Jan 2006
Location: EU
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Sqwak7700

It was surely a lack of regulation that allowed lending to spiral out of control and cause the 2008 crash. Leveraging takeover, new borrowing, asset break-up deals are all dysfunctional elements of a free market that has nout to do with the government. The only thing the government did was not nearly enough to head off an inevitable bust. Did Greenspan act on his mentioned disquiet over several years? Nope. It was big time pyramid growth and everyone was loving it.

Go back to the crash of 1929. Was that the government fiscal or monetary policy that caused it? Nope. Was it government programmes that fired the engine again? Sure was.

Will private investers and the seriously rich be restarting the economies with their money and at their own risk? Nope.

Will it be government intervention, done well or badly, which will rescue the day, just as in the 30s post WW2, post 2008 and in the next few years? You bet. Or you better had.

Maybe you have to let some greedy, poor employers and poor service providers fall, but leave the industry to the free market and we are all finished.

There is no logical reason to think that there will be realigning of the market in a healthy way if you allow it to collapse. We all know that it is Ryan Air or Wizz or any other number of other ****ty low cost carriers which will emerge, Are they good for the industry?

Last edited by Torquetalk; 12th Oct 2020 at 21:20.
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