Ahhh capitalism: privatize the gains, socialize the losses.



    A new car built by my company leaves somewhere traveling at 60 mph. The rear differential locks up. The car crashes and burns with everyone trapped inside. Now, should we initiate a recall? Take the number of vehicles in the field, A, multiply by the probable rate of failure, B, multiply by the average out-of-court settlement, C. A times B times C equals X. If X is less than the cost of a recall, we don't do one.

Cynicism aside, how serious is Purdue exploring this option? I mean, it's one thing to ask lawyers to draw up a cost-benefit analysis of plan B, another to initiate it. Reminds me of PG&E's bankruptcy.

posted by kleinbl00: 224 days ago