I am seeing comments here and elsewhere from liberals, mostly, who snootily ask why all businesses don’t have cash reserves to survive multiple months with no income. The attitude is equally stupid and condescending. Very few businesses carry enough ash reserves to survive months with zero revenue. This is particularly true for small businesses that survive on cash flow. They may have a line of credit, but that usually requires it to be secured by the owner(s) personal assets. But before accessing that line of credit, which is a loan, the business owner must decide if they are willing to risk their house and other assets when the government might just shut them down again – or business might never return to its previous level.
This attitude drips with the undertone that the businesses that go bankrupt because of the government enforced recession deserved to go under. You see, they weren’t prudent and had months of expenses set aside in cash. Never mind that these same liberals gripe when companies hoard cash because they are not spending it on employee wages or community projects. These companies deserve it.
What about government?
With government revenue collapsing, shouldn’t government have been prepared? Some states and local governments have a rainy day fund. Is it enough? Do they have one at all? If these governments weren’t prepared for an economic downturn, why should the taxpayers bail them out through higher taxes or more debt? As mayors and governors bemoan the lack of tax revenue, shouldn’t liberals demand the same level of foresightedness and prudent fiscal management that they are demanding of the local tavern owner?
Nobody could have reasonably anticipated that the government would shove us from a booming economy into a depression overnight. Businesses will go under through o fault of their own. Some governments might have to do the same. The difference is that government caused this depression. The business owners did not. This is not a normal economic cycle. This is an artificial depression caused by the totalitarian actions of government.