It’s different this time, or is it? The US Federal Reserve, the Bank of England, and the European Central Bank have become gargantuan, out-of-control, rogue hedge funds. Global central banks have magicked-up hundreds of trillions of dollars in debt and guarantees. Global stock market valuations are stratospheric—buoyed by stock buybacks, funded by record corporate [...]
by Mitch Feierstein about 1 month 1 week ago
How Trump and The EU’s Demise Can Boost India’s Economy Trump’s presidency as well as the positions taken by Western liberal elites will provide India with a wonderful opportunity to grow and take its place as an economic powerhouse. The positions taken by liberal elites have resulted in a threat to Western democracy. Now, these [...]
by Mitch Feierstein about 1 month 3 weeks ago
During the past election cycle, our political elites, oligarchs, and the DNC decided another eight years of neoliberalism was just the medicine America needed, and they did everything in their power to ensure that it happened, regardless of what America really wanted. Hillary Clinton’s campaign and the elite oligarchs relied exclusively on the propaganda megaphones [...]
by Mitch Feierstein about 2 months 2 weeks ago
This year’s presidential election has brought into sharp relief the fact that our justice system—in fact, our whole way of life—is in trouble. Crimes by the political elite, particularly those of Hillary Clinton and her cronies, are not being addressed by the criminal justice system. Instead, they are being swept under the rug and willfully [...]
Planet Ponzi – the massive build-up of debt, the total loss of political transparency – had caused multiple casualties across the world. The failure of banks, the huge rise in government debt, the failure of business, the loss of jobs, the pressure on real incomes – all these things stem from the same dark causes.
But there’s one consequence greater than any of these things. In the last few weeks, democracy has taken a pasting. For all Berlusconi’s faults (and there are many), he was the democratically elected leader of his country. The new Italian government does not boast a single elected politician. The Italian people have had nothing to do with choosing the direction of their country. Given that their nation has faced no more serious issues since the Second World War, this is a somber thought indeed.
It’s the same thing in Greece. George Papandreou may not have been a perfect leader, but he was the country’s elected leader. When Europe presented Greece with an ultimatum, Papandreou’s first instinct was to take that offer to his country. The future of the Greek people would be defined over the next ten years or more by these matters: Papandreou was right to consult his nation. As soon as the ‘international community’ got wind of those plans, he was promptly rebuked, he left office – and a new government took power without an election.
In the United States: the same thing. The budgetary ‘super-committee’ was set up in the wake of the debt-ceiling vote to define a budget strategy for the US government. That is: party apparatchiks chose – without election or public consultation – the men and women who will plan the nation’s fiscal future. Again: a total absence of democracy, a total lack of transparency.
And what happens? What emerges from this process? Answer: failure. The politicians in America, as in every country, are chosen in order to debate and solve the leading issues of the day. They need to solve those issues through open debate and place themselves in front of the electorate sufficiently often that the electorate can express a view.
In America, our political process has shown itself, so far, incapable of this basic task. To speak bluntly but fairly: American democracy is, at the present time, failing the nation.
Even in the countries, like Germany, that are not a part of Planet Ponzi, democracy seems close to collapse. Why should the German people be asked to bail out their southern neighbours and not get a vote on it? Why should the ECB pile into buying Italian bonds – probably illegally – and yet the people of Europe have no say on these things? Why should the British government refuse a Euro referendum, simply on the grounds that the leaders might not like the answer?
The solutions to Planet Ponzi are simple. More democracy not less. Less debt, not more. At the moment, we have things – tragically – the wrong way round.
by Mitch Feierstein about 9 months 5 days ago
Barack Obama was recently on the stump, defending the latest set of lackluster jobs figures. Obama blamed ‘serious headwinds’ including higher gas prices and, more recently, the developing crisis in the Eurozone. Having handed much of the blame to foreign oilfields and European crises, he returned to more familiar ground, bashing a Republican-controlled House for blocking some of the proposals in [...]
You know that scene in Mr. Smith Goes to Washington? The one where the good guy, Jimmy Stewart, stands up in the Senate protesting the graft and corruption he sees all around him. He’s not as smart as the other Senators. He was only elected by accident and knows that he’s not properly qualified to [...]
by Mitch Feierstein about 9 months 1 week ago
Barack Obama made a speech recently pledging his opposition to (yet another) game of chicken over America’s debt ceiling. “This is the United States of America,” he told his audience. “We’re not some banana republic. This is not a deadbeat nation. We don’t run out on our tab. We’re the world’s bedrock investment – the [...]
A Ponzi Scheme applies to any investment scheme where the promoter offers crazy returns to attract investors. If you invest your money in such a scheme, you might even get it back – plus some crazy rate of interest – as long as there’s still a flood of money from new investors. But the scheme [...]
As the initial shocks of the financial crisis of 2008-09 began to subside, policy makers – shattered by the scale and velocity of what they had just witnessed – started to think about earthquake prevention measures: how to stop the same thing happening all over again, One of the simplest, and best, such suggestions came [...]