Questions/Answers
Would the nationalization ofan industry be much more thana short term fix?
USA is a capitalist economy. The US Post Office isn't the only way to send a package. Public schools aren't the only choice for education. If the gov't buys up an industry, competitor s will always emerge. What are your thoughts?
Competition will always occur if there is capitalism and there is a private sector even when government buys an industry.
What is the difference betweenreceivership, conservatorship,and nationalization?
Which form of government regulation is the US using with the banks it took over?
A conservatorship is any appointment of a person to manage the affairs of another person or corporation. A receivership is one kind of conservatorship. It's when a court or statute provides for the appointment of someone to manage the affairs of a corporation. Usually the corporation is in financial distress. Most U.S. railroads, for example, were placed in receivership in the early 1900s, when the automobile first began to take people from the trains and put them onto the roads. A receiver or conservator does not own the corporation under his or her control. He or she is a fiduciary; this means that the receiver or conservator is obligated to manage the affairs of the corporation with utmost care for the interests of the true owners--who would be the shareholders, in the case of a corporation. Nationalization has nothing to do with receivership or ownership. Nationalization is when the government owns 100% of a corporation--every single share. The government neither placed the banks in receivership nor nationalized them. The government provided loans to most banks. Loaning money is not a form of nationalization or receivership. In some cases, the government bought shares of banks, which means it has partial ownership. But because the government owns no controlling interest in the banks--i.e., it does not own more than 50% of the stock--the government cannot be said to have "nationalized" the banks.
Will we see thenationalization of some USbanks and financialinstitutions?
I am not asking if you agree with this or not. I am wondering if you think it will actually happen. Will it?
Where you been, this happened all of last year and become public in September. The US have bought stock in banks, loaned out emergency funds and given bailout money.
Is Obama trying to force adepression or nationalizationof our industries?
Never in American history did the American people allow the Federal government more power than they did during the depression. Are the American people going to allow Obama to buy up more industries with unsecured money? This causes the dollar to drop in value(depression)and the fed owns all the industries. Either way he goes he owns the country.....
Today Americans are rolling over already lubed. They really don't understand the freedoms our forefathers fought for. It's social engineering at it's finest and all the rest of us can do is watch it crash and burn. A sad time in American history.
The risk of nationalization ofassets is an importantinternational investment risk.What is it?
In terms of a business' foreign investments, the nationalization of assets represent one type of macro political risk that multinational corporations face. This would arise in situations where a country's political agenda causes it to acquire a private foreign asset despite the foreign company's wishes. In most situations, foreign companies do not wish to turn their operations and assets over to the government, but often have little choice in the matter. Furthermore, it is also likely that in certain countries, foreign businesses will not receive adequate compensation to cover the cost of the expropriated assets. Obviously, this is a serious financial drain for companies, as losing assets that operations will definitely hurt its bottom line. Unfortunately, recourse for the foreign company is limited, as it could be difficult to convince the host country's legal system that the government has committed any wrong doing. For example, foreign companies lost millions after Communism took hold in Cuba during the late 1950s. In that case, the Castro government did not offer any compensation and even today and to date, none of the affected foreign companies have received adequate compensation. Currently, business can purchase insurance to protect them against expropriation and other types of political risk.
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