# Should a capitalist society bail out the banks?



## bubbles61999 (25 Oct 2008)

Hi all, i am currently constructing an argument for this, can you help me, from an irish opinion stand point?


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## Purple (25 Oct 2008)

bubbles61999 said:


> Hi all, i am currently constructing an argument for this, can you help me, from an irish opinion stand point?



Capitalism is the ideology which informs economic policy within a society, the society itself is not capitalist. A society can have a capitalist economy but society is more than just an economy.
 The needs of society should not come second to an economic philosophy (as usually happens in a strictly socialist society). 
I am not commenting one way or the other on the rights and wrongs of the current bail out; I am suggesting that your question is constructed on a false premise.


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## hatfield (25 Oct 2008)

Speaking as a minor shareholder; I think a capitalist society should not bail out shareholders. Shareholders should understand the risk they take when they invest. If they didnt do the proper research then tough.
Banks have an important role in society and the economy but they can still operate with government support if  shareholder value is destroyed. If government support restores shareholder value I dont think the shareholders should be entitled to this restored value which the government created by risking tax payers money just as shareholders risk their own money when they choose to invest. The principle of ivesting in a capitalist society is that he who takes the risk gets the reward. if the government risks my tax money then I should get the reward as a tax payer just as I would have equally to bear the burden of a negative outcome.


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