tag:blogger.com,1999:blog-2579189847356587096.post7436921823788674605..comments2024-02-14T11:30:29.227-08:00Comments on Facts For Working People: Capitalism: Theft or exploitation?- a review of Stolen by Grace BlakeleyRichard Mellorhttp://www.blogger.com/profile/00997976754939725087noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-2579189847356587096.post-13660903038520598372019-09-14T15:45:21.362-07:002019-09-14T15:45:21.362-07:00Richard I posted this comment at M. Robert's w...Richard I posted this comment at M. Robert's web page ---------- I tend to agree with Blakeley, because household net worth in the U.S. has increased from $48 trillion to $108 trillion, 2009 to 2019, an increase of $60 trillion (Federal Reserve, Flow of Funds, page 2). I guess the GDP averaged about $15 trillion each year. Naturally the savings rate over 10 years was not 40% (adding $60 trillion in savings while creating $150 trillion in output, 60/150 = .4). So where did the $60 trillion come from? Financialization is a decent answer. Accumulation of capital is the motive, the raison d’etre of capitalism. Economist Lance Taylor calls it a dual currency event. One currency appreciates faster than the other, so the smart capitalist places his surplus (ill begotten) in the faster appreciating currency. Why would the financial assets inflate faster? Supply and demand, there are finite places to place capital, their value increases as more money seeks to harbor in those secure asset places. I suppose this is Blakeley’s argument. Didn’t Keynes call for the euthansia of the rentier? Maybe he was looking at this phenomenon? Blakeley’s book is a positive contribution because it highlights the stupidity of this economic system. Her theory may be wrong, exploitation may be better than theft, profit squeeze may be more accurate than debt or imbalance, but either way, the public is going to have to sort it out, and kill the rentier and greedy capitalist — accumulator. I began by reading Robin Hahnel’s book economic democracy, consumer councils informing producer councils, or libertarian socialism. Could I still buy my Toyota that goes 300,000 miles and more. Or would I have to stop driving entirely and take a cab? I don’t know. Cabs are OK, but what if I have to wait two hours for it to arrive? What then? Life is complicated. BenL8https://www.blogger.com/profile/00420714381737779417noreply@blogger.com