Category: econocaste

economics .. the short version, since the long is wasted on the young

Bush Sees Danger

Posted on Posted in econocaste

From the Wall Street Journal reporting about President Bush’s speech ahead of the G-20 meeting.

Mr. Bush also will warn against the danger of overregulation, noting that some European countries oversaw their mortgage markets more extensively than the U.S., yet experienced “problems almost identical to our own.”

This is a, ‘but Johnny did worser’ arguments. Let’s put this into a contrarian phrased example to bring out the center of the argument. Your neighbor lives in a house built to higher code standards than your house. As your house burns down because of shoddy construction and negligence on your part, the flames spread quickly to those of your neighbors. And you stake your defense as being ” their house shouldn’t have caught fire if it were built better.” Sadly, his argument is taking hold, even though those countries that burned with Wall Street were built using the model of Wall Street. Ayn Reagan gets its way.

The real word: beware whose homework you copy

A Difference

Posted on Posted in econocaste, paradox lost

Employees have life, money doesn’t.

People have interests, money only interest.

The company is a fiction created to accumulate funds and functions beyond the life of its original author. That fiction must be held up by the state and so too its market space must be held together by that same state. While capital may create jobs, it is workers that create things, manage processes. It is labor that buys and makes. It is, oddly, labor that provides Capital with the capital. Odder still, it is the evil, evil unions that continuously stream money to the Investment Vessels. And it is from those Vessels that the Priests of Capital drink so fully.