Though the International Monetary Fund has spent most of its existence parading around the world telling governments to make their economies more friendly for multinational corporations by suppressing wages, restricting pensions, liberalizing industries, and more or less advocating they ignore the popular will of workers and the less fortunate—all in the name of market capitalism and endless economic growth—a new report released by the IMF on Monday contains an ironic warning: stop doing all that.
In theory, capitalism is a simple government tool to get low costs for the consumers and high prices for the farmers at the farmers markets. In theory.
In practice, the free market is better than free if you are enormously wealthy and have bought the government. The tool doesn’t work. Ever.
Quick, hide this article!
Let capitalisms self destruct! Let capitalism, inspire the revolution Marx and Lenin anticipated it would inspire! Let the bipartisan (neocons + neolibs = majority rot in hell!
Unleash the rabble rousers!
Repeal all the laws enabling corporate media!
Bring down the captured pseudo-regulatory bureaucracies!
Tax the “too big to fail” banks at 100% of their net profits before dividends, payroll, and bonus payouts!
Let us all be bold in our call for civil decency in the very most rotten political culture the world has ever seen: the USA!
“to get low costs for the consumers”
if that were the case goods would flow to were they are needed not to where they are most profitable.
Someone must be hearing the sharpening of knives.
The IMF exists to rape countries for the benefit of the rich! Now the economists who ‘work’ there are getting scared.
This is very welcome, and hopeful information. Piketty, in Capital In The 21st Century, demonstrated the same idea. Throughout history, capitalism has always ended up by consolidating wealth.
So, capitalism contained the germ of it’s own destruction from it’s beginning for the vast majority, and that’s why it must be regulated in order to keep the better aspects of the system.
A safety social net goes along well with a bank account, that is, a limited bank account that reflects individual responsibility and is located in the originating country. No tax havens allowed.
After the second world war, those leading the western European governments understood that the economic conditions of the pre-war period had led to the rise of fascism, and at the same time faced a tremendous growth in the communist parties. This led them to create social democratic models which improved the lives of working people and immunized them to the appeals from the far right and left. Universal healthcare, the rights of labor to organize, inexpensive or free higher education and other benefits were offset by high taxes on all classes. This led to a period of unprecedented peace and prosperity for Europe, the development of the EU and the Eurozone.
A few of the western social democratic parties nationalized major industries, as in UK and France, but for the most part those experiments were abandoned - In other words, no lasting effort at socialism was attempted and the benefits provided to workers remained dependent on a thoroughly capitalist economic system. As decades passed, the governing class, and the elites who prospered under the post-1945 consensus, forgot why their predecessors had taken such care to provide working people with decent lives and began to revert to the pre-war model of unrestrained greed. Once the threat posed by internal communist parties vanished with the fall of the USSR, the rapacity took off, aided and abetted by the financial gimmickry of Wall Street.
After 1945, the wealthy classes had no choice but to face the reality of how their unrestrained greed could undo all they built, the same lesson FDR drew from events in the United States a decade earlier. In short, they learned to be afraid. It’s time they re-learn that fear and take steps to head off disaster. Perhaps the IMF report is a sign of rationality.
If they were really concerned we would be seeing some debt forgiveness, Not going to happen that usury money is needed for payroll and investors.
My guess is that the wealthy classes must be convinced that, today, they have a much more effective system of social control, components of which include surveillance and propaganda, and that any emerging political threat can be quickly snuffed out. So they no longer see a reason to be prudent, and as a result they feel free to engage in unrestrained greed. I don’t know if they are right or not (I can’t see that far).
Again, just my guess.
“Philosophers have hitherto only interpreted the world in various ways; the point is to change it.” In order to change it one must understand it. That’s why it’s so important to connect inequality, environmental disaster and deaths of the homeless, malnourished and those who can’t afford health care back to capitalism’s normal, profitable operation. This report could be shortened and summarized as “Capitalism is killing people and the environment. Inequality is just a consequence of the normal, profitable operation of capitalism.”
In the end, their “capitalism” will kill them, the capitalists. Guaranteed.
Blah, blah, blah. I read once an article describing the IMF as the Typhoid Mary of the developing world. It was established by capitalists and an elite group of jerks steeped in their version of the 'white man’s burden" and is still functioning as the grim reaper’s blade slicing a broad swathe through the economies of the world. That some finally are acknowledging what has been discussed for the past 30 years is all good, but until we see some actual behavioral change, to me it’s all just a bunch of hot air being used to soothe the consciences of the monsters who make the decisions. .
I think their fear is driving them to establish even more draconian surveillance and control systems. They are tightening their grip on the reins of power. Those who haven’t already will be turning their residences into fortresses. They fear what’s coming. They are, literally, afraid of losing their heads.
i wonder if the IMF or any of the banking criminals would lend me the dough to establish and ‘grow’ a new guillotine industry?
Fancy that! I forgot how brilliant intellectually are these IMF people.
blinded by GREED!
Raising the minimum wage to 15$ today is a start. Not by 2020.
A real national health care system-where there are local health centers in neighborhoods being the center for the commons.
Sad to say we live in a zombie nation designed by the elite.Don’t forget the election of 2000. There was barely a peep as Bush stole the election.If there was a military takeover -would it be a 5 day news event? and we all just go on like “normal”.
Who elected these idiots to rule the world of money? And after the Lords of Commerce had a taste of wealth and power, why would they listen to the word of those who would have them give it back? Problem with the original message, the oligarchs didn’t think it through to the obvious end. Scorched earth is still scorched earth with no value if you are hungry. A pint of water is more valuable than a gallon of oil, if water is what you need.
Remembering the tale of Midas - gold is hard on the teeth and is of little comfort compared to the warm presence of a loved one. His obsession with gold cost him much more than he gained.