Duly Recorded
Monday, October 10, 2011
Fair trade for the United States is not the same thing as chauvinistic nationalism or jingoism. The need for fair trade that does not penalize American workers does not have to be expressed in jingoistic nationalist or racist terms. This simply obscures the fact that free trade fallacy is an international issue and can only be resolved through positive some trade relationships that reverse current imbalances. The fact that slogans about fair trade are used to mask nationalistic zero sum trade agendas does not mean that the idea of a cooperative mutually beneficial regime of genuinely fair trade is invalid. For several decades the lowering of protection for US domestic industry in face of globalized competition from countries that underpay their workers has resulted in loss of existing and potential jobs in the United States and the transfer of whole industries abroad. The same trends have occurred in many other countries. This is not fair trade.
[Improve the phrasing of some of the sentences above and below. Combine some of these ideas and factual examples indicated in the source links in a coherent essay.]
From Today’s Press – Evidence of Periodic Overcapacity and Deficiency of Demand in Neoliberal Capita
globalanalystonline.com
The chronic imbalance between global and national productive capacities and total effective demand or purchasing power in economies that institute Washington Consensus or Neoliberal policies.
THIS IS REAL ECONOMICS 101
The ideology of social darwinian "free market" plutocratic ownership and control of everything is fundamentally wrong and can lead to nothing but economic breakdown. The media and huge sectors of the worlds population have been effectively indoctrinated with fallacious ideology and political mythology.
LEVELS OF POLITICALLY ENGINEERED INEQUALITY IN THE WORLD AND IN MOST NATIONAL ECONOMIES ARE UNSUSTAINABLE. THIS PRODUCES CHRONIC DEFICIENCY OF PURCHASING POWER AND PERIODIC OVERCAPACITY. IT ALSO PRODUCES WEALTH FOR THE FEW AND POVERTY AND STAGNATION FOR THE MANY.
THE BOTTOM LINE OF WHAT’S WRONG WITH WORLD CAPITALISM AND CAPITALIST DOMINATED GOVERNMENT IS UNEQUAL EXCHANGE, UNEQUAL BARGAINING POWER AND UNEQUAL POLITICAL POWER. THE ONLY SUSTAINABLE SYSTEM IN THE LONG RUN IS ONE THAT IS MORE EQUITABLE.
Many of the bananas of the US banana republic come from outside the United States at dirt cheap prices to the real banana growers. Is this inevitable? I don’t think so.
The best example of the cozy relationship between multinational plutocracy and corrupt government is the relationship between multinational oil companies and the government of Equatorial Guinea. Plenty examples of similar corruption and the perverse influence of unearned concentrated wealth and income can be found in the United States. The US is a "banana republic."
It will be impossible to redress the decline in working class incomes without altering the nature of the private corporation and its ability to rig the rules of the economic game.
Un-regulated banking and shadow banking plus regressive macroeconomic policy work hand in hand with globalization and corporate greed to undermine the position of productive industrial and service workers everywhere. The only way out of this problem is to radically alter the rules of the economic game in favor of a cooperative world order and positive sum economic relationships between nations.
Free trade fallacies and globalization are a major source of economic decline of the United States and Europe, but they are not the only cause and globalization and trade deficits themselves are fueled by the greed of multinational corporate elites and the governments they buy or influence.
American Economists Share Nobel Prize
Thomas J. Sargent and Christopher A. Sims, two Americans, won the Nobel economics prize on Monday “for their empirical research on cause and effect in the macroeconomy.”
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The good news is that this work may help substantiate something about which there is abundant evidence. The question is what were all the other economists doing these last decades. Many of them were simply touting mathematized ideology and regressive policy prescriptions that couldn’t do anything but funnel income and resources to the top.
This article is also an example of the shallow understanding of economic issues of its authors who use meaningless labels and epithets like "new Keynesians" and consulted mostly with economists who failed to see the makings of the current economic crisis, like Robert Lucas. There are many economists and non economists who saw what was coming.
The Cost of Theoclassical Economics and Economists
An excellent article in light of the recent Nobel Prize awarded to two economists who finally realized that unregulated capitalist market economies with regressive macroeconomic policies face a chronic imbalance between productive capacity and effective demand. There is plenty of arithmetical evidence to support this. The nobel prize winners abstruse and opaque discussion will not add much to public understanding of this issue.
neweconomicperspectives.blogspot.com
From Today’s Press
The chronic imbalance between global and national productive capacities and total effective demand or purchasing power in economies that institute Washington Consensus or Neoliberal policies.
See William Black’s article today.
The Cost of Theoclassical Economics and Economists
(Cross-posted from Benzinga)
Hernando de Soto is an extremely interesting Peruvian economist who is simultaneously deeply conservative and highly innovative. He published a column in the Washington Post on October 7, 2011 entitled “The Cost of Financial Ignorance” that caused me to reexamine “The Washington Consensus” [TWC].
Pasted from <http://neweconomicperspectives.blogspot.com/>
Also see these New York Times articles:
ENDANGERED DRAGON
As Its Economy Sprints Ahead, China’s People Are Left Behind
Pasted from <http://www.nytimes.com/2011/10/10/business/global/households-pay-a-price-for-chinas-growth.html?_r=1&ref=business>
Recession Officially Over, U.S. Incomes Kept Falling
By ROBERT PEAR
Published: October 9, 2011
Pasted from <http://www.nytimes.com/2011/10/10/us/recession-officially-over-us-incomes-kept-falling.html?ref=business>
American Economists Share Nobel Prize
Published: October 10, 2011
Pasted from <http://www.nytimes.com/2011/10/11/business/american-economists-share-nobel-prize.html?ref=business>
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