Global Capitalist Conspircy Theory?

Question

This theory is premised on unbridled greed carried out to its logical conclusion. First, a primer.
The Dow averages fell from their record lifetime highs within hours of Bush's speech on tax cuts. It troughed amid growing concerns of corporate fraud. It's rise from the bottom coincided with Americas invasion in Iraq in March of 2003. Corporate profitibility was sustained by massive deficit spending which financed the war. Huge profits flowed into corporate coffers. This all adds up to the looting of america.
Now, what will these capitalists do with their wealth? Will they use the proceeds to finance their next expansion?
I suspect that greed knows no bounds and they will not stop until they have totally bankrupted america. What will they then do? Will they take over another country far from the madness of the crowds in the North American cities, or can they live side by side with the sprawling masses? I suspect they have quietly been buying up land in South Africa.

draciron, great answer! Not a bit wordy either, The same facts I considered as well in posing my question. Any others to expand on this?

Answer 1

Lets start with our economics. The DOW index is a pretty much imagionary set of numbers that has unreal effects upon our economy. It can defy reality for only so long however.

The reality is that since at least Carter possibly even as far back as Nixon we have been creating a strong corporate paradise in the US. Each administration since at least Eisenhower at the same time has been more and more corrupt. The combination has been lethal to our economy. Corporations by nature are not bad. They are however when combined with the modern short term profit forget the long term and the other modern concept that corporations and the consumer are enemies. As such we've been raped as a nation long long long before that. By the time Bush got in office there wasn't much left to steal. While he continued the same policies of his father and Clinton which have had massive economic destruction it's nothing special compared to what's already happened and been going on for years.

The invasion of Iraq and deficet spending have had a mild stabilizing effect. Realistically think about it. We produce almost nothing here. We import almost everything. I remember 90s Democrats touting the new "service" based economy LOL. They were actually attempting to spin abject poverty like it was somehting we wanted. However it's nothing new. Bush sr was saved by an oil boom and a war. Clinton was saved by the dot com boom. None of the last 3 presidents we have had could even pronounce economic theory much less practice it.

Think about it. %16 of the economy is tied up in the housing boom. (the housing boom doing more to save Bush economically than anything else). I'm sorry but %16 of your industry being mortgage, construction workers, real estate agents. That is just plain insane. Somebody has to pay for those buildings. Where is that money coming from? With another third of the economy being retail the services/support aspect of our economy already heavily outwieghs the production/manufacturing end. We are the cartoon coyote who's run off the cliff. Not only is our gov spending deficet spending our entire economy is a deficiet economy. For an economy to work you have to have income which means productive jobs. Usually manufacturing of some sort. Whether it be concrete goods or abstract stuff such as computer software. Doesn't matter you have cannot import goods without some sort of export going out.

Not only do we not have exports we are elimanating our ability to create exports. We have outsourced even our R&D. This is economic suicide. As to who is to blame. Well that all started long ago. It first became rampent under Nixon and Carter with our manufacturing base leaving in droves. By the time Bush sr came to office it was mostly gone already. Bush sr did NOTHING to slow the exodus. Clinton actually managed to speed it up and it was under Clinton that outsourcing software really took off. Clinton had a chance to kill it while that was still practical and failed. Both Clinton and Bush jr's policies both encourage it and actively promote outsourcing like it's a good thing.

Though to be honest the real problem is in business school and the "global" economy which both left and right have embraced so strongly.

The debt based consumer attitude is another deadly factor. The new bankruptcy laws were put in place to prevent a collapse of our lending institutions. Each year since the 70s Americans have significantly increased thier debt loads. The net result of this is that more of your income goes for interest and less for actual goods. The consequence is a lower standard of living and higher profits for the lending institutions. The combination of lowered buying power from other sources is that Americans are just dumping debt.The next set of debt reform laws will bring strong measures to collect debt. Americans have to incur debt to surive today. Two income families are a necessity but not everybody can have two working people. Even relitively successfull people often have large debt loads compared to Americans of 20 years ago. Preditory lending is rampent and legislation is out there to protect the lenders not the consumers. The collapse however is unavoidable. American's just plain cannot sustain the debt load and as buying power shrinks due primarily to taxes and inflation mixed with a good measure of stagnent and dropping wages you have people who physically cannot pay the debt necessary for them to carry on needs. Once it does crash how can anybody buy a car, home, or that glitzy tv period? Many folks have charged utility bills, groceries, medical bills just because that is the only way they can get by. The rising min payment alone swamps them. Manditory debt collection such as wage garnishment will just plain sink them economically. This will furthor reduce demand for services.

What you describe is really out of context. The crash is inevitable at this time. The crash of the building market seems eminent. That's a %16 hit on the economy with an already dieing technology market. Manufacturing is barely a ghost. Tourism is never going to support the US standard of living.

So as our various systems collapse under the weight of our greed and corruption we will have plenty of people to point fingers at but few easy solutions to get out of the mess. Neither party has a monopoly on corruption and stupidity. Both parties seem to love to inflict both on the American people. Economically we are in BIG trouble and I'm not hearing even a recognition of just how bad it is much less a practical solution from either party. Balencing the US budget is the least of our worries right now. Might as well borrow from China since we can never repay these debts LOL. Sort of like taking a credit card out with a hated lender knowing you can't possibly ever pay even the interest on what your about to charge up. We can't. We have no exports to speak of. What few we do are not being done by Americans. Instead it's done using imported labor and with shadow companies that hide thier profits overseas. Stockholders profit and tuck those profits away in tax shelters and forign banks.

So in answer. When the crash comes they will be living in Europe, Bahamas, anywhere but here in the US. There will be a few wealthy that live here behind fortified walls. Not many. Most will flee the country. Actually many already have. For years taxes have driven many of our wealthy out of the country. The violence that ensues with the economic chaos will drive more than the wealthy out of the US though. Social programs will cease to exist since you have to have a tax base to support such. We'll have a huge part of our society at retirment age expecting to enjoy the fruits of those labors who have moved elsewhere to retire. This loss alone would be enough to trigger economic collapse. Already the wealthy move to exotic locations and the poor move to places like Mexico where they can actually live off thier SS check. As things tighten this trickle will turn into a flood. As unemployment rates hit unprecidented levels since the last great depression riots, gangs and organizations will take to the streets. It'll be safe for neither man or beast.

Stopping this nightmare might be possible. Not with either Democrats or Republicans in office. Not a chance, both parties are owned. Just two heads on the same monster that's been eating america alive for decades.

So why is this minor corruption compared to the major strokes commited by Bush sr & jr and Clinton even worth worrying about. The last 3 administrations long ago left the US smothered in corruption and barren of an inkling of economic hope. Even another dot com type boom couldn't save this economy.

Answer 2

Since oil companies are so powerfull, if there were conspiracies, all the gas stations would raise their prices at the same time and none of them would have significantly lower prices. Oh wait, never mind.

Regardless of what others have said, competition and capitalism don't have anything directly to do with each other. Capitalism breeds competition but as has been seen with the need for Monopoly laws, defeating competition can be far more profitable. Competition breeds improvement and lower prices. Neither of these are ideal for maximizing profit.

At high levels, wealth and power are the same thing. They can't be separated. Even well meaning people who use their wealth to help influence policy are continuing this idea.

People are sheep.

Answer 3

As politely as I can put it, your question and accompanying diatribe are shear lunacy.
Capitalists compete against each other and do not conspire with each other. Conspiracy is a criminal wrong and a civil wrong. In the US we have the strongest economy in the world. We have more wealth than any other country. We have a bright future ahead of us. Capitalism (with only slight interference from government) is what got us where we are today.
I am a Capitalist. I own property and stocks. I am glad to have the opportunity.

Answer 4

"... growing concerns of corporate fraud."

Should be re-phrased to "growing concerns about the effects of the corporate fraud that took place during Clinton's two terms in office (aka The Bubble Years)."

"I suspect that greed knows no bounds..."

Have a pretty low opinion of the human race, do you?

Answer 5

Your brain is fried.
Stop thinking. Your premise is silly, so your conclusion is insane. Get a job.

Answer 6

island vacations, smoking Cuban cigars, sucking down margaritas