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Peter Schiff - Property Rights Take a Hit



June 12, 2009 – Comments (4)

“Crony capitalism” is a term often applied to foreign nations where government interference circumvents market forces. The practice is widely associated with tin-pot dictators and second-rate economies. In such a system, support for the ruling regime is the best and only path to economic success. Who you know supersedes what you know, and favoritism trumps the rule of law. Unfortunately, this week’s events demonstrate that the phrase now more aptly describes our own country.

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4 Comments – Post Your Own

#1) On June 12, 2009 at 2:25 PM, devoish (68.16) wrote:

I believe theSupreme Court, not the Obama administration, voted 9-0 to approve the sale of Chrysler to Fiat.

The Indiana Pension fund took a foolish risk buying those bonds 3 months ago with the guarantee of bankruptcy looming. Especially based upon the assurances of the bankrupt companies representatives.

Perhaps the fund would do better if they auctioned off the factorys. I am sure Ford, GM, Toyota, Nissan, would buy them. They could combine them with their own closed factories and corner the market on worthless automobile manufacturing plants. They should be thankful they are getting pennies back.

I had a real estate agent assure me that real estate always goes up. Once. The second time, I fired her.

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#2) On June 13, 2009 at 11:58 AM, HooDaHeckNose (74.89) wrote:

We really need a way to rec comments. I used to love Peter Schiff, now I just think he's another right wing nutbag.

Rec for you Devoish

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#3) On June 13, 2009 at 12:11 PM, BradAllenton (31.80) wrote:

I'm usually with Schiff, but this one is BS plain and simple.

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#4) On June 13, 2009 at 12:16 PM, jegr5347 (< 20) wrote:

Someone explain to me how the union and its pension fund became a majority shareholder of reorganized company. How was a pension fund liability more senior to secured debt. This is another tactic by the dems to secure the union votes indefinitely.

Ask yourself this question, if the new Chrysler runs into trouble and needs to make a capital call to its shareholders, I assume that the Union will pony up the majority of the infusion in its capacity as majority shareholder... right? Who will invest/lend to these companies in the future knowing that their share will be gifted to the union in bankruptcy.


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