Hostess and the GM Bailout: Why the Chevy Volt Shouldn't Exist but Twinkies Still Will
The fact that the Invisible Hand will ultimately keep us in golden sponge cake reveals everything about what goes wrong when the bumbling hand of politics intervenes in free markets, as it did in the case of General Motors...
Dry your creme-puffed eyes, my friends. The spongy confections with all the qualities of tasty blown-in foam insulation will almost certainly not disappear from store shelves for very long, if at all. Why not? Because the economics of selling Twinkies still work just fine. The economics of making Twinkies with a grumpy, highly unionized labor force don't. And our system can and will correct that.Comment: Question: Why didn't Obama bail out Interstate Brands? Answer: GM shouldn't have been bailed out