David Skeel of UPenn’s law school talks with Russ Roberts on econtalk about the mechanics of bankruptcy law and whether the government should have bailed out the auto industry. Bear in mind you’re getting the Hayekian view on Russ’s show (to which I subscribe). For the Keynsian argument, check out NPR’s Planet Money blog and podcast.

Skeel discusses the bankruptcy process including voting rights, creditor seniority and the role of a judge in an ordinary bankruptcy which is required knowledge for any entrepreneur. Even though this is the last thing anyone aspires to, you should know the worst case scenario, the process and your options and rights.