Lehman Brothers should have not received a government bailout. If we start to bail out every company that makes bad decisions then we are not going to recover with our economy. Before declaring bankruptcy in 2008, Lehman was the fourth-largest investment bank in the US (behind Goldman Sachs, Morgan Stanley, and Merrill Lynch), doing business in investment banking, equity and fixed-income sales and trading (especially U.S. Treasury securities), research, investment management, private equity, and private banking. At 1:45AM on September 15, 2008, the firm filed for Chapter 11 bankruptcy protection following the massive exodus of most of its clients, drastic losses in
its stock, and devaluation of its assets by credit rating agencies.
I don't think any of the banks should have received a bailout from the government . The banks are private institutions and for the government to get involved with them is going completely against the idea of capitalism. I think it was a line that never should have been crossed.
I've pondered this previously, as I had several friends and family members who worked for Lehman Brothers. So their closure hit home to a certain extent. However, I think that Lehman's was in large part responsible for the financial mess that triggered the Great Recession, and we needed to make an example out of them. So no, a bailout was not needed.
As one of the primary catalysts of the destruction of the American economy in 2008, Lehman Brothers did not deserve a bailout of any kind. There is no shortage of financial firms in the United States, and allowing a high profile one to fail for its actions sent a powerful message to the remaining companies to shape up or face the same fate.
I think that, outside of the auto industry, if your company has failed then you deserve not to have a bail out. It took a ton of money from taxpayers pockets and stuffed it right into the pockets of a company that proved it could not exist in a competitive environment.