{"id":5188,"date":"2012-01-10T23:39:52","date_gmt":"2012-01-11T04:39:52","guid":{"rendered":"http:\/\/www.jasonapollovoss.local\/?p=5188"},"modified":"2018-09-21T02:04:30","modified_gmt":"2018-09-21T06:04:30","slug":"losing-money-to-preserve-capitalism-can-we-afford-to-continue-bailouts-part-2","status":"publish","type":"post","link":"https:\/\/jasonapollovoss.com\/web\/2012\/01\/10\/losing-money-to-preserve-capitalism-can-we-afford-to-continue-bailouts-part-2\/","title":{"rendered":"Losing Money to Preserve Capitalism: Can We Afford to Continue Bailouts? (Part 2)"},"content":{"rendered":"

A review of modern banking system bailouts<\/a> demonstrates a disrespect for the capitalist philosophy of the importance of losses<\/a> for preserving both capital and capitalism. In modern economic history, the need for banking system bailouts spares no continent or class of nation; G-20 nations through emerging markets all feature prominently on the list (see table below). Furthermore, from 1974 to 2009 there are only two years, 1975\u20131976, in which there was not a major banking system bailout taking place somewhere in the world.<\/span><\/p>\n

On average banking system bailouts have cost nations a staggering 13% of their gross domestic product. While some bailouts cost as little as 0.1% of GDP (the U.S. bailouts of 1974 and 1984), others have cost as much as 61.9% of GDP (Turkey’s in 2000\u20132001). Furthermore, it typically takes 3.6 years for an economy to regain its footing after a banking system bailout. Clearly the costs of these bailouts is large and the effects long-lasting.<\/span>
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A Brief History of Modern Banking System Bailouts<\/span><\/h4>\n

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