[LMB] Money, WGW

WalterStuartBushell proto at panix.com
Fri Nov 20 17:39:54 GMT 2020


> 
> Looking forward to the equivalent of Adam Smiths' arrival....


His critique of corporations is vastly needed.

Basically corporations allow for personal profit without
personal responsibility.

Basically a corporation gives limited liability limited to the value
of the corporation or the value of your investment in it. Entities
owning have no responsibility beyond that.  

This encourages risky behavior on the part of the executives of corporations,
because in large part they are playing with house money and the executives
may not have a major part of their assets invested in the corporation.


Loyds of London supported many upper crust types for generation,
until they didn’t and the names lost everything and LoL went bankrupt.

For example, Corporation A creates a subsidiary B to open and run
a mine. When the mine becomes unprofitable B declares bankruptcy
and somehow the money set aside for remediation is usually inadequate, ,
the area to be remediated with tax payer money or be left unmediated.
The value of the destruction may exceed the value of the extracted resource.

We need stricter limits on corporations and probably should abolish them
altogether, perhaps replacing with partnerships with the general partners having
substantial resources.
—
Alfred Adler—“Do the wrong thing or feel guilty, but not both.”



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