Zeev's Turnips Talk Politics (ZTTP)

[ergo sum]

This week General Motors issues $13 billion in debt in order to stem the bleeding of its pension program. In aggregate, the companies in the S&P 500 have a pension underfunding of more than $239 billion, an amount of liability that is neither represented on their income nor their balance statements. GM's solution effectively robs its future to make things better today. Some better regulations are desperately needed.