The Chicago Tribune reports on the end of Hostess, the company that brought us the Twinkie. The company has been under financial pressure for some time, trying to deal with the pension and labor cost issues that have affected many other firms in recent years. The unions were unwilling to recognize the reality that comes with a sever economic downturn and went on strike demanding more money from a company that was in no position to provide it. As a result, Hostess has closed its doors for good and the 18,500 employees are now adrift in The Golden Age of Hope and Change. What the union people were thinking is hard to fathom in an economy where millions are out of work and cannot find jobs.
The laws of economics are every bit as real and unchanging as the laws of physics or chemistry. Complaining about the people who point this fact out will not change the reality. In the controlled depression we are living through, brought to us by the left, companies will continue to go out of business and people will continue to lose their jobs. This is happening because of mathematics. A business must bring in more in sales revenue than what goes out in costs and expenditures. And the policies of the left, including those of unions, tend to drive costs up and productivity down. It is a recipe for failure, just as the laws of economics would predict. Thus demanding that a company in bankruptcy provide you with money that they don’t have, in a declining economy, is an act of sublime irrationality. Where did the unions think the money was going to come from; leprechauns with pots of gold?
