Best sentence I’ve read today:
If Chapter 11 cannot save GM, then nothing can.
This is from the recent VoxEU opinion by Joshua Rauh and Luigi Zingales, proposing a bankruptcy to save General Motors. Inter alia, the ideas in Rauh & Zingales might address Richard Posner’s worries concerning Chapter 7 versus Chapter 11 in the US Bankruptcy Code; on the other hand, naturally, Gary Becker does not need further convincing that bankruptcy is the only viable alternative for GM, Ford and Chrysler alike.
