Capitalism's New Era - Shamus Cooke, Truthout

[Bozita]

Capitalism's New Era
Sunday 28 August 2011
by: Shamus Cooke, Truthout | News Analysis


"Karl Marx got it right, at some point capitalism can destroy itself," said Mr. Roubini, in an interview with The Wall Street Journal. "We thought markets worked. They're not working."

The world economy is in shambles and about to get worse, according to even mainstream economists. How bad is anybody's guess. Some things, however, are certain: the recovery that politicians have been promising for years existed only in their heads. The reality of the situation is now apparent to millions of people across the globe, who, before, clung to the empty promises of economic recovery. This newfound consciousness will inevitably find expression in the political realm and, more importantly, the streets.

A key aspect of this sudden mass awareness is in response to high unemployment and the deeply unpopular measures that politicians are forcing upon working people, both byproducts of the Great Recession. Politicians are blaming "the markets" for demanding austerity measures, but "markets" are simply places where wealthy people invest their money. To guarantee a profitable return on their money these investors demand that labor laws be squashed and social programs be eliminated, all over the world.

Spain, for example, is one of many countries having austerity measures forced down their throats. Reuters reports:

"Analysts see the shaking up of the country's inflexible labor laws and the easing of hiring and firing as vital to restoring the country's competitiveness. The labor reforms are crucial. They will help to restore growth in the long term. Growth is the only way out of these adverse fiscal trends,' said Luigi Speranza, analyst at BNP Paribas."

To summarize, creating new laws that enable Spanish corporations to work their workers harder will be better for profits.

more...
http://www.truth-out.org/capitalisms-new-era/1313769455

[Vincardog]

1. WE are watching the disaster capitalists prepare to eat each other

[bhikkhu]

2. An article without a theory

...so why, if everything hinges upon continued economic growth, do we not get economic growth? Wouldn't all the players, and the wealthy most of all, benefit from economic growth?

Which begs the question - if there is a grand conspiracy pulling all the strings, what part of the conspiracy doesn't want economic growth?

...as far as a description of conditions, the article isn't bad at all, but when you leave out the cause and effect relations (and perhaps the author really has no theory to go on), you wind up with nothing particularly helpful or predictive, or capable of advising a direction for effort, just something of an anger-inducing muddle.

[OHdem10]

4. When they speak of competitiveness, they are thinking in terms

making labor cheap enough in the Western World(!st World)
to compete with labor in Third World. It is that simple.
The Multinational Companies have gone around the world
seaking cheap labor. Why? the most expensive outlay
of money for any company is its labor force. China Asia
Africa and some parts of South America still offer very
cheap labor. We have reached a point where almost all
basic and many extras(luxury) are made in these countries.

These workers ((Third World) cannot even afford to buy some
of the items they make. Talk about cheap labor.

We are reaching an empass. First World countries(because
their workers earn much much higher incomes) produce items
which cost more than workers in the 3rd World can afford.
HOWEVER, we are dependent on the Third World for our basics.
Check your shopping cart at any store, Dept Stores, Specialty
Stores, Groceries.

The Money is being drawn out of this country. We are not
making that many things that can be sold in one humongous
part of the world.

What do you do. Either bring the Third World Standards of Living
up or you take the First World Standards Down. Therefore, get
rid of unions (surest way to maintain high living standards)
Never let seious Union Activity take place in #rd World.
GET RID OF REGULATIONS. Business then has the complete will
to hire fire, have any standards they wish, have any working
hours they wish. PAY PEOPLE AS LITTLE as THEY WISH.

Now do we get it. Competitiveness means bringing our
salaries down to compete with the Third World. It is happening
before our eyes and we refuse to see it.

It is believed with enough Deregulation and Business given
enough control we can bring jobs back and those we cannot
bring back will stay but the Companies will form their
new jobs here in Cheap Labor America.

[Sarah Ibarruri]

6. Absolutely. The bottom line in capitalism, is how much $$$$ the rich can squeeze out of the rest nt

[Enthusiast]

9. "we refuse to see it"

Many find it hard to accept. They believe the U.S.A. is a force for good and will remain so forever.

[DJ13]

3. the recovery that politicians have been promising for years existed only in their heads

No, they flat out lied.

They had to know that continuing to funnel money to the same assholes who caused the financial crisis was never going to fix it.

Even an idiot could tell them that any recession caused by a lack of consumption can only be fixed by increasing consumption where it would do the most good for the money, and that isnt done by giving the already wealthy more money to sock away.

[Sarah Ibarruri]

5. However, the propaganda from the rich has the majority in this country nicely controlled

They would kill themselves for the rich, I think.

[drokhole]

7. At some point, people just realize they don't need a ton of useless shit.

It's a shame that our society conditions and reinforces the insatiable acquisition of material goods, widgets, and gizmos. Planned obsolescence and artificially manufactured style/seasonal changes have been the only thing keeping this turd afloat for this long. Constant, and especially unfettered, growth is a complete fantasy...and, these days, it's often times the result of clever accounting. And bailouts and stimulus can only keep it propped up for so long.

"The economic anarchy of capitalist society as it exists today is, in my opinion, the real source of the evil."

- Albert Einstein, WHY SOCIALISM?

[PonyJon]

10. You are so right on and the link to Einstein's tract is

way Right On. If only you would go so far as to say premature Death to Republicans.

http://october2011.org/welcome

[femrap]

8. Capitalism

demands slavery at its end.