Tuesday 16 April 2013

The Transfer Of Wealth

The continuing debt crisis that appears to threaten our government is puzzling at first glance. After all, the government ran up its debt during the good times.In the 2000s house prices rocketed due to cheap credit, planning controls and the colonisation of our country by immigrants. (More bodies on the ground equals more economic activity equals more tax receipts)
This led to a bubble in house prices, which meant that many young people struggled to afford their own home.
The subsequent actions by our government since 2008 makes no sense if you consider the ‘economy’ to be a matter of equal concern to us all, that the aim of the 'economy' is to make us all richer. And if you view capitalism as the same thing as free trade you must be sorely bemused. And the actions of the state must appear strange to those who love Big Mother. 
The state on the one hand, and the economy of private wealth on the other, is in reality a two headed monster called the Hierarchy; - and its servants are the managerial class, the officer class.
Capitalism is not about the creation of wealth, but about the transfer of wealth from the powerless to the powerful.
The debt crisis and the growth of the supervisory state is the culmination of the Thatcherite Counter Revolution, when Authority acted when it feared that its power was slipping away.
In the seventies the world was not getting poorer, but the centres of power were getting weaker. Throughout Africa, America and Europe existing military bureaucratic power structures were feeling shaky.
Mrs. Thatcher was not good friends with General Pinochet because she was in favour of free trade. She proclaimed competition, but she supported domination.
In England, the eighties boom only encompassed the south east of the country. Creative accountancy was mistaken for wealth creation, and debt was mistaken for wealth.
The political power of manufacturing and industry was destroyed.
Now the peasants stagger under the weight of high taxes and debt.
Interest rates remain low to service government debt, but, not unreasonably, banks do not want to offer loans to small companies. Unlike government, small companies cannot raise taxes or print money.
Savings and wages are chipped away each year, transferring our wealth to the powerful.
Capitalism is the state. It is the monarch’s head on your pound coin. The debt servitude of the people is caused by taxation, as it always has been.
You are the enemy of the bureaucracy, you are the suspect.
The debt crisis is not a crisis of the capitalist system, it is not a crisis of the state. It is the triumph of the bureaucrats.

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