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The Elite's Childlike Commitment to Austerity


The Elite's Childlike Commitment to Austerity

Dean Baker

The landslide victory of left-wing candidate Jeremy Corbyn for Labor Party leader in the United Kingdom has many establishment types bent out of shape. The Blair-wing of the party was literally obliterated, with Corbyn drawing more than four times the votes of his nearest competitor. After giving the country the war in Iraq and the housing bubble whose collapse led to the 2008-2009 recession and financial crisis, the discontent of the Labour Party's rank and file is understandable.


Unspoken here is the over-drive engine of an orgy of infinite growth based on 15th century institutionalization of colonizing and extracting in every sphere and commensurate 'externalization' (the nananana model of - I can't hear you on genocide, land-grabbing, soil depletion, biodiversity loss, water cycle disruptions, toxic overload, permanent war footing, and the list goes on... the long term degradation that the "I" of the "responsibility" (thats a good one, eh?) to the corporate shareholder need not turn its 'eye' so that 'aye' can come out of its short term centered mouth for the foregoing).

woof! ...which reminds me ...
Richard Wolff's September update


Woof indeed. Try writing in English. It's always better to use pithy Anglo-Saxon, rather than Latin or Old French derived language.


Very interesting video but had to stop when he started talking about China and wealth accumulated thru mfg all the products the world needs and selling it cheaper and becoming very wealthy doing it. Not a mention about the multi nationals of the world going there and producing and making billions in factory sweat shops. Then China loaned back the money to US. It made it sound like the Chinese did it all by themselves and not by our greedy sycophants shipping jobs overseas to where they pay workers $1.00 an hour if lucky. Made it sound like Chinese money finances our government. These were false so have to conclude the rest was false. Yes, China bought treasuries but they are not financing our government we the taxpayers are and we owe more to SS fund then we owe China. And we owe it to SS because it was robbed out of SS fund to pay Peter.


Dean Baker, I didn't understand 99% of that article. Sorry. Maybe some graphics?


Thank you. Well said. I love your posts.


I would say ossified thinking based on listening to the idiotic and self serving propaganda generated by multinationals and the wealthy that has been flooding the media for decades.


if you listen I think you'll find the US corporate participation covered


Taking money out of an economy to solve economic problems is like taking food from starving people to prevent starvation. It doesn't work and is exactly the opposite of what is needed to solve the problem.


I agree that Krugman is childlike. What else is fixation on borrowing money to prime the economic pump toward infinite growth and then let managed inflation degrade the loan to such trivial value that paying it back is almost an easy afterthought. I remember this childish dream from the sixties, it conflicts directly with the old-fashioned economic idea of a currency as a store of value.

Regarding austerity: it is a very stable at least six hundred year-old policy used by European colonial powers to manage conquered lands, as soon as the commons were appropriated and the education system gutted. When the population is reduced to minimum wage austerity, plus a procreation benefit for worn-out worker replacement, the wealthy receive every measure of worker productivity left over.