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This is the blog where leaders come to learn with NY Times, Wall St. Journal, USA Today, Money & Business Weekly best selling co-author of Launching a Leadership Revolution & Top 25 Leadership Gurus List Best of the Rest Selection - Orrin Woodward. This blog is an Alltop selection and ranked in HR's Top 100 Blogs for Management & Leadership.
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Re: Why Socialism Fails Everytime - Entrepreneurship isn't Rewarded
by
Anonymous
Orrin, I got a kick out of that.
However, there's another element to this in our current circumstances that is perhaps more insidious than stifling rewards for entrepreneurship.
That is what happens to businesses when they are not allowed to fail. It's a reverse phenomenon -- with the exact same results.
When companies are not allowed to fail -- that is that they are bailed out by the government when they should fail -- the result is stagnation, inefficiency, and monopolization.
The big Wall Street and auto firms are being rewarded handsomely by the government right now, which poses HUGE long-term problems to our economy.
Just as entrepreneurs must be rewarded for their efforts, they must also be allowed to fail. It is risk and failure that lead to efficiency and fine-tuning in the marketplace. They make entrepreneurs think smarter and wiser, act faster, and work harder.
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