USA:From being Leader to Dealer American people have stopped to have leadership. I felt something sad, but it’s okay. USA country turned from leader to dealer. Some American wanted to make America great again.(MAGA) The world NEVER makes America great again.(NMAGA)
Chapter 11 Bankruptcy Basics
Background
Chapter 11 - Bankruptcy Basics
https://www.uscourts.gov/services-forms/bankruptcy/bankruptcy-basics/chapter-11-bankruptcy-basics
I searched about US Chapter 11.
US Chapter 11’s good points
There are some good points of US Chapter 11.(1)Speed up Reorganization
If almost bankruptcy company provides essential things or services, the company will raise their prices.
Because the company makes up for losses.
It causes the social cost higher.
(2)Prevent excessive repayments
US Chapter 11 can prevent excessive repayments.
In Japan, if someone borrow money from a bank, he/she will need a personal guarantee.
It causes to discourage entrepreneurs.
(3)Visible processes and goals
I heard that 99% of new companies will bankrupt.
We tend to focus on rest 1%, but 99% is bigger than 1%.
With the establishment of bankruptcy laws, the processes and goals will be visible.
Comments
Post a Comment