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Krugman writes: "William Cohan has an interesting take on Mitt Romney, which is completely distinct from the policy and left/right issues. According to Cohan, who did deals with Bain during the Romney years, the company specialized in dirty tricks."

Portrait, New York Times columnist Paul Krugman, 06/15/09. (photo: Fred R. Conrad/NYT)
Portrait, New York Times columnist Paul Krugman, 06/15/09. (photo: Fred R. Conrad/NYT)



Bain the Betrayer

By Paul Krugman, The New York Times

15 January 12

 

illiam Cohan has an interesting take on Mitt Romney, which is completely distinct from the policy and left/right issues. According to Cohan, who did deals with Bain during the Romney years, the company specialized in dirty tricks.

Specifically, Bain would make the high bid for a company being offered for sale - then, after the other bidders had been sent away, would start finding things to complain about, and haggle the price down. This was, I gather, a major sin, since believe it or not Wall Street wheeling and dealing requires a high level of trust in one's personal word.

This isn't a policy issue; it's the kind of thing I usually try to stay away from, the supposedly character-revealing nature of someone's personal history. But as these things go, it's especially interesting. Would you buy a used company - or a used ideology - from this guy?

 

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+146 # edwin_ 2012-01-15 11:31
The corporate raiders claim to be capitalist as they sell off the profitable parts of a company and steal the pension funds but they quickly become socalist as they force the dregs of the company into bankrupt . This leaves the taxpayers paying all the pensions.

Under Romney the middle class woud be riding on the roof of the car
 
 
+22 # gdp1 2012-01-16 04:29
Under those rules, the more you lay people off, the more that's left to split between the players. Bain's unemployment numbers? Reportedly 78 per-cent....UNEMPLOYMENT!!! !
 
 
+3 # jwb110 2012-01-16 17:27
Quoting
The corporate raiders claim to be capitalist as they sell off the profitable parts of a company and steal the pension funds but they quickly become socalist as they force the dregs of the company into bankrupt . This leaves the taxpayers paying all the pensions.

Under Romney the middle class woud be riding on the roof of the car

I think somewhere closer to the wheel wells for the middle class under the Mitt.
 
 
+105 # Holyone 2012-01-15 11:49
No, but he is selling a lot of people a bill of goods. Mitt is a chameleon. He may change his colors, but he's still a lizard.
 
 
+45 # cdcl44@yahoo.com 2012-01-15 15:23
He may change colors, but he is a snake.
 
 
+21 # Above God 2012-01-15 16:09
An albino lizard!
 
 
+13 # Larkrise 2012-01-15 22:41
A lizard is a useful creature. It eats insects.Romney is not useful. He would and has eaten his own species, in a manner of speaking.
 
 
+32 # ER444 2012-01-15 12:04
In a word... NO!!!
 
 
+52 # grouchy 2012-01-15 12:17
Gee, I expect this kind of haggling would be kind of common in a lot of various kinds of businesses! But not good for sure. We need to remember that when a nation is based on greed, anything goes in many situation.
 
 
+36 # Ralph Averill 2012-01-15 14:06
Indeed! Perhaps we can dispense with the window dressing at honesty and fair dealing and get down to the nitty gritty about what we have become. It's all you can get no matter what you have to do to get it.
Jay Gould would smile.
 
 
+88 # humanmancalvin 2012-01-15 13:01
And this is the man the GOP wishes will replace President Obama. Wow, sad, very, very sad indeed.
 
 
+31 # fredboy 2012-01-15 13:04
I think it's hilarious that few complained publicly about Bain or similar companies during past decades. Why not? The same factors were present. Why does it take a presidential campaign to prompt such criticism and scrutiny?
 
 
+29 # cdcl44@yahoo.com 2012-01-15 15:25
It takes just as long as other corporations take to be uncovered; i't just during campaign season the vetting process uncovers more, sooner.
 
 
+32 # soularddave 2012-01-15 16:21
Only the Government can act as the "Better Business Bureau" for corporate raiders, but then, the Government's position has been compromised. The Corporations have raided the Government, itself, and rendered it toothless by underfunding the investigators, and refusing to appoint new heads of the regulatory agencies.

The coup is nearly complete, and we're nearly a fascist state supported on the backs of those of us who are losing our power to the Corpratists and their lapdogs, the politicians.
 
 
+13 # KittatinyHawk 2012-01-15 17:39
We have so many other bad companies to keep on top of, guess we lost track
 
 
-76 # William Bjornson 2012-01-15 13:08
Steven! Steven! but seriously, folks... Ron Paul in 2012! Look at it as carl rove would. Paul cannot be elected (nor can romney) and BHO will reign another 4 years of creeping giveaway, ever 'protesting' as he hands over anything and everything the parasite wants including our children's deaths in Iran. If Ron Paul were actually nominated, what a MESSAGE we would send to the disease. Ron Paul is our only VOICE however much you may despise his overall package. Unless, of course, the fantasy of the Colbert/Stewart ticket were to materialize(!). Anything can happen in this psychotic reality we are currently maintaining and continuation of the status quo looks like the worst scenario at this time. Let go of your fear and live! We desperately NEED to do something different evn if we jump off a cliff because otherwise we will certainly be PUSHED off a cliff. We have a much better probability of a positive outcome with ANY 'unknown' than we have with all of the 'known' options on the table now. You know this and only your fear walls you into the same old corral leading to the killing floor. You KNOW we have to do SOMETHING, and to do it without blood we must act differently than we have so far. Even if Paul were elected, the most he could do might be to decrease the power of the Executive which, alone, would justify his election. Our slate so far, in order of apparent preference, is FEAR, Ron Paul, and a distant third, the rational/absurd Colbert/Stewart candidacy. Let go of Fear!
 
 
+37 # lcarrier 2012-01-15 17:04
If Ron Paul were elected you would be begging on the street--if there were any street left that wasn't full of potholes.
 
 
+103 # susienoodle 2012-01-15 13:12
It is clear to me Romney would make a terrible president for so many reasons. I hope the public pays attention to helpful information like this.
 
 
+10 # MidwestTom 2012-01-15 13:47
Tje policies of the Fed, generating more and more cash, is what enabled the corporate raiders. We don't see it, but the buys in NYC have their hands on billions. To them we are all slaves to their financial moves. Romney, and all the other Repubs except Paul are owned by the same group that owns BHO and our congress.
 
 
+44 # RLF 2012-01-15 13:50
A Capitalist scum will lie if it makes them a profit. My father the small business man in a small town said that if a deal wasn't good for everyone then it wasn't a good deal. Don't guess things like that get much teaching at Harvard and Yale. Just take care of your rich as hell friends and do as little real work as possible but take credit for everything.
 
 
+39 # Hank 2012-01-15 14:27
“The things that will destroy America are prosperity-at-any-price, peace-at-any-price, safety-first instead of duty-first, the love of soft living, and the get-rich-quick-theory of life.”
Theodore Roosevelt
 
 
+18 # DurangoKid 2012-01-15 14:35
If you look at the presidents since Carter, you'll notice that all of them came from the same cookie cutter. What the elites started with Reagan has continued more or less until and including Obama. Ask yourself how different Romney would be from Obama if Obama is just a continuation of Gee Dub? The real question here is not which presidential candidate, but from which class do candidates emerge and whose interests do they represent? In most matters of policy toward the working class and the mal-developed countries, it doesn't seem to make a whole lot of difference which label gets afixed to the presidency. Ask a Haitian or an Iraqi who should be the president of the US. I think that would be a more interesting answer than the quadrenial circus we have to suffer through inside the US. To those that matter, the presidency is not broken or misinformed. It represents the centers of power quite nicely. Why else would they consistently cough up enormous quantities of money to keep the whole charade going?
 
 
+8 # seeuingoa 2012-01-15 15:05
In a democracy you are supposed to get what you elect!

The choice of the people.

How come in America you elect a nutcase like Bush a liar like Obama and probably a greedy like Romney.

What is wrong with the American people???
 
 
-2 # dorianb@fuse.net 2012-01-18 16:08
seeuinboa: this has to be the top comment on this post tonight!!!
 
 
+33 # James38 2012-01-15 16:39
All of the Republican candidates are jokes. None of them understand or care about ethical and realistic economics. The tax mess is contributing to the bad economy. We must raise taxes on the rich and reestablish a decent and practical balance. When income disparity is this high, it always has led to recession or depression. The guy who keeps the factory floor clean is doing essential work also. If he can't live a decent life on his wages, the system has no justice. The rich have forgotten that their opportunity to be rich comes from the work of everyone - the teachers and schools, the infrastructure workers, the police and fire departments, the doctors - everyone contributes to the wealth of a society.

However, in our present situation, there is one major point most people including our leaders and candidates are missing even more egregiously. What they and the world need to do is start talking seriously about totally replacing oil, coal, and natural gas with non-polluting energy.
If we keep burning oil and coal and natural gas until they run out, we will put so much CO2 in the atmosphere that there will be major disasters even sooner. What the US and the world needs to do is start talking seriously about totally replacing oil, coal, and natural gas with non-polluting energy.
Anyone who doubts this or wants more scientific clarity must read "Storms of My Grandchildren" by Dr. James E. Hansen, eminent climate scientist with NASA.
 
 
-19 # KittatinyHawk 2012-01-15 17:47
Shat we have got to do is stop spending..that is the one point we must do.
We have revenue as McCain said but we spend it faster than it comes in...wow that does remind me of today's Yuppies and their children.
We must stop more agencies so that we can have more salaries going to Political friends and relatives...none of which are off the unemployment list in Hell or extending the last of their pay in. We need to cut government Agencies, cut giving money to everyone but ourselves.
i see more and more solar going up, more geothermal so perhaps we are getting the turtles to the start line.
IRS needs to give more incentives..right now homeowners incentives are gone or going. Rebate for siding is off the books, and others are following. That little bit of help, gives us the ability to buy into local jobs.
the only thing that skrews up is the Government because they are too lazy, to fix what is leaking....
 
 
+3 # bugbuster 2012-01-16 11:58
When our government spends, it's us giving ourselves money. When we have money, we can buy, invest, and produce. When we do that, we can sell what we produced and collect money from each other and people from other countries.

Government spending is pump-priming. It gets money moving around for people to work with. All agree that it should be spent well. Bad government spending happens when the money goes to someone, like the very wealthy, who will not use it productively.
 
 
+1 # jimyoung 2012-01-16 22:33
Revenue was crippled, it's way down from "temporary tax cuts" (something like $3 trillion in 2 years) from too little velocity of money throughout the middle, most really productive people. Just the interest on the real debt (with at least $17 trillion in phony or inflated asset value portion of the debt dumped in the laps of all but the top percent) will weigh us down like an anchor. We have been swindled into believing we have to make up all the phony value to a class of government leaches that far transcend any supposed poor people taking more than their fair share. Money is only a marker and should be valued in terms of what useful products or services it produces. This crippling debt, hoarded by a small percent that are further enriched by a tax holiday for them that recalls the reasons for the French Revolution can't go on much longer. How will it end? We did it before, paying down even more debt after WWII, during Korea, and during every presidency until Reagan, GHW Bush created more debt, Clinton lowered it while creating a record number of millionaires and billionaires as revenues and spending were adjusted to needs. Cheney/Bush destroyed our long term growth as predicted in 2003 (going on 9 years ago) by his 1st Treasury Secretary, Paul O'Neil and 450 economists (including 10 Nobel Prize winners). I'm all for sensible cuts, but RAISE REVENUE with progressive taxes first, at least to what worked in the past.
 
 
-18 # KittatinyHawk 2012-01-15 17:48
If someone would go out an buy a business for what some body is offering it for...they are a bad business.
Everyone wants to haggle, and a smart person or business does this or they are just needing another write off.
 
 
+9 # soularddave 2012-01-15 18:19
I wish I could give you about five thumbs-up and push your number closer to those who chimed in earlier. Your posting includes many pertinent elements of the discussion, and adds some not mentioned, but are ever so important to the future of civilization.
 
 
+9 # bigelowrs 2012-01-15 20:45
Absolutely right about fossil fuels, but the underlying problem is runaway population. We will not solve the environmental problems until we get a handle on that because the growing population and rising standard of living for many is causing energy demand to skyrocket.
Controlling population is a far bigger problem than runaway capitalism, corrupt government, or any of the other problems we face, most of which find their root...in the unsustainable human population of the planet.
 
 
+4 # Ray Kondrasuk 2012-01-16 06:16
Amen, James. Hansen's "Storms" is movingly written from the heart.
 
 
0 # AndreM5 2012-01-16 08:16
He's not at NASA but NOAA.
 
 
+15 # jimyoung 2012-01-15 17:35
I'm kind of enjoying the circular firing squad Republican attack ads have become, it kind of shows the tactics they try on everyone.

I am anxious, though to get far beyond the circus and start working on getting progressives elected in every national, state, county, and local office we can. We've been bamboozled by the massive money put into the off year elections where the Republicans and Tea Party knew where they could grab more power and leverage, especially during a census year that impacts redistricting.

It seems similar to a tag team wrestling match where one side has two team members (perhaps a third outside helper for dramatic impact), but the opposition has 22 pairs, owns the referee, the arena, and all the security. This is not a fair match, and the American people have been set up as the losers even before the first round. We need to step up during the primaries and contest every seat they are trying to buy. I believe some figures that seem to indicate about 690 seats became more crony conservative, after $4.5 billion was spent across the nation in all the races. Although not spent on a single candidate, that makes each position gained come out to $6.5 million each. Does this mean I can call each of those individuals the $6 Billion Dollar Crony Conservatives?
 
 
+15 # LessSaid 2012-01-15 18:29
In general, one would think that all the Teapublicans were sleepers for Bin Laden. Just waiting for a chance to destroy America from within.
 
 
+31 # medicareblogger 2012-01-15 19:16
The dirt on Romney and Bain has been out there since 1994 when he ran against Ted Kennedy. Kennedy was down in the polls and his team was very worried that the people of Massachusetts might be sick of old Ted. So the Kennedy campaign team went out to places where Bain had screwed people over and found people willing to talk about their lives after Bain came to town. No scripts were required, just regular folks telling how their lives were ruined by Romney and Bain. Jobs lost, homes lost, pensions gone. Those same ads will be run by Obama's campaign - over and over again in Ohio, Indiana, Michigan, Wisconsin... and they will be very powerful in this economy.
 
 
+9 # kbarrand 2012-01-16 06:37
There's capitalism and there's rigged capitalism. It's like the difference between collegiate wrestling and the WWF.
 
 
+3 # Interested Observer 2012-01-16 12:17
WWF is legitimate, if low brow, showbiz, only the dolts really believe there is contest.

It is the difference between blackjack and three card monte.
 

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