The present crisis of Capitalism is one of fluidity - too much wealth is
held in reserve - for there are no areas of investment that will bring the
same guaranteed rate of return (profit) that the stock market and currency
manipulation does. The reason for the present attack on the middle class
(wages,pensions, housing, savings) is that these represent untapped reserve
of wealth (profit). Meanwhile it is estimated that corporation have taken 3
trillion dollars out of circulation and sit upon this as a cash reserve -
in that they have noting to invest it in. Meanwhile worker productivity is
at its highest ever do to new technologies, materials and production
methods - thus more can be produced with less labor and this raises the
rate of profit - which means increasing segments of the population are
driven into poverty or considered marginal. Unregulated Capital drives to
monopoly and to poverty in that the logic of profit is one of
self-cannibalism. The lower the cost of labor the higher the rate of profit
- yet this means to maintain the rate of profit one must drive down the
cost of labor - but the result of this is you begin to eliminate a setor
of your potential market for they can not afford your products - the
band-aid that was invented to conceal and deal with this flaw was the
invention of the credit industry in the 1960s - in which one borrows
against future income. We see that were this has gotten us - it was the
credit industry that Obama had to bail out by deregulating banks and
permitting them to become joined to investment houses. In other words we
are not talking about individuals but a systemic flaw - that is hidden
behind a 19th century vision of capitialism (which was expansionist) -
