They’re very much not. They have high valuations, but very few employees. Very different to the banks (where the public would lose money) and the car firms (who employed large numbers of workers)
Not current accounts which was what was at risk in 2008. When the bank goes bust you don’t just lose money. You become unable to do anything financial, like get paid.
Does this mean we’ll all be bag holders when the AI bubble bursts?
We are already holding the bag.
They are “too big to fail”
They’re very much not. They have high valuations, but very few employees. Very different to the banks (where the public would lose money) and the car firms (who employed large numbers of workers)
Guess where the publics money is invested?
Pensions and other investments, yes.
Not current accounts which was what was at risk in 2008. When the bank goes bust you don’t just lose money. You become unable to do anything financial, like get paid.
We didn’t just bail the banks in 2008.
Now do the US Auto Makers.
Who are still making terrible decisions
Read the thread. Already did that.
How? The government doesn’t plan to compensate the companies.
The point being, if the public owns half of the company but the company is failing, now the public has acquired 50% liability of a dying business.
Like others said though, I’m sure taxpayers will be on the hook either way.
Do these companies have liabilities?