How Long Will The Crash Last? (48min.)

[LargoWinch]

Runtime: 48min.

[marvenger]

Re: How Long Will The Crash Last? (48min.)

good video, thanks.

As a rebuttal against all the woes being reckless finance's fault I think it should be added that corporate profitability was financing the the money markets that the banks were feeding off to a large extent. That means it relates significantly to the real economy, where large corporate savings and low wages to productive workes means ponzi finance is a natural outlet for economic savings when consumers have little non debt based purchasing power. In state controled China massive profits means empty cities, roads, fast trains and ponzi finance, in the West its mainly ponzi finance.

So really what I'm saying is, as most people on this site are in favour of chasing a high number that relates to profit - what are you complaining about? Capital got what it wants - high profits - and then it didn't know what to do with the profits as the rich already consume enough and they think improving the lives of others is socialism, so it therefore wasted the profits. Its the fact that capital is not content with being wasted and looks to the taxpayer to make it whole that causes the most concern, but this is just the natural response of what capital would want to do to maximise its worth. People here think capital acting in capitals interest is the best way for society to function - but this is exactly what has happened - so I just do not understand what so many people here are complaining about. If the results of the economic system are unpalatable then the behaviour of capital needs to be modofied. If you think capital acting in capitals interest is the best way to run a society then there is absolutely nothing to complain about.

[don]

Re: How Long Will The Crash Last? (48min.)

I agree, Marv. To expect capital not to act like capital is foolishness.

Organized labor and small business associations offset the power of capital, not theoretical constructs.

Both have been eviscerated here.

Capital has free rein in that regard.

It still remains a moribund system, however, that has lost its dynamism.

[vinoveri]

Re: How Long Will The Crash Last? (48min.)

let's not fail to distinguish capital (generated from savings) from pseudo-capital (fiat money created out of nothing and debt).

pseudo-capital can function in many ways like real capital (primarily b/c of legal tender laws and confidence in the system), but I don't believe that the boom/busts would ever occur to the extent we have witness w/o the existence of out "money from debt" ponzi system (or some other means of virtually unlimited creation of the money supply).

This is an indictment of our fraudulent monetary and keynsian economic system, not of runaway capitalism IMO.

[marvenger]

Re: How Long Will The Crash Last? (48min.)

let's not fail to distinguish capital (generated from savings) from pseudo-capital (fiat money created out of nothing and debt).

I wasn't trying to, everyone is well convinced of the later, I was just trying to point out the former plays a significant role too. Without the former from Europe and Asia the US wouldn't be able to use the later to maintain lifestyle and a massive military for so long while they hollow their home industries out in the name of profit. Now its time for people to decide if they like the decisions capital has been making.