Let's get one thing out of the way, anyone who personally benefits from the practices of Private Equity is going to vigorously defend the practices of Private Equity. The members of the community that were rebutting Taibbi did not seem to be dispassionate on the topic, which led me to believe it wasn't an intellectual disagreement they were having as much as protecting home and hearth.
That said.
The "Creative Destruction" that Private Equity engages in is damaging to the greater society of the United States, not the investor class the makes a fortune out of shoving struggling companies into the wood chipper for fun and personal profit. You cavalierly wipe out the lives and livelihoods of people displaced by your "look what I can do!"/"it doesn't hurt me!" games and you undermine the foundation of the society which translates your wealth into value.
What these Private Equity folks are allowed to do ... with the collusion of the government and captured regulatory agencies ... is what "Chainsaw Al" Dunlap did with abandon at the beginning of the leveraged buyout era. Dunlap did not have prosperous end.
It is more important to protect the stability of United States society than the ability for a minority of wealthy people to make money at the expense of said society, and I question the psychology of individuals view this vicious "Creative Destruction" practice as admirable.
Read the Article at HuffingtonPost
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