Chris M
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Greenpa,
I was once told that the Israelites never did follow the jubilee laws. It wouldn’t surprise me, since the Israelites had a tendency to break many of God’s laws and to backslide.
Not unlike us .
Hotrod,
I first learned about the physiocrats when reading the book by Charles Walters, “Unforgiven. The American Economic System Sold for Debt and War.” I honestly have not researched their proclamations any further than that. What I do know is that the physiocrats understood the concept that “the just price of an industrial good should be just as much over and above the cost of materials as the cost of labor.”
Carl Wilken, who helped the United States Congress implement the parity price laws during World War II and briefly after, understood this well too. All wealth comes from the soil. When you earn income by applying labor to raw materials, the economy is debited and nature credited. Until the sun stops shining and/or the earth can’t produce, you can credit nature ad infinitum. When you inject credit, it is the economy debited, the economy credited. The borrowed capital plus interest has to be paid back.
As a farmer, Hotrod, you should understand this well. I am happy to hear you are in that occupation. I ran my own certified organic farm in Wisconsin for some years. I will always remember the day my dad came out to the field and informed me how the the stock market was crashing, back in 2008. I told him it didn’t affect me, because I still had to cultivate and water my crops, and the crops didn’t seem to care one bit about the stock market.
Greenpa,
What you say is congruent to the comments often made by TheTrivium in this discussion. The bust/booms are engineered to concentrate the wealth into fewer and fewer hands. As TheTrivium says, “the cabal…systematically enriches themselves while it systematically impoverishes the..ignorant masses.”
It is disputed whether Thomas Jefferson actually said this, put the point is well taken:
“If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around them will deprive the people of all property until their children wake up homeless on the continent their Fathers conquered…I believe that banking institutions are more dangerous to our liberties than standing armies… The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.”
But as TheTrivium says, the currency monopoly will fight you to the death to retain their monopoly. They know where the power lies. Might makes right..and if you issue the currency, you can issue the guns.
Hotrod,
I, undoubtedly, am interested what Raul has to say concerning how the deflationary move that is occurring today will be different than what was experienced in the 1930’s. Nevertheless, I want to point out some things concerning what you said about the farmers’ experience back then.
The international bankers (JP Morgan and Co. included) had loaned large amounts of money to the Allies in Europe to fight World War I. The US Treasury loaned a large amount to them as well. The international bankers wanted to get repaid, so the United States lowered tariff bars and started importing goods, merchandise, and commodities (including agricultural commodities) from Europe as payment for their war debts. From 1919 to 1929 the United States imported $43 billion worth of goods. The US did not need those goods. It broke our price structure, including prices paid to farmers for their production, and caused a lot of industry to close down or go part-time. The damage to our economy was done, but the international bankers did get repaid. So, as you say, the farmers felt the Depression before the famous crash on Black Thursday, October 23, 1929.
What caused this crash? Well, it so happens that in repaying their debts, England, France, Holland, and Italy had credits in American banks in the amount of about $3.5 billion. President Hoover had passed and Executive Order early in 1929 that declared an moratorium on the collection of war debts. The $3.5 billion credit was left subject to draft, and at that time we couldn’t spare $3.5 billion worth of gold and still maintain the required legal gold reserve. Banks had to reduce their deposits when the gold supply was depleted. The banks had to make collections from their customers to whom the depositor’s money had been loaned, to reduce those deposits. When they went out to collect, the banks found that their customers could not raise the funds to repay their loans. The banks were compelled to unload their stocks and bonds which they held as security against those loans, and thus came the famous stock crash in October.
What’s today’s lesson in all this? If you don’t maintain proper prices (parity) for raw materials, there isn’t enough income in the system for consumers to pay for their own production. The alternative is for consumers to go without, or credit to be pumped in (through consumer borrowing, or the government borrowing for them and giving them the money through welfare). When your basic raw material producers, farmers included, don’t receive proper prices for their production, they lay people off or go out of business. All the companies they buy supplies, equipment, and services from lose business as well, and it goes right down the line. Right now we are seeing a lot of financial stress in oil companies as the price of oil goes below their cost of production (parity price). The same will happen to agriculture. Corn is down. Wheat is down. Soybeans are down. Beef cattle prices are down. Hog prices are down….you get the picture. John Deere just announced layoffs in one of their machinery plants in Moline, Illinois. I am sure there are others in the same boat. Caterpillar hasn’t seen great sales either in their agricultural division either.
People are certainly paying off debt. I don’t know where one goes to find statistics on that.
On the flip side, there is still a lot of new debt being generated. People are still taking out mortgages to buy these homes at inflated prices. Folks are still using credit cards to buy Christmas presents and who knows what. Students are still borrowing for college. Just think about how many colleges there are and all the college employees and professors, who are paid from that debt. Then we hear about all these subprime auto loans given out hand over fist. Financing by debt is alive and well. For now, I guess is the point.
Oh, and since I am in the farming industry, I couldn’t help notice Illargi’s posting about cattle prices. There certainly will be more requests for debt financing from Farm Credit Services, to keep farms operating.
If we have another crash as we had in 2008, I am very curious about what the government will do this time. After the bailouts occurred in 2008, I know there were a lot of angry people at the town hall meetings held by senators and congressmen. Will the people let it happen again??
For those of us who have children, there comes a day when we hear that familiar word proceed out of their mouths–“why?” I have been asking that same thing as of late when it comes to the war in Syria. Kunstler spurred that question in me again when he suggested our (United States) attitude towards Russia is senseless. I have been reading a number of explanations lately on blogs and websites such at these. At least a couple of interesting ideas have come forward, in my mind.
One is that we are still in the old cold war against Russia (Soviet Union), which is being spurred on by the neocons, such that any government leaders in the Middle East that are left-leaning and friendly towards Russia have to go. This suggests Mr. Obama bows down to those interests. Some even suggest this is an old payback by Jews in the neocon ranks for Sviatoslov I of Kiev’s destruction of Khazaria, the land of the Ashkenazim Jews. That Khazaria area became part of the Russian Empire, and the Ashkenazim were kept under tight control.
But another idea about this confusing policy towards Russia is that the leadership in Israel wants to establish the New World Order, and stirring up instability in the Middle East somehow brings that closer to fruition. I didn’t know that such a goal was particular to the people in Israel who claim they have a genetic line back to Abraham.
Maybe others have thoughts about all this.
Nassim,
I have read that some members of the Erdogan family want to reestablish the Ottoman Empire.
Good luck with that, huh? Maybe that is to what you allude.
This war in Syria and the adjoining areas of the Middle East has caused me to wonder what the interest of the United States is in the matter. What is the endgame?
As has been suggested here, the debt monopoly would like nothing more than to sell their currency to keep financing these endless tugs of war for land and the resources it holds. As the debt piles up, the system is bound to collapse, and the suggestion can be made for a new world order currency system that will be better than what we currently possess. A dumbed down public won’t know any better, sadly.
In the meantime, the quest for empire continues. Putin wants to continue to hold his bargaining chip with Europe, in the building of pipelines for their fuel. Syria seems to be the bone of contention. If the Sunni can get a pipeline through Syria fom the Arabian penisula, Putin has lost some of his power. Russian pipelines through Turkey don’t seem very likely at the moment, but who knows in this game of empire chess. The interests in the US want to help their Sunni buddies, but this nasty thing called Islamic State keeps messing up things. Religion, or religion bent on conquest by the sword, can do that.
As Ilargi knows, love is the highest power. Everything else is just a clanging cymbal.
Ilargi,
Organic growth is a pretty good term. Down on the farm, we call it earning your way instead of borrowing your way. We recognize that nature has set bounds for growth. The cow only milks so much in a day. The pig only puts on so many pounds in a day. The wheat only grows so much in a day.
Greenpa,
Been enjoying your posts.
Here is one of my favorite poems which speaks of our demise. It is by the Italian, Tomasso Capanella, titled “The People” (translated by John Addington Symonds).
The people is a beast of muddy brain
That knows not its own force, and therefore stands
Loaded with wood and stone, the powerless hands
Of a mere child guide it with bit and rein.One kick would be enough to break the chain;
But the beast fears, and what the child demands,
It does; nor its own terror understands,
Confused and stupefied by bugbears vain.Most wonderful! with its own hands it ties
And gags itself–gives itself death and war
For pence doled out by kings from its own stores.Its own are all things between earth and heaven,
But this it knows not; and if one arise
To tell this truth, it kills him unforgiven.Trivium and Diogenes Shrugged,
Thank you for the clarity.
It makes me wonder who Heidi Cruz will give her allegiance to. Goldman Sachs or the people?
This could have been avoided in this country if we continued to stabilize agricultural raw material prices as we did in the 1940’s during World War II and briefly beyond that. We were essentially monetizing production instead of monetizing debt. There was enough national income being created such that the consumers had the earnings to consume their own production. But this meant that certain people couldn’t make money by cheating someone, so the policy eventually ended and we started accumulating debt both private and public to get where we are today. We could reverse it by bringing back those policies, but there is not the political will to do so. It is a shame. I don’t think this was the economic system the founders of the USA envisioned when they penned the Constitution.
Here is a good book which talks about the history of it: https://www.acresusa.com/unforgiven
I recommend that everyone here read it. Seriously.
Raul,
It is interesting that you bring up a passage in Scripture. In the Dark Ages, bibles were only kept by popes, bishops, and priests, and they tended not to even read them. With the Reformation, bibles were distributed to the common people, such that they could, for themselves, read what God had to say. After that came the Renaissance. I have thought many times that we are into another Dark Age, and falling deeper into it. The ironic thing is that we have more bibles in the hands of the common people than ever before. The problem is that few actually read them, or they attempt not to discern what the passages actually say. Matthew 4:4 is a relevant passage. Here are a couple more:
Matthew 6:24. “No one can serve two masters. Either he will hate the one and love the other, or he will be devoted to the one and despise the other. You cannot serve both God and Money.”
Luke 20:46-47. (Here Jesus admonishes the religious leaders of that day.) “Beware of the teachers of the law. They like to walk around in flowing robes and love to be greeted in the marketplaces and have the most important seats in the synagogues and the places of honor at banquets. They devour widows’ houses and for show make lengthy prayers. Such men will be punished most severely.”
Jesus didn’t mince words.
Raleigh,
If you consider not raising wages to be good for the economy, then we need to take that to the logical extreme and give workers $0.00 for wages, because then companies could really reduce the price of their products and make them affordable.
The truth is, we have an income problem. The economy as a whole could be represented by an old fashioned T-account. On one side of the T-account you have all the income of the economy–income of sole proprietors, farms, corporations, and people renting out property. On the other side you have the costs of the economy–wages and interest. There are only 2 costs, because every other business cost is someone else’s income. The economy is in balance when the income is in balance with the costs. Today we have an imbalance. What is that? Many businesses as a whole, especially raw material (commodity) producers, have an income shortage and are making it up with debt, and consumers (wage earners) also have an income problem and are going without (poverty) or making it up with debt slavery (private borrowing, or government borrowing for them and giving them welfare). So, in that T-account I mentioned, who is benefiting, or where is the bubble?? It is the interest sector, or in other words, those who are lending out money and collecting interest on it. As we know, in countries all over the world, a fair portion of that is fiat currency created out of thin air. It’s good work if you can get it–creating money and collecting interest on it.
So, my point is that wages (and interest) need to be in balance with business income and rentals to have a prosperous economy. Consumers need to be paid a parity wage to consume their own production. As Henry Ford is reported to have said–“I pay my workers a good wage so they can buy my cars.”
Furthermore, I honestly don’t know all of what Nicole has said. I haven’t read everything she wrote, which would be a big task because I know she writes a ton. Nevertheless, if we really don’t need electric can openers and electric toothbrushes, why stop there? Do we really need the internet? Cell phones? Televisions? Radios? Cars? Planes? Trains? Carpeting in your living room? When we apply labor to the natural and recycled resources of the world, we create a better standard of living for ourselves, no? If people want to go back to primitive times, I have no problem with them doing so. However, if I want to make my life better for myself in different ways, should I not do so? Just a thought.
The Naomi Klein piece was an intriguing read.
It’s not clear to me exactly what kind of political and economic system she advocates. If it is a system based on parity and fair trade, I am all for that. Couple that with local production and consumption, all the better.
But if it is a system which puts the burden of reducing “climate change” on those least able to pay and lets the powers that be continue on their merry way, thus enabling the rich to get richer and the poor to get only poorer, count me out.
Rapier,
The American Protestant you mention is quite a diverse group with a myriad of religious and political viewpoints. Some of them are blinded by a poor understanding of the American Revolution. Some are “confused” about how the country should relate to Israel. Others are being swept up into the emergent church movement, which proposes that it is the mission of Christianity to change the culture for the better.
Fortunately, some are waking up to the facts not being reported by the mainstream media machine and its allies. Blogs such as this are quite useful in stimulating the critical thinking skills of these folks. I, honestly, am quite grateful for these alternative sites. I shudder to think of where I would be today if I didn’t make attempts to search out the truth of current events. All that said, I would encourage you to keep prompting your family, neighbors, and friends to search out that truth as well.
Thanks for your contributions and discussion.
I would agree. It seems that, at this point, there is plenty of food. Being a farmer and in the agriculture industry, I know this well. Too many people don’t have the means to buy what they need. For instance, just look at how many people in America are on food stamps. The number is amazing to me.
Don’t also forget how much grain in this country is grown to feed livestock and gas tanks.
On top of that, birth rates are declining in a lot of places. Need to factor that in too.
As Michael Pettis writes:
“In fact, the current European crisis is boringly similar to nearly every currency and sovereign debt crisis in modern history, in that it pits the interests of workers and small producers against the interests of bankers. The former want higher wages and rapid economic growth. The latter want to protect the value of the currency and the sanctity of debt.”
Hmm..that sounds like what has been said in this blog many times. But I may interject that the “value” of their currency is protected by their guns. We are all captivated by what is happening in Greece. I can’t help think what John Perkins said (Confessions of an Economic Hit Man): (sic) If the country and/or its leaders don’t play by the bankers’ rules, they bring in the jackals. If that doesn’t work, they bring in the armies.
In other words, when you begin to play footsie with the IMF, you need to know the game you’re playing. I am eager to see if the new rockstar leaders in Greece are able to break the shackles of debt and start a just, fair-trade economy, or if the “dog will go back to its vomit” and start the debt slavery all over again.
I also had to stop and ponder these words by Michael Pettis:
“First, as long as Spain suffers from its current debt burden, it does not matter how intelligently and forcefully it implements economic reforms. It will not be able to grow out of its debt burden and must choose between two paths. One path involves many, many more years of economic hell, as ordinary households are slowly forced to absorb the costs of debt — sometimes explicitly but usually implicitly in the form of financial repression, unemployment, and debt monetization. The other path is a swift resolution of the debt as it is restructured and partially forgiven in a disruptive but short process, after which growth will return and almost certainly with vigor.”
But as I just said, will they, whether it is Spain, Greece, Portugal, (insert just about any country you wish) earn the growth, or borrow it? That is the question.
In the previous thread there was a debate about the merits of Henry George’s ideas about the land value tax and all the benefits to the economy and society that would bring. His ideas remind me of what was learned about raw material economics and the parity pricing laws that were put into effect in this country (USA) in the first half of the twentieth century, especially during World War 2. A couple books the readers of this blog might be interested in checking out which expound on all that are “Raw Materials Economics” by Charles Walters Jr. and “Unforgiven…the American Economic System Sold for Debt and War” by the same Charles Walters. These books opened my eyes to the realities of economics–something you don’t learn in school.
In the thread of posts, it was pointed out that the rentier that we should fear is the one who has a monopoly on fiat currency. As was correctly suggested, this group in power does not want there to be a balance in the economy, so that the need for debt would be greatly diminished. The point is well taken that they do everything in their power to maintain the imbalance, as was even suggested by Henry George in his realization that the “hired gun” economists did a masterful job in discrediting and marginalizing his ideas.
Raw materials economics has shown that if raw materials are priced at parity with the rest of the economy, there is enough income created for the consumers to consume the production. The supply, when priced properly, creates the demand. If the balance is maintained, the need for debt is diminished. Just as the powers-that-be squashed the ideas of Henry George because they were seen as a threat, the same elite squashed the parity laws and raw materials economics, most notably by the passage of the Aiken Bill in 1948. Ever since then the debt of the USA has been climbing and climbing. Just check the record. It also seems that this kind of debt if fashionable in all parts of the world, even in “enlightened” communist China.
“Western leaders have so far chosen to protect money and banks, instead of people and their wellbeing, and that’s why we find ourselves where we do.”
To call them leaders, is to give them too much credit. They are not leaders. They follow the wishes of the elites. True leaders look out for the wellbeing of their countrymen. They have courage. We generally don’t have leaders in the west.
“Choosing money before people can only end in the demise of the system that makes such a choice. That, however, is apparently terribly hard to comprehend.”
Comprehension is something we don’t do very well in the west either. Today I happened to run across a copy of USA Today when I was in the lobby of a hotel. Now, I have to admit, I don’t know how many people actually read that publication, but something caught my eye on the front page. There was an article by Trish Regan of Bloomberg Television.(https://www.usatoday.com/story/money/columnist/2015/02/02/oil-price-stocks-economy-consumer-gas-prices/22584385/) Here is something Trish “says”:
“Enough, already. Has everyone forgotten that consumers represent nearly 70% of the entire U.S. economy?
Apparently, many have.
So here’s a primer: Lower oil means lower prices at the gas pumps, which means more money in consumers’ pockets. Yes, the same consumers’ pockets that fuel our U.S. economy.”
To me, the ignorance of this statement is staggering. It is a misnomer to say consumers “fuel” the economy. Demand is created by supply if the supply is priced at par in the first place. At less than parity the income needed to consume the production is not created. Supply without effective demand cannot be consumed.
In perhaps simpler terms, if oil is priced below the cost of production, there isn’t the money created to consume it. Unless…..unless….we create the money by monetizing debt. Thus our problem, is it not?
The ignorance of our public is astounding. The reason we have such journalism, is that the public is easily fooled.
I am reminded of a passage of scripture (Hosea 4:6) “My people are destroyed for lack of knowledge.”
Ilargi, you are right. We have a failed capitalist system. As I look at what is happening in Greece and Europe, I often wonder when change will come here, in the USA. I am tempted to think that things just haven’t gotten bad enough. As you say, we have mastered the ability to put a veneer over things and pacify the public.
Yet, I think when things get bad enough, a leader will arise. But who will he or she be? Will he or she have a heart for the people?
Raleigh,
You hit on an important point–how we have “mafia style” government around the world.
I mean, say what you want about Ron Paul, but the Republican Party didn’t appear to even count his primary election votes properly in the last presidential election. And poor Paul Wellstone. You have to pause and think about that one for a second, don’t you? And Dennis Kucinich. My gosh, he got quite the shakedown in Air Force 1, didn’t he?
If you don’t do what the elite says, you have to watch those brake lines, as you say.
This all makes me wonder what the answer is. I mean we can sit around in these blogs and cry in our beer about everything that is happening, but what will we do about it? I mean who is going to talk to the Greeks and say…”Look…this…and this…and this…and this is what you really need to do to get out of this pickle (or olive…not sure what the local saying is).”
Sometimes I think what is needed is some kind of revolution, because they have us cornered with fear. You can cut the brake lines of a few people, but are you gonna do that to thousands? You know?
“and Mr. Lapavitsas describes the party’s platform as “a Keynesian program with redistribution attached, with some Marxist view of the world.” He adds: “We are not ashamed of that.” In the tradition of John Maynard Keynes, Syriza advocates public spending to reignite economic growth.”
Keynesian economics? Seriously? This is all the best and brightest in Greece have got?? Isn’t that like going from the frying pan into the frying pan…or the fire? What am I missing here? Does no one there understand how a proper economics system is supposed to work?
Why do I hear echoes of Richard Nixon….”I guess I am a Keynesian now.”
Rapier,
Makes me wonder what’s going on with the US and Cuba. If you can’t beat them, exploit them, huh?
Ilargi,
I agree that economies must be reorganized, but such that “stimulus” plans are made obsolete–a thing of the past. Properly structured economies function on their own and are not subject to the booms and busts we have today, which many believe are intentionally engineered by the powers that be, to concentrate more and more of the wealth (property).
Jobs are created when the price of raw materials (and then the incomes and profits of businesses downstream) are in balance with wages and interest, or at parity, as some call it. The populace then has the means (earnings) to consume their own production.
In terms of currency, production needs to be monetized, not debt. This is the basis of sound, honest money.
Again, as Keen suggests, debt forgiveness is a good idea to reset an economy. But the structural reforms must be put into place so things don’t go right back to where they started from. As said, with an economy based on debt, you eventually get a small percentage of people owning everything, which is a condition ripe for misery, and revolution. Just ask the Greeks.
Ilargi,
Abraham Lincoln was asked whether we should import steel from Europe to build our railroad system, or whether we should produce the steel ourselves. He said something like this: I don’t know much about rails and tariffs and I don’t know much about railroads, but here’s one thing I do know. If we produce the steel ourselves, then we’ll have both the rails and the money.
Well, you know, Tony Prep,
as Han Solo said to CP3O, “I’m glad you’re here to tell us these things.”
Ilargi. Excellent article.
I have once read that there is no basis for free trade at all. I have also read that free trade is for speculators and predators. Still more, I have heard it said that the high market buys cheap until the very process pulls down its standard of living to comply with world standards.
Furthermore….”A nation that degrades either the production or the income of its agriculture thereby condemns itself to war.”
You are right. Protecting your community from being gutted by economic ideas and systems is not evil at all. To protect is to love. Protecting your friends and family from those who kill, rape, and injure is just as righteous as protecting them from the economic killers and rapists. These evil people have worked hard through their propaganda machine to make protectionism sound evil.
It is good to trade locally, as you say, but it must be done fairly–with fair prices for goods and labor. The price of local goods that is two to three times the price of goods imported may be the right price, only because the imported goods have been produced by cheating the laborer and/or “cheating” the environment.
This only sounds stupid because our children, and our population, for that matter, have not been taught adequately about economics and money.
I always liked what John Stuart Mills said:
“Distribution in an institutional world had nothing to do with economics. The distribution of wealth depends on the laws and customs of society. Society decides how to share the fruits of the land–this fact moves the debate from impersonal and inevitable law to the arena of ethics and morality.”
It used to be that it was a good thing to tell your kids, “sticks and stones can break my bones, but names will never hurt me.”
Hmm, maybe I shouldn’t be telling my kids that anymore. Where are those sticks and stones when you need them?
Dr. Diablo,
Low prices of oil, or anything else for that matter, are only good for an economy when they are in balance with the prices of everything else in the economy. If I am one of those people or companies that is trying to bring oil to market, I need a parity price to make it worth my effort. In other words, I need a price that covers my costs and provides a reasonable margin. I know this well, because I have been involved in agriculture all my life and have grown things and brought them to market. I used to tell people that I didn’t care whether potatoes were $1.00 per bushel, $4.00 per bushel, or $100.00 per bushel, as long as it covered my costs of production. On the flip side, I didn’t care if diesel fuel was $1.00 per gallon, $4.00 per gallon, or $100.00 per gallon, as long as the price of my produce was in parity with that.
Thus is the problem with our economy. When things aren’t in balance, we have issues. The whole economy can represented by a T-account. On one side you have the income of business, the net income of farms, and rental income. On the other side you have wages and net interest. In essence, wages (labor) and interest are the only real costs in the economy. All other costs are someone else’s income. If the income of business can’t cover their costs, then debt most often is used to make up the difference in order for it to keep running.
And so you are right, Dr. Diablo, we have a debt problem. The income of business can’t cover the costs when the price of that production is not at parity. Likewise, people can’t consume their own production when their wages are not at parity. They either go without (poverty), or go into debt (slavery). Lately, there has been a whole lot of consumer debt, has there not?
And we know that with debt there is the 8th wonder of the world called compound interest. It just keeps multiplying and multiplying. And if things are not in balance, you keep piling it on (i.e. Congress). I think that is where your repudiation idea comes in.
Thanks for the discussion.
On Zero Hedge:
“Turkish President’s Stunning Outburst: The French Are Behind The Charlie Hebdo Massacre; Mossad Blamed”
I have now observed, in more than one posting, reports suggesting that Mossad was behind the organization of the Charlie Hebdo killings. Some of the events being reported concerning this whole incident look a little fishy to me, I have to admit. Some of the things appear quite similar to false flag operations of the past.
The more people believe and accept that false flag operations do in fact take place, the whole charade being perpetuated on us by the elite will really start to crumble around the edges, at the very least.
Nice article, Raul.
If someone like Mujica ran for President or some other high profile office in the United States, would he ever have a chance? How in the world did he ever get elected in Uruguay? Amazing.
Today’s writing reminds me of the saying:
Kingdoms are run by kings. Theocracies are run by priests. Democracies are run by money.
Also, Jesus had something to say about this (greed) a long time ago:
“It is easier for a camel to go through the eye of a needle than for a rich man to enter the kingdom of God.”
James K. Boyce says:
“Conventional economic models would prescribe spending more to protect the barons than the farmworkers of the world.”What are these models anyways? It could be said that economics is essentially about wealth, individuals making personal decisions in the trading of that wealth, and rules governing that trade. What I see today in my country, and this is probably common in others too, is that with all the multitudes of laws and regulations on the books that are supposedly designed to protect the common people from being robbed or swindled, they are either ignored or weakly enforced. Furthermore, it could be said that the laws are being rewritten or inserted into the code, to further concentrate wealth at that top 1%, as is commonly cited.
We need more people like Mujica writing, passing, and enforcing our rules. But how do we get them there?
Unemployment down to 5.6 percent: Is ‘full employment’ finally getting close?
What in the world are they talking about?!
As said in the CNBC article:
“Much of that investment flowed into derivatives, investments in paper backed by commodities, not the underlying goods themselves. That investment helped artificially force commodity prices higher than the underlying demand.”
As many of us know, these speculative devices distort the physical market. It happens in agriculture all the time, the field in which I work. These things have no place in a just world, as far as I’m concerned.
Rapier,
I think you hit on the crux of the matter, in that our presidents simply do what the elites tell them to do, and do their best to fool the public in thinking that they are actually in control. The elites could care less how well the person can solve complex problems. That is not the job of the president. Until the American public sees and acknowledges the charade for what it is, I doubt nothing much will change.
As Ilargi says, we need to keep holding up the banner of truth and hope more and more people listen and wake up to the facts.
William,
I think the readers of this blog will appreciate that the main issue at hand is that we don’t have honest money. It is my understanding that the founders of this country, called the United States of America, intended that the people control the issuance of currency. Was that not in the constitution? It is also my understanding that the Federal Reserve is no more “federal” than Federal Express. Hmm..seems like a problem, doesn’t it?
I think we know, as far as energy goes, there are different sources. People will tend to purchase and use what is the least expensive and/or most convenient. Oil will continue to be used until it loses that status. Concentrated energy is hard to beat right now, but as you say, that may change.
Here’s a post which parallels what Ilargi said.
