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It's the Economy, stupid - Languishing & Lingering after the Great Recession

Discussion in 'Tilted Philosophy, Politics, and Economics' started by rogue49, Aug 10, 2012.

  1. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    And communism wasn't responsible for the deaths of millions in the 20th century.

    However, it's difficult to deny how things are interconnected. You can say that capitalism is merely the free allocation of resources, but it doesn't end there.

    While there are ethical capitalists, there are many unethical ones. But I think the problem extends beyond direct influences. How many goods have you and I purchased that were produced using exploitative practices? Too many, on my part.

    The recent preventable disaster in Bengladesh that killed over 530 people probably didn't get much media exposure in North America despite the connection of factors between here and there with regard to the production of cheap clothing. Now some are asking questions about the high cost of cheap.

    I mean, who wants to pay more than $10 for a T-shirt, right?

    Pressure mounts on Bangladesh, clothing brands to fix factories after deadly collapse

    So while capitalism is a thing, and seedy practices are another thing, they don't each operate in a vacuum. They're connected. People make choices. Some have more options than others. Bengladeshi workers, it just so happens, are among those with very few.

    Basically, capitalism is an economic system requiring active management. When it runs amok it has just as much damaging potential as, say, Russian communism.

    Capitalism, racism, fascism: If you can't see any connection between these things, all I can say is look harder.

    We are all a part of the same system.
     
    Last edited: May 4, 2013
  2. rogue49

    rogue49 Tech Kung Fu Artist Staff Member

    Location:
    Baltimore/DC
    Exploitative practices are practiced by ALL systems.
    It is the ethics of the buyer and the seller that is the point.

    And yes, the nations that employ capitalism need to regulate participants.
    But the same is true of ANY system.

    The government has military protect from without.
    And the government policing is established to protect those within.
    If done correctly and ethically.

    Correlation does not mean causation.

    I note you are lumping capitalism in with racism & fascism.
    That is a logical fallacy...or a cognitive bias if not done with intent.

    I don't deny "everything counts" and within the world all is interconnected.
    But when you categorize things, you cannot say all evil is caused by THIS "evil"

    Ethics are options taken by participants.
    This is like saying all christians are evil due to the ignorance of some members or the past. (or Muslim, or...)
    Or all politicians are evil due to the bad actions of quite a few.
    and so on...

    I've read and seen bad/evil done by ALL types, ALL groups and ALL methods.

    Capitalism has become the system of preference because of its strengths.
    They've tried other systems...and sooner or later, they trend to capitalism. (even Russia & China)
    It better leverages the nation's resources and people, gives entities and groups chances to grow, without being micromanaged.

    True, government and laws are there to referee. And it is not perfect.
    But I have yet to see an alternative that gives you as much opportunity and harnesses ambition as well.
    If not, then please note one that has stayed non-capitalist over decades with equal success.

    But to say that capitalism is the root of all evil is incorrect.
     
    Last edited: May 4, 2013
  3. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    I'm not saying that.

    And you appear to be saying, "tu quoque," while downplaying or trying to detach the influence of capitalism on other things.

    Au contraire. I'm not "lumping" them. I'm pointing out that they're connected. You admit as much, although you kind of glossed over the idea of cause and effect in response to what I said.

    Global capitalism has empowered or otherwise makes possible or causes as side effects many things, for better or for worse, among them are racism and fascism.

    Crony capitalism, for example, is usually manifested as a form of fascism.

    As for racism, one merely needs to look at globalization and its associated effects of exploitation (often divided among racial lines) and xenophobic biases (often in the form of scapegoating and a desire for isolationism).

    So while "the free allocation of resources" isn't "evil" (a word that can be a bit of a problem, I think), many of its related practices and outcomes, and the responses associated with them, are certainly problematic from an ethical standpoint.
     
  4. rogue49

    rogue49 Tech Kung Fu Artist Staff Member

    Location:
    Baltimore/DC
    By all means, Baraka_Guru, I am not turning it back on you...this is not illogic.

    This is directly stating that you cannot lump capitalism in with all the evils of the world.
    The evils happen whether capitalism exists or not, period.

    People will be racist, fascist and otherwise whether capitalism is involved or not.
    Ethics is what denotes whether people will or will not attempt to take advantage of a situation.

    It does not matter if we are talking about capitalism, communism, socialism, etc...
    For example, poor working conditions happened under Royalty, Capitalism, Tyranny, Communism, Socialism, Dictators, Theocracies and oh so much more.

    There are good things that capitalism accomplishes too...so does that mean it is to blame for all the good in the world??
    Or is it bi-polar...all good one day, all bad another?

    What about how in China with new manufacturing growth and capitalistic trends, the wages have gone up within the country?
    Making new demands and influence for their citizens' buying power, influence on government...and since the cost is not equatable,
    now the trend of going to build products in China is reversing course bringing back to the US, Europe and Canada for more quality control.

    Isn't this GOOD?? Can I now blame capitalism for all the good in China?

    Or as they said in the Wizard of Oz, "That is a Horse of a Different Color"
    Totally separate things.

    Evil is an act. Taking advantage of people is an act.
    Capitalism is an economic philosophy and dynamic. Both Good, bad and all points inbetween happen within it every second.
    And the same is true for a communist state, or socialist, or any other economic dynamic in existence.

    I do not deny that bad happens under capitalist situations.
    But you also cannot deny that bad also happens under all other situations.

    I'm not glossing over the cause and effect.
    I directly stated, "Correlation does not mean causation."

    Quoting from a simple wiki page
    You and your compatriots are painting with a VERY broad brush.
    The premise is flawed.
     
  5. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    rogue49

    So let me get this straight. You can't lump capitalism in with the evils of the world, but you can lump in everything else along with capitalism? I'm confused. This is because you're continuing with the tu quoque: Capitalism? Well, all the other stuff too!

    But we're looking at capitalism. Let's look at capitalism.

    You still aren't getting what I'm saying. I'm not calling capitalism an evil. (I actually can't call anything evil, so let's just say unethical or criminal or what have you.) I'm saying that bad things happen under capitalism. Bad things are made worse using capitalism. Yes, good things happen too.

    You are playing some kind of White Knight game in your response to my criticisms of certain actions that occur under capitalism. You deny these things are associated with capitalism as though capitalism operates in a vacuum. It doesn't.

    Capitalism itself is amoral, but my wider point is that the bad things that occur under capitalism (and certainly as a result of capitalism) need to be mitigated through regulation and legislation.

    If capitalism operates as you seem to think it does (separated completely from outcomes such as racism and fascism and exploitation, etc.) then there would be no need for legislation such as child labour laws or workplace safety laws, etc.

    A major issue is that some nations with laxer laws are taken advantage of, and this is where these worse problems originate.
    I'm not sure what you're doing here. Are you denying the existence of causality under capitalist practices?

    You pull another tu quoque (bad also happens with everything else) as though you mean to say that the bad stuff happens despite the existence of capitalism and so capitalism mustn't be a factor. I'm assuming this isn't what you mean; I just don't know why you keep bringing it up. Can we not talk about capitalism?
     
  6. roachboy

    roachboy Very Tilted

    rogue: you seem to imagine capitalism as a kind of object, like a rock or a table.
    the article is pretty obviously talking about a conjucture, so a historical situation.
    it's not about capitalism as such, whatever that means.
    and it's pointing to a set of particular factors---socio-economic crisis in a context shaped by sustained "military keynesianism" and a neo-fascist style of nationalist identity politics.
    the peculiarity of the article lay in the position attributed to the immigrant rights movement(s) in the overall scenario...it's not uninteresting, but that seems more a reflection of the writer's professional interests.

    so it's an outline of a historically specific situation.
     
  7. rogue49

    rogue49 Tech Kung Fu Artist Staff Member

    Location:
    Baltimore/DC
    I don't understand why you're confusing this...it's pretty easy.
    1. Baraka_Guru, you're now basically arguing my point. Except I'm saying that bad things aren't mutually exclusive.
      Capitalism is a moot point. Bad happens under ANY system. Capitalism doesn't make it worse, abuse just is in itself. Just bad.
      At this moment, your argument is circular.

    2. @roachboy no...capitalism isn't an object, it is a philosophy or dynamic. And I disagree with you that the article is only a historical situation.
      It is referring to the current order of things and trying to make a connection between capitalism and fascism. Seems pretty apparent.
      And I responded to that, saying that I disagree with that premise. Capitalism isn't the evil or cause, it is simply abuse and unethical actions.
      As I stated above, these same abuses occurred throughout history and currently within MANY systems.
    So let's make it clear.
    • Capitalism does not cause fascism.
    • Fascism has happened under most systems.
    • You cannot infer capitalism is bad because some participants are being bad.
    Shit, I might as well claim that R&D is terrible just because some companies have done bad things with their R&D.
    Or Kindergarden is bad just because some kids have behaved badly. :rolleyes:
     
    Last edited: May 5, 2013
  8. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    rogue49

    You keep ignoring essential parts of my point.

    You are entirely welcome to keep ignoring them, but please stop making assumptions. Stop making my argument circular by mutilating it.

    Something isn't moot just because you say it is, especially if you keep using a logical fallacy despite my pointing it out to you more than once.

    It wouldn't be so much a fallacy if you would at least admit that capitalism requires management to avoid the bad things we're talking about.

    I suspect you think of capitalism as having a kind of purity that I have difficulty envisioning.

    Maybe help me out by being unafraid of looking at capitalism beyond its dictionary definition.
     
  9. rogue49

    rogue49 Tech Kung Fu Artist Staff Member

    Location:
    Baltimore/DC
    I'm not ignoring anything...frankly, it almost seems that you're ignoring what you are saying yourself within your statements.
    As well, as ignoring what I'm stating including agreements with you. There is no assumption.
    And I believe you are making your own arguments circular, I'm just responding to them specifically.

    I've already stated that capitalism isn't perfect and needs policing and regulation. (as do other systems too)
    Capitalism isn't pure, but it isn't malign either...which is inferred by the article and seemingly with your previous statements.

    And the only thing I fear is that you are not getting what I'm saying...which IS fairly straight-forward.

    Please understand this, I'm a realist and a pragmatic...and a cynic.
    I have not drank the kool-aid for anything. I have no bias, just observations. What works, what doesn't.

    All I stated is this...
    Capitalism is not the cause of fascism.
    This is implied with the article. It is very obvious.

    And correct me if I'm wrong, it seems to be what you are stating within your previous replies, that capitalism IS the cause of fascism. (and racism)
    If you like, I can note the phrases themselves. But you're welcome to clarify either way.

    Please stop accusing me of turning around and "mutilating" your comments. This is an exaggeration by far.
    And it's getting to the point of me not wanting to continue the discussion, because it is going overboard.
     
    Last edited: May 5, 2013
  10. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    Capitalism isn't independent of racism and fascism.
     
  11. redux

    redux Very Tilted

    Location:
    Foggy Bottom
    Well regulated capitalism works for me.

    What doesnt work is the reemergence of the "producers v moochers" or now the "makers and takers" or the "we built it" or the "47% relying on government handouts" mantra of the right.

    it still "takes a village"
     
  12. roachboy

    roachboy Very Tilted

    the edito points to a conjunctural problem which is not New in the sense that something like this has happened in the last century---prolonged economic crisis coupled with paralysis of the existing pseudo-democratic political order coupled with a militarized culture and the presence of radical nationalist movements on the right---this is a scenario that has opened space for types of fascism. another condition of possibility is a centralized mass media apparatus---in the past, the central media was radio. now it's perhaps teevee. the co-ordination of opinion, you see. anyway, to argue that capitalism = fascism is as goofy arguing that radio=fascism.

    capitalism is a category that refers to a specific set of features in the organization of ownership and production and fascism is a political category that describes a type of radical nationalist movement the nature and ideology of which may or may not be consistent with those of the dominant economic and political class fractions...in a situation of protracted economic crisis, however, in which the dominant political order is paralyzed (in the united states, this paralysis is ideological first--people trapped in the tiny box of neo-liberalism trying to figure out how to address a type of crisis that does not admit of monetarist solutions---and then political--grid-lock between the official political parties) and there is a strongly militarized society (national-security state anyone?) can enable the rise of power of a very anti-democratic hyper-nationalist regime that relies on militarism as an economic motor by designating a sequence of enemies within and without and embarking that nationalist project on a gloriously military destiny, often on grounds of safety and efficiency and order---the threats to which are as much those evil poor people and/or immigrants (outsiders, dontcha know) and/or political opposition movements (pinkos) as the Enemy that is everywhere and nowhere, etc.---these conditions are present in the united states. these conditions are a fucking problem. the situation has not tipped into an all-american version of fascism, and might not--but the conditions are in place that has resulted in this very bad outcome in the past. and it is worth thinking about them.

    you can't even start if you have some metaphysical notion of capitalism in your head simply because it erases history, just as it makes little sense to play the relativism move by appeal to some equally metaphysical notion of "human nature" in order to argue that "bad things happen everywhere" simply because that erases any particularity to types of bad things that happen and evacuates the notion of the political along with it.

    what is likely to continue to generate possibilities for very bad outcomes is the ongoing political paralysis that prevents almost any coherent approach to a seemingly endless economic crisis---one that continues despite the tendency of the dominant media apparatus to treat crisis as a form of disease from which the body economicus is always recovering.

    in such a situation there is a double problem: some authoritarian action that will use the political paralysis to jump off into a critique of democratic process itself on the one hand and can use the militarized ideology of, say, the "war on terror" on the other. how this might play out is not hard to imagine.

    i don't think it inevitable, btw....historical conjunctures admit of any number of outcomes...but its pretty naive to not see the scenario as dangerous.
     
    • Like Like x 1
  13. Aceventura

    Aceventura Slightly Tilted

    Location:
    North Carolina
    Obama's call for tax fairness falls flat, and I see no other explanation. He obsesses over the top tax rate for no other understandable reason. Until he, or you can address an issue like this:

    Person A can earn $1 million in taxable income and will be taxed according to current law possibly paying hundreds of thousands in taxes.
    Person B can spend $1 million and have $0 taxable income according to current law and pay no taxes.

    calls for "fairness" is really a call to target selected people.
    --- merged: May 6, 2013 at 12:03 PM ---
    We have not discussed the specifics of a consumption tax system. I think a system could be devised that would not create an unfair burden on the poor and middle class. However, the probability of the US adopting such a system is small. I think it is due to the influence of special interests in deductions from income for tax purposes and the power it affords law makers.
    --- merged: May 6, 2013 at 12:13 PM ---
    What should the response be? If companies using this labor suddenly stop due to PR concerns, is that going to be good for the people needing jobs and income? Is a US based company responsible for building codes and enforcement in a sovereign nation? If a corporation has a requirement for some minimum standards for their vendors do consumers have some similar requirement? Why/why not? I think the thought presented in this context gets very convoluted very fast.
     
    Last edited by a moderator: May 13, 2013
  14. redux

    redux Very Tilted

    Location:
    Foggy Bottom
    Person A and Person B are not real people.
     
  15. Aceventura

    Aceventura Slightly Tilted

    Location:
    North Carolina
    Do you support encouraging participation in the ownership of capital? In my view everyone should be investing in the mechanisms of wealth creation. So, I would allow everyone to set aside a portion if not all of their social security into real private accounts with the options of "buying" into American Capitalism instead of sending the message that people should fear the risk. This would minimize increases in wealth disparity. Even looking at our most dominate central economic policy of the day, QE, it is benefiting those who own and control capital many times more than labor or government. I see a different path to social economic fairness.
    --- merged: May 6, 2013 at 12:36 PM ---
    Just because you say so, doesn't make it so. Just because you don't know doesn't mean these people exist. If you don't have an understanding of the tax code to understand how through legal loopholes and deductions how one person can have a high tax bill while the other pays no taxes, I would suggest you spend some time getting a better understanding of the tax code. Not only is the example potentially true for individuals it is true for corporations and partnerships. However, your response is enlightening, it explains why we will never see real tax reform. It is the reason we will see ever increasing discrepancies in wealth accumulation. Imagine if over the course of a lifetime person A pays about 30% of his income in taxes and person B pays close to zero. Well we don't have to imagine, we can do the math while applying the law.

    Do you know what percentage of your income you pay in federal income tax? Do you know what it would be if you did not take advantage of any legal loopholes and deductions? Do you think it is possible for you to structure your income to reduce you tax bill to $0 in any given year? But, why would you do this? It won't make a difference - to you. Perhaps we should raise the rates and keep all the loopholes and deductions, let it be a form of Darwinism!
     
    Last edited by a moderator: May 13, 2013
  16. redux

    redux Very Tilted

    Location:
    Foggy Bottom
    I paid a higher effective federal tax rate (15+%) in 2012 than Mitt Romney or Warren Buffet.

    I dont have the wealth to take advantage of numerous loopholes or benefit from the much lower capital gains rate.
     
  17. Aceventura

    Aceventura Slightly Tilted

    Location:
    North Carolina
    But you don't think there are people as I described??? Do you know that Buffet in any given year could lower his taxable income to zero? Romney could do it as well.

    Then why are you seemingly in disagreement with what I have written on this point? And why should GE pay a lower tax rate in any given year than my business or any other "micro" - business, when it has nothing to do with operational income but mostly due to accounting expertise?
     
  18. Baraka_Guru

    Baraka_Guru Möderätor Staff Member

    Location:
    Toronto
    This is a useless question.

    I believe this is something the WTO is working through.

    I don't know what this question means. I think the wording is awkward. Could you rephrase the question?

    What context? Could you expand on that?
     
  19. rogue49

    rogue49 Tech Kung Fu Artist Staff Member

    Location:
    Baltimore/DC
    Agreed.

    These factors would affect any system.
    The key is to be aware of them, prevent them from occurring, be proactive...and take the time & intelligence to consider all the variables.

    Unfortunately, there are those out there that would oppose such things for their own short-term gains, shallow ideology, political positioning or purely intellectual laziness.

    Again, these negatives affect any system...and if not attended to or address...will also pull down any system.
    Even the Roman Empire collapsed...

    There takes a certain mental effort to do the right thing.
    You need to be on guard from stupidity no matter your setup or MO.

    It would be very easy for me to not pay attention, not look both ways and walk straight out into the road.
    The same is true for pretty much anything.

    Serves me right for getting out of my bed...and out of my house...and attempt to use my legs to walk. ;)
     
  20. roachboy

    roachboy Very Tilted

    um, no. first off fascism is a specifically modern form of radical conservative political response to socio-economic crisis.

    as a maybe aside:

    one of the main drivers of the formation of the modern state was the development of a standing military. this drove the centralization of taxation. the enforcement of this centralized taxation drove the expansion of the surveillance power of the state.

    (by the way, this points to one of the many reasons i laugh at contemporary conservatives, who are all blah blah blah about taxes while in the main supporting outlandish military expenditures while pretending that the language of militia written into the 2nd amendment has not been obviated by exactly the military that they support).

    the standing military also drove considerable innovation in the mass production form that lay at the center of capitalism strictly speaking. the military has traditionally been reactionary, but the rise of nation-states across the early 20th century (no, they've not always existed) made of militarism a potentially virulent problem.

    without capitalist production, no industrial-scale killing characteristic of modern war. no clausewitz, i suppose. without capitalist production, no holocaust. o sure there were other genocides--we've all grown bored by them by now, feeling all helpless and shit because you're attention is rarely directed toward them in such a way as to indicate something can or should be done to stop them. unless there's oil involved. but i digress.

    without capitalist production, no mass media. without mass media, no fascism.

    i could go on.

    it is simply false to assume that simply because bad things happened prior to capitalism that the forms of bad things that capitalism organizes and rationalizes

    (genocide, for example, particularly in its industrial form, presupposes lots of bureaucratic functionaries able to treat its administration as a day job made up of technical administrative problems that they work at by day, after which they no doubt go home and play with their cats)

    are like all other forms of bad things. the bad things produced along with cars and indoor plumbing, electrical and telecommunications systems, are particular to capitalism and often point to quite deep structural and/or institutional problems that attend the particular, kinda insane rationality that is of a piece with it (unlimited accumulation for example...but there are many)
     
    • Like Like x 1