Username: LuckyMan Rating: Asked to: Anton Luyten Date Created: 24 Aug 2015 |
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Category | 28 |
Tag | Financial |
Question | What is a bailout? |
Hi Lucky Man, A situation in which a business, individual or government offers money to a failing business in order to prevent the consequences that arise from a business's downfall. Bailouts can take the form of loans, bonds, stocks or cash. They may or may not require reimbursement. For example, Chrysler, a large U.S. automaker was in need of a bailout in the early 1980s. The U.S. government stepped in and offered roughly $1.2 billion to the failing company. Chrysler was able to pay the entire bailout back. |
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