From the eighties on we have been living in a post Milton Friedman economic model that has not been clearly understood by the people. It has been setting us up for the ultimate corporate heist. “Trickle down” economics and the idea of shrinking government have been an illusion. The terms “democracy” and “capitalism” have become so intertwined in the public psyche that we think that capitalism and free markets are the same thing.
Unfortunately we have not been given “free market” capitalism, instead we have been given a “Super Capitalism” model that destroys free enterprise. Breaking up large monopolies and oversized corporations through anti-trust litigation has all but disappeared. We have entered a period of corporate destruction that at present seems unstoppable.
Problem is, the capitalistic model of Milton Friedman is not a free market system. It is a highly controlled market system that benefits those that have monopolistic powers. It benefits the status quo to the detriment of society at large.
Monopolies are the enemy of a free market system. Monopolies control price, quality and distribution to the detriment of local economies. They destroy local economies and society for the benefit of the few. Monopolies are not democratic markets. Oversize monopolies remove choice, free will and destroy local communities by taking resources away from the local economy.
Privatization and deregulation have been an elaborate ruse. They have accelerated the selling off of our core governmental services in the wake of September 11th. Traditional rolls of government have been shifted to private hands at an alarming rate and with almost no public debate. Huge profits have been made and public oversight has been reduced or eliminated. These monolithic corporations are shielded from public scrutiny through corporate protections and a lack of oversight. These corporations have no public oversight, they are free to price gauge, outsource and use international labor at the expense of our society at large.
These governmental giveaways are worse then taxation without representation. Corporations are not required to have public debate or oversight. They can charge what ever they feel like and they do not even have to disclose their private practices. They are given a license to steal from us.
The policies of Reagan; deregulation and the suspension of anti-trust litigation were the set-up. The passing of international and sweeping corporate friendly trade agreements like NAFTA and the creation of the WTO established the infrastructure. And under Bush, and the shock of September 11th, the great American give away transpired right under our noses, it happened while our attention was focused on national security.
While we reeled in shock from the events of September 11th, our President, his administration and our Congress stood by and gutted our Constitution and civil liberties. But they did more than that. While we were reeling from the events of September 11th, this administration and their corporate cronies, looted and pillaged functioning areas of our government. They have plunged us into record amounts of national debt.
This government (including Congress) handed over state assets to private corporations at an alarming rate. Insiders to this government have profited handsomely. Our public services have been given away and been privatized Black Water, Halliburton and the like provide services at several times the rate it would cost for military personnel to perform the same functions. They are shielded from public oversight because they are private corporations. They can charge anything they want and we are limited in the information we can obtain. Governmental oversight has been circumvented.
These “new enterprises” are not created in a free market system. They are not openly discussed and debated with proper controls in place. They are gifts to wealthy Washington insiders.
They should be highly scrutinized – but they are not. These gifted agreements with virtually no public debate instantly form super monopolies and create billionaires. Trouble is – these private corporations do not have the same protections and oversight that are built into our governmental process. There is no due process over a private corporation – these giveaways are a sham.
In many ways, these newly created public benefit corporations are shielded from public scrutiny through their corporate protections.
It should be a crime. Any corporation providing public services should have increased public oversight. If they are providing a public service or a governmental function, there should be public input and discussion. Unfortunately, often there is none.
Those lucky enough be given state assets instantly recognized super profits and become billionaires. All to the detriment of the people who pay for it through their taxes.
Naomi Klein in her book “The Shock Doctrine” discusses how in the aftermath of shock, whether that shock is caused by a natural disaster or a man made one (like a war against a soverign nation) it is possible to push through massive economic reforms. Trouble is these reforms benefit the status quo and the powerfully entrenched politically connected elite.
These Washington insiders are able to parlay their connections and create private corporations that are instant monopolies and reap super profits. They make billionaires out of privatizing the people’s government.
August, you have expressed the problem quite well. However, when I think about what I can do to help solve the problem, I hit a brick wall. I write and call my Senators and Congressman regularly, get friendly response, and nothing changes. Republicans and Democrats are all in the corporate bed, sleeping and profiting together, with the mainline media quietly approving.
by
Harvey Shepherd (0 articles, 0 quicklinks, 0 diaries, 7 comments)
on Tuesday, January 1, 2008 at 6:54:02 PM
Harvey, we have had some of the same experiences. I recently received a response from my Senator [a front running Presidential candidate] acknowledging the gutting of the middle class and the outsourcing of American jobs, however, posing no insight into any meaningful change. It is maddening.
I used to believe in speaking "truth to power" but as I have heard said, power already knows the truth. [And they are doing nothing to help the common man]. A lot of people are reawakening to civil disobedience methods. Protesting, marching, signs on overpasses, weekly vigils by your Congressman's office.
I think grassroots organizing is going to be a big part of the answer. Building coalitions of people that become visible across the country. One representative at a time. Solidifying around important issues, drafting legislation, educating people and mobilizing on-going visible protests.
There are protests happening now, for example the demonstration following the Rose Parade. The main stream media effectively makes the whole event disappear simply by ignoring it.
But, thanks to digital cameras, the internet and emerging sites like You Tube, Go Left. truthout and others, the truth is getting out.
A movement is starting. I hear more and more people talking politics and that has been taboo for far too long. We have to find a way to galvanize behind core issues and leave the wedge issues that socially divide us out of the national discord. There's too much at stake.
Having ran into the brick wall, what are your thoughts on next steps?
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August Adams (10 articles, 0 quicklinks, 1 diaries, 442 comments)
on Tuesday, January 1, 2008 at 7:47:52 PM
My compliments for a very well written article that clearly spells out the problem. Now on to the difficult part, the solution. It would be nice if we could get the Ron Paul fanatics to join in a progressive solution rather than waste so much of our time brow beating us with such ignorant extremist regressive idiocy. Unfortunately that won't happen because it requires thought rather than blind ideology. Listening to Ron Paul supporters honestly brings to mind the snake oil salesman, take this one pill and it will cure your hemorrhoids, your cancer, your psoriasis, etc. I've never seen such detachment from reality. First they brought us Bush, now they're trying to give us the next logical step in that devolution.
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all owners (1 articles, 56 quicklinks, 4 diaries, 140 comments)
on Thursday, January 3, 2008 at 3:44:25 PM
Economic freedom and political freedom go hand in hand. If one cannot escape poverty or debt, one cannot be free.
Teddy Roosevelt tried to bust the trusts, but his own GOP threw him out and preferred to lose the election rather than back him.
Theoretically, now that we have computers, we can keep track of every dollar. We can track corruption, track terrorist funds, etc. Of course we risk going from a dictatorship of capital to one of "the people"-- extreme leftist governments like the Soviets.
But I have a great deal of confidence in the people of the US. Being raised with our ideals, we will not accept less. Like the guy from Oklahoma says, it's stomp dance time.
by
martinweiss (19 articles, 4 quicklinks, 11 diaries, 337 comments)
on Thursday, January 3, 2008 at 4:47:07 PM
Good point: the nuance of the hazard of the extreme left. The danger of being ruled by an autocrat riding on the excuse of whatever prejudice of ignorance is a menace that will always require the vigilance of a well informed citizenry. The extreme policies presently prevalent in the US could easily be construed as a deliberate attempt to drive the bifurcation that provides fertile grounds for faux populous rebellions at both margins. Thanks for the mind expansion.
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all owners (1 articles, 56 quicklinks, 4 diaries, 140 comments)
on Friday, January 4, 2008 at 4:55:30 AM
You nailed it, if your basic needs aren't met - they you're not free.
There is enough wealth in this country to create a minimum bottom to our society. One that gives people dignity, choice health care (because we all pay in according to our means, receive according to our needs and create a responsible society). The health care monopoly being run in private hands is a careless money making machine with no thought about the consequences to human beings. And it is far from a free market.
There are great examples of countries that have social programs that work without the entire nation becoming socialist (or communist). France, excellent people programs and the 5th largest economy - not bad. Germany, Britain, hardly socialist - yet they have better social programs for every citizen.
We are boarding on fascism, everything for the ownership class and nothing for the working class - somehow we all need to be owners in our society and our destiny. There needs to be a base level of solidarity.
Great feedback, thanks for the dialog.
by
August Adams (10 articles, 0 quicklinks, 1 diaries, 442 comments)
on Friday, January 4, 2008 at 6:28:19 PM
"If one cannot escape poverty or debt, one is not free". I believe that is spot on.
The really sad thing to me is that the ownership class in our society (globally), appears as if they would rather wreck society then create one that is fair and just. For some, they have and it is never enough.
It does seem to be stomping time! Let it continue!
by
August Adams (10 articles, 0 quicklinks, 1 diaries, 442 comments)
on Friday, January 4, 2008 at 6:34:00 PM
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