A reader writes:
My husband, parents, and sister all run or ran small businesses. Their income depends or depended on keeping their businesses healthy. Thus they thought about how to do that, including recruiting and training employees and compensating them well, to retain them and build their business.
But in Bain's – and Romney's case – the health of the businesses was less than relevant. In many cases, the point was to run up the stock price, borrow (sometimes from pensions) and cash out. Romney made lots and lots of money from failure. And, of course, that failure hit their employees and the communities in which they worked. Their jobs and pensions and health coverage are gone. The white working class has suffered considerably from this approach to capitalism, the kind that doesn't care about building businesses but only extracting wealth for very few. Some years Bain made an 88% profit.
And, frankly, how has it helped the American macro-economy? I don't see that it has. This is not even creative destruction. It's just destruction.