Emptying The Core Through Unemployment: the Plutocratic Way

There is no democracy, without an economy flush with employment. A society which doesn’t employ people disempowers them: they can’t even go on strike. Thus those who don’t want democracy, can destroy the economy first. That’s sneaky, and most efficient,  

This is exactly what has been happening in the last three decades, as employment and economy has been sent increasingly from the wealthiest countries to developing countries… This brought decreasing employment in those wealthiest countries. Thus it disempowered workers while empowering the investors, owners and managers who employed dirt poor workers overseas unprotected by social laws… basically slaves. The more the owners and the international elite were empowered, by this displacement of the economy overseas, the more they manipulated the ruling ideology which they controlled through the media they own and the universities they finance.

This is not the graph I was looking for, which was world trade versus inequality. However, that’s a good proxy, as patents tended to be deployed in places like China… as the economy was displaced there!

…Actually the US Supreme Court, starting in 2006, and boosted by Obama after 2008, gutted the US Patent System: it’s always the same idea: favor the giant monopolies (patents are micro, temporally limited monopolies…) and overseas production… Disempower normal US citizens…

We saw it all before, with the Roman Republic. It disappeared when its elite escaped the absolute wealth limit taxation by going overseas, and sending the economy there, while controlling the political process. This voided Rome, and later Italy, of employment, thus power. They remembered that, early in the Roman Republic, to protest the elite, the Plebs had gone on strike… forcing more equalitarian laws.

Beijing just accused Washington of “economic terrorism”. China can self develop now. Time to bring jobs back to the USA, the EU. That will bring back not just employment, but democracy.

Patrice Ayme



This was a comment to the NYT, which was approved so fast, they couldn’t possibly have read it (do I have friends?) Here is the beginning of the article:

“Trade War Starts Changing Manufacturers in Hard-to-Reverse Ways
ControlTek, which makes circuit boards in Vancouver, Wash., has begun shifting supply chains out of China and designing products that don’t require Chinese parts.

The New York Times
By Ben Casselman
May 30, 2019

PORTLAND, Ore. — When the Trump administration first imposed tariffs on $34 billion in Chinese imports in July, Andy LaFrazia figured it was just another curveball for his company.

“Everyone was saying: ‘Oh, it’s a negotiating tactic. It won’t last long,’” Mr. LaFrazia recalled.

But nearly a year later, the trade war shows no sign of cooling off. So ControlTek, the electronics manufacturer that Mr. LaFrazia runs near Portland, is taking steps to protect itself, a strategic shift that has been repeated in boardrooms and executive suites around the world in recent weeks.

ControlTek is rewriting contract language to make it easier to pass the cost of tariffs on to its customers. It is shifting supply chains out of China where possible, and redesigning products to avoid Chinese components where it isn’t. And as a tiny player in an enormous global industry, it is discovering that there is only so much it can do.

“We’re very much at the end of the whip getting thrown around,” Mr. LaFrazia said.

Despite dire warnings from economists, Mr. Trump’s trade war has so far done little to derail the decade-long recovery from the Great Recession. Economic growth has remained strong, and the unemployment rate last month hit a 50-year low.”




3 Responses to “Emptying The Core Through Unemployment: the Plutocratic Way”

  1. brodix Says:

    I suspect the equally important reason was making the dollar the global currency. We flood the world with dollars, buying the stuff. They have to use them to buy our debt, in order that it keeps its value.


    • Patrice Ayme Says:

      Interesting suggestion. Indeed, the US Deep State (Trump terminology, nota bene) absolutely wanted the US Dollar as global currency. Keynes, head of the UN Commission, strenuously OPPOSED it (notice the difference with US supremacist Krugman, who claims to be a follower of Keynes, but disingenuously asserted many times the Dollar as global currency presented no advantage… Krugman dissembles so much, that I have stopped reading him. Not by will, but by boredom… He never says anything else than predictable and ludicrous ever since he contacted TDS… Was Hillary going to make him a minister? He accused Trump of antisemitism 2 days before the presidential election… Well founded complaint, as everybody can see….)

      Anyway, blocked by Keynes, the US Deep State forged and exchanged documents, so that the world ended with the US Dollar as global currency. Even James Bond movies don’t have conspiracies that ridiculous and blatant…And the cover-up is total: nobody knows this piece of history… (the French DSK was probably entrapped thanks to his creation of 600 billions of IMF money, BTW… The New York Police was probably told to try to get him, any occasion they had… And that was easy to do… The significant other of that maid was in prison…)

      The mechanism you describe is connected to the Bitter Lake Conspiracy
      The latter has now a new twist, related to Obama’s huge fracking effort (the “fuel bridge to the future” as Obama put it). An under-secretary of Trump called Obama’s fracked hydrocarbons “molecules of freedom”…

      Now, obviously, there were no US around when Rome and Italy were emptied of substance… That voiding of Italy took 4 centuries: Juvenal was already talking about it in 100 CE (“bread and circuses”, panem et circenses…) And the emptying of substance is happening in Europe, which has been even more grotesquely de-industrializing, and clinging to plutocratization, witness the French government determined to sell the very profitable Paris airports to privates (that will enable ministers to get posh jobs later, witness Schroder in Deutschland…)

      So the emptying of substance of the land which gave rise to it is the fundamental trick of plutocracy: Spain went through it (although that was described as just flooding by precious metals). China went through it. Baghdad went through it, before its conquest by Mongols… This is also why plutocracies tend to collapse: consider the Sassanians collapsing from 40,000 Arabs mad with god in their heads…

      But the reason you gave played a role in the situation at hand. Still does: consider the over-valuation of the Euro, which Merkle is firmly decided to go on with, as she wants a hawk at the head of the BCE… Talking of that, I added a P/S on the Warren essay of whom I would like to see heading the ECB…


      • brodix Says:

        For some reason, Modern Monetary theory has become the popular antidote, but it is deranged. The oligarchy must have devised it as a way to drive the public into debt even faster.
        Quite simply, money is a contract. A promise of some value. Which means that asset has to be backed by a debt, or it is worthless. Yet these fools seem to have bought into Cheney channeling Reagan, saying he proved debt doesn’t matter. It doesn’t matter, until you hit the end of the chain at a dead run.
        As a medium, it has to be regulated. Which means surpluses are to be minimized. Do we need extra blood?
        So what is surplus? If it is being lent to the government, that is evidently unnecessary to those with it to lend. Logically it should be taxed out, not borrowed. But that would really rile up those with the power, making them” defensive and dangerous.” So the conversation should be started innocuously, by making the point that money functions as a contract, not a commodity, then let the implications germinate.


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