1 min read

Douglas Rooks is correct, in his Jan. 22 column, that business people have, in the past, made for unsuccessful presidents. I will point out that he glosses over the spectacular failure of the Carter administration, especially in view of the fact that Carter’s Democrats controlled both houses of Congress during his time in office.

But most particularly, Mr. Rooks correctly points out that people raised in business have little experience with representative government. A chief executive officer (CEO) rules the roost, including the board of directors that only in extreme circumstances will restrict or rein in his or her actions. It is a snare and a delusion to suggest that shareholders have a decisive say in how things are run.

However, I will take issue with Mr. Rooks’ contention that President Trump (whose business successes can be challenged — just ask anyone that purchased bonds issued by his companies over the years) has failed to honor the basic principle of business during his administration. Rooks states, as evidence, that no business owner would begin by firing thousands of employees. This is patently untrue, as a favorite investment thesis on Wall Street is the corporate restructuring whereby the new CEO comes into a troubled situation and does indeed fire massive numbers of employees, as well as selling off and reorganizing subsidiaries and divisions.

If Mr. Rooks wishes to complain about Mr. Trump’s abrasiveness and lack of decency, well that might be another matter.

Michael Smith
Wells

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