Why Capitalism Is Failing

Quote from piezoe:

There is no "ethical" or "moral underpinning" of capitalism. Capitalism is simply an economic system where capital and the means of production are in private hands. It has nothing to do with ethical, moral, or free markets. Capitalists are reviled by the very idea of free markets. Whether capitalists act ethically or morally has nothing to do with capitalism per se. The form capitalism takes will depend on whether or not there is a disinterested referee present, such as a government, to keep "crony capitalism, corporatism, or corporate fascism, at bay. Because of human nature, these are the unseemly forms that capitalism will take if left to its own devices, such as for example under what is referred to as "laissez faire capitalism" which becomes dominated by cartels and monopolies.
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Well said. Unfortunately, people get ideas confused in their heads.

I have suggested that people look at these films before:

http://video.pbs.org/video/1170821435/
http://www.thecorporation.com/index.cfm?page_id=46

People need to unwind definitions carefully. Don't accuse a system without understanding first the goal and purpose of a system.

Define these terms:

Economics:
Capitalism:
Corporation:
Money:
Communism:
Socialism:
Rule of Law:
Intellectual property:
Role of government:
Objectivism:
Taxes:
Trickle down economics:
Free Market Capitalism:
Private ownership:
Means of production:

What is the unit of value in each of the ism's.
Are corporations necessary.
Are the rich necessary.
How do you structure ethics, morals, etc, on top of any of these systems.
What roles do banks play.
What roles do ratings agencies play.
How exactly does a stock market work for a corporation, not just stock, but bonds.
What is the history of banks.
What is the history of the FED.
What is the difference between a Republic and a Democracy
Why do we have Political Philosophy as a separate subject and why are they intertwined?
What role does regulation play? Why not allow any free for all and let "buyer beware"?
What is moral hazard?
Why do we repeatedly have Financial Crisis. e.g. SnL and now " Too big to fail"
What is the psychological basis of any society? Why have systems at all?
What is the role of debt?
What is redistribution of wealth?

And perhaps most importantly, what is the historical settings under which these ideas came to be? What problem were they trying to solve when they were invented? Are they an anachronism today?

The list is endless.
 
"I would strongly disagree with this if you are referring to the U.SA. In the US., capitalism has been perfected to a greater extent then in any other country in the history of the world. If there is a failure, it is the failure of democracy, not of capitalism. The U.S. is a thoroughly capitalist nation. Perhaps it is not the form of capitalism you had hoped for."

Odd comment since we said the same thing. Perhaps I didn't word it well.

One thing that should trouble people is the thought that this has not all happened before. In fact, it has happened before in the US circa 1873 and similar other events before that date.

Pride goeth before a fall. This time is (almost) never different. One problem is that 100 years (about a generation) is too short a timescale to look at repeating lessons. I am hoping voters wake up while there is still time to change the path they are on.

America is a great country with wonderful people that have done many great things, but if voters fail to learn from the lessons of the past, then most likely they will repeat those lessons until they understand. That is simply how this world works IMO.
 
Capitalism isn't failing. Democracy has started to fail. Democracy has advanced socialism to the point where we are trapped in an economic corner.
 
My point was indeed we have crapitalism and NOT capitalism. Crapitalism is crony capitalism. The local or state or national poobahs put into law those laws that will best squelch competition. Doesnt matter if its purchasing cars on Sunday or the distribution of alcohol through distributors.

In capitalism private property rights are protected, period end of story, yet we find private property rights abused from individuals all the time. You will visit a website and attract cookies and others will take your information you created and sell this information to others for profit. You will purchase goods and services and credit card service providers will take said info and sell it for profit. Where is your cut of the pie? Individuals create every day intellectual proprietary data that are not, as of yet, being compensated for.Date that is unique to you and valuable to those who take said data and profit from it. If someone wants to track your online activities then at the very least you should have your internet bill paid for by said data thieves. Yes they are thieves. Trampling on your proprietary private property rights.

Hollywood stars create a sex tape, a hotel maid can swipe it, sell it and reap the rewards. No protection for those whom created said sex tape. You created it. You should be able to control its distribution and receive compensation for said efforts, if you so desire. You post a video to youtube, you put a song on it, someone else controls the property rights to the song, now we have a "fair use" clause but, if they find it inappropriate they can demand, and have the legal means, for you to take the song off the video. So, some property rights are protected and others are not.

I agree, the constitution contains many things, I see things like taxes in the constitution and regulations in the constitution. The intellectual capital we create everyday as individuals MUST be protected and not stolen by others to profit off of it. Not without due compensation. You will often hear from corporations, that china is stealing their intellectual property rights, well ours is being stolen as well and all private property MUST be protected, whether at the corporate level or the individual level.

I dont believe capitalism is failing, not even close. Failure of leadership? Certainly, from both major parties. Is there greed in the system, undoubtedly. Greed and coveting are both covered in the holy books, its hard to legislate such things though. Gold isnt in the constituion, silver is though, our currency was based on the silver dollar from spain when we were a small agrarian society. Have a great weekend all. Go out and create something wonderful today, only cost $30 at copyright.gov.



:cool: :cool: :cool: :D :p :D
 
Quote from zdreg:

you ask a question because u didn't know which is ok.
you received a response. my guess is that you didn't make an effort to determine its validity.
I suggest u read a financial history of the US.
care to explain why u are chuckling?
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Well, I thought I had deleted that question because I was afraid of the answer, but you were too fast for me. I certainly wasn't thinking of gold. It makes me chuckle though, to think of the chaos that would ensue were a large nation with a fiat currency to try and make a clock move counterclockwise and go back to the "gold standard". I'm afraid the cat is out of the bag already.

As I think more and more about this whole idea of a gold standard I begin to realize that, today anyway, it is just as absurd, perhaps even moreso, than a fiat currency. Ideally a fiat currency goes back to a nations productivity, or at least its perceived productivity. But that is such a nebulous thing.

It might make more sense, if one was going to use a substance as a monetary standard, to use something like fresh water, or perhaps pure silicon. But gold, in twenty-first century, really does make me chuckle.

Congratulations, by the way, if you were one of the smart ones who speculated in gold. It has done very well indeed if you bought it pre-crisis, or should that be plural :D, and held. As you see things settling down in the next two years or so, I would be inclined to take profits.

Historically gold has been a good hedge against inflation, but a poor long term investment. But that doesn't mean you can't make a killing if your timing is good. I wish I had been so smart.
 
Quote from piezoe:

Well, I thought I had deleted that question because I was afraid of the answer, but you were too fast for me. I certainly wasn't thinking of gold. It makes me chuckle though, to think of the chaos that would ensue were a large nation with a fiat currency to try and make a clock move counterclockwise and go back to the "gold standard". I'm afraid the cat is out of the bag already.

As I think more and more about this whole idea of a gold standard I begin to realize that, today anyway, it is just as absurd, perhaps even moreso, than a fiat currency. Ideally a fiat currency goes back to a nations productivity, or at least its perceived productivity. But that is such a nebulous thing.

It might make more sense, if one was going to use a substance as a monetary standard, to use something like fresh water, or perhaps pure silicon. But gold, in twenty-first century, really does make me chuckle.
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"It might make more sense, if one was going to use a substance as a monetary standard, to use something like fresh water, or perhaps pure silicon. But gold, in twenty-first century, really does make me chuckle."

gold has a pedigree of 2000 years of acceptance.
a monetary standard has to be durabile,portable, fungible, a relatively stable supply and accepted by others. your suggestions do not meet these requirements. the chinese understand this and are accumulating gold and are getting rid of their fiat paper currencies.
 
Quote from zdreg:

"It might make more sense, if one was going to use a substance as a monetary standard, to use something like fresh water, or perhaps pure silicon. But gold, in twenty-first century, really does make me chuckle."

gold has a pedigree of 2000 years of acceptance.
a monetary standard has to be durabile,portable, fungible, a relatively stable supply and accepted by others. your suggestions do not meet these requirements. the chinese understand this and are accumulating gold and are getting rid of their fiat paper currencies.
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It is a good thing we don't all think alike, there would be no one on the other side of our trades!
 
Quote from piezoe:

As you see things settling down in the next two years or so, I would be inclined to take profits.
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I can't fathom how things will settle down in the next two years or so. If anything we are in the eye of the storm currently. Record low interest rates, two rounds of Quant Easing, ZIRP and still in the stupor of the unprecedented rounds of stimulus, backstopping and bailouts.

More than anything, we've simply delayed the inevitable.
 
Quote from piezoe:

It is a good thing we don't all think alike, there would be no one on the other side of our trades!
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the above is not a retort to what qualities constitutes an acceptable money standard.

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as to you statement there will always be a trade if the price is right.
 
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