Posts Tagged ‘Economists’

Politically Correct Famous Democratic Economist Admits To Treachery of Political Leaders After 2007. Good. Yet, Why Just 2007? To Laud Plutocratic Clintonism?

November 6, 2018

It seems obvious to me that the official economic doctrine is the theoretical justification of plutocracy. Roman emperor Constantine used what he called Catholicism, his invention, to justify his increasing plutocracy. Nowadays, plutocracy is haughtily brandishing the philosophy of “economic science”. Now a famous economist looks at that, and blames everybody else. Mr. Delong is a friend and colleague of Krugman, and their ilk. We are talking here of the mainstream ideology of the self-declared “left”… Which is just stealth plutocracy: a definition of plutocracy is inequality. Inequality increased under Obama, when it reached its highest level ever (as measured by looking at the top 1%, or top .1%, etc.) Right, it’s probably getting worse under Trump… But Trump never claimed to be “left”.


Inequality augmented under Obama. Here is the slice 2013 until 2016. This was caused by the fact Obama helped most the bankers, hence the wealthiest…

Blame the Economists?

Nov 1, 2018 J. Bradford Delong

Ever since the 2008 financial crash and subsequent recession, economists have been pilloried for failing to foresee the crisis, and for not convincing policymakers of what needed to be done to address it. But the upheavals of the past decade were more a product of historical contingency than technocratic failure.

BERKELEY – Now that we are witnessing what looks like the historic decline of the West, it is worth asking what role economists might have played in the disasters of the past decade.”

Unsurprisingly, famous economists protect Clinton from any blame. When, in truth, Clinton demolished the New Deal most effectively. Learning from Goldman Sachs, even before he was elected president, that, if he wanted to be re-elected he would have to do as he was ordered to, by the wealthiest men, Clinton told Robert Rubin Goldman CEO:”You are telling me by reelection depends upon fuckin bnd traders?” (Nowadays, the once famous quote has disappeared from search engines: no accident.)

Brad Delong: “From the end of World War II until 2007, Western political leaders at least acted as if they were interested in achieving full employment, price stability, an acceptably fair distribution of income and wealth, and an open international order in which all countries would benefit from trade and finance”

Patrice Ayme: Not true: Clinton, a so-called “Democrat” ruined the separation of banking and speculation (installed by president Roosevelt and Congress in 1933). Instead of serving all, banks were reset to serve mostly the wealthiest. Moreover Clinton enabled so-called “financial derivatives” with total free rein. Even more serving of the wealthiest, enabling them to leverage themselves tremendously. That led to the 2008 crisis, when a bank dealing mostly in US Treasury Bonds and an insurer, AIG, got acutely bankrupt from derivatives… with nearly all other major banks, just as bad. Bush, in accord with Obama, and then Obama alone sent to the banks all the money they needed and some.

Brad De Long: “Then came 2008, when everything changed. The goal of full employment dropped off Western leaders’ radar, even though there was neither a threat of inflation nor additional benefits to be gained from increased openness. Likewise, the goal of creating an international order that serves everyone was summarily abandoned. Both objectives were sacrificed in the interest of restoring the fortunes of the super-rich, perhaps with a distant hope that the wealth would “trickle down” someday.”

PA: Right. So why do we still call individuals like Obama, “Democrat”, and act as if they were,  when all they did was to serve the wealthiest, the plutocrats (feeding them ever since)?

De Long: “Others, like me, understood that expansionary monetary policies would not be enough; but, because we had looked at global imbalances the wrong way, we missed the principal source of risk – US financial mis-regulation.”

PA: One reform is necessary: banks are there to serve We The People and the real economy serving We The People. Banks should not serve speculation to make the wealthiest wealthier. Plutocrats hate it, so so-called “economists” can’t understand its utility (to themselves!)

De Long: “Between the financial crisis of 2008 and the political crisis of 2016 came the presidency of Barack Obama. In 2004, when he was still a rising star in the Senate, Obama had warned that failing to build a “purple America” that supports the working and middle classes would lead to nativism and political breakdown.

Yet, after the crash, the Obama administration had little stomach for the medicine that former President Franklin D. Roosevelt had prescribed to address problems of such magnitude. “The country needs…bold persistent experimentation,” Roosevelt said in 1932, at the height of the Great Depression. “It is common sense to take a method and try it; if it fails, admit it frankly and try another. But above all, try something.”

The fact that Obama failed to take aggressive action… With policymaking having been subjected to the malign influence of a rising plutocracy, economists calling for “bold persistent experimentation” were swimming against the tide – even though well-founded economic theories justified precisely that course of action.”

PA: Need one say more? Delong congratulates himself with the present state of affairs. But actually US society became much more unequal under Obama. Rising inequality brings the collapse of civilization: such is the lesson of history. One can’t get a worse result than collapse. Time to redefine “left” in light of increasing potential collapse..

That collapse didn’t happen yet is why we can still talk about it.

But never, in the history of humanity, has collapse seemed more likely, long-term. In no small measure, because of the cecity of official economy, which is more focused in increasing inequality than in realizing that this is another name for rising plutocracy.

Economists, like most of those working in the media, are just employees of the world’s wealthiest men. Directly, or indirectly through plutocratic universities. Plutocratic universities are not universal.

Nor is the present economic theory resting on a universal foundation: it rests only on pleasing plutocracy. Economy will become universal when it rests on energy itself, more exactly, Absolute Worth Energy.

Meanwhile, let those who managed the increase of inequality under Clinton, Bush and Obama blame others: that’s what they do best.

Patrice Ayme

Pluto’s Crafty Anti-Intellectualism

April 29, 2014

Public Private Confusion, And Other Deliberate Craziness

The rise of plutocracy is stealthy. It rests in great part on having bought the economists serving in the influential “private” universities. Those economists were selected, during their graduate studies, to see only what would please the wealthy sponsors of said universities.

Thus, for example, the economist unlearned the fundamental reason for the existence of taxation: prevent the rise  of an all-consuming oligarchic plutocracy (that is having a few reigning satanically on We The People).

Krugman still does not get it (although he is trying, and pointing out, justly so, that “Paradigming Is Hard”):

“we have a body of economic theory built around the assumptions of perfectly rational behavior and perfectly functioning markets. Any economist with a grain of sense — which is to say, maybe half the profession? — knows that this is very much an abstraction…”

It’s not just an abstraction, it’s an error. What is the Genus Homo? Ms. And Mr. Market? What is the main motivation of the genus Homo? Perfect reason? Perfectly functioning markets?

No. For reminder, the genus Homo is the world’s top predator, in the process of killing the entire biosphere (by acidifying the phytoplankton, the main source of oxygen). Is that perfectly reasonable? Is that perfectly functioning? A market?

What have the economists been doing? Building little fables that completely neglect the real nature of man, while claiming they can predict the behavior of man (that is what, after all, economics claim to do, with consummate modesty).  Greenspan and similar characters of with a very low product of intelligence  and  morality, told us, over decades that all we needed was the intelligence of the markets.

But what are markets? Crowds. Tribes. What are tribes for? Ask Putin, he knows. War. Economists have hidden that breast that they could not possibly see. (Nota bene for the clueless: allusion to Moliere’s Tartuffe).

Their colossal, deliberate, venal naivety has led economists to oversee what was bound to happen: as the hyper rich reached a critical mass, their influence got so great that they have been able to dismantle the democracy that is in their way.

How? By reducing the taxes that prevented the hyper wealthy to go exponential (as Thomas Piketty noticed).

But also the hyper wealthy, through their purchase of politicians, established various confusions and legislation that served them well.

Any attempt to justify mass or individual behavior in humans, without pondering the Dark Side, makes one an accomplice of said Dark Side. I agree it’s hard to be hard when pondering the abyss, increasingly down below.

Many individuals from the far right and vampires from the plutocracy delve in convenient confusions between what is public and what is private. They make elaborate theories to exploit the public thing for their own private pursuits, but they hate the reciprocal.

For this system of exploitation covered up by denial to keep on going, they manage it with colossal anti-intellectualism. This way, they don’t have to answer questions, that, by playing the roles of stupid brutes, they could not possibly understand, let alone answer.

This sustainable parasitism is not just found with ranching and mining, but all over the large corporations, and especially in the so called financial industry. Private banks are little more than public institutions managed privately to benefit the few, always ready to be rescued by the public, in those cases when the transfer of property from We The People to the hyper rich suffers some sudden mishap.

The far right and the plutocrats are surrounded by an enormous cloud of hanger-ons, supporters, servants, plutophiles, and hired guns. That army of the mediocre is dedicated to the triumph of lies and the unreal. As they are, fundamentally, brutes, and admirers of brutality, they will never, ever, surrender to reason.

Quite the opposite. Anything outrageous denying reason, is experienced by the party of Pluto as a victory. Surrendering to reason would be like denying their entire strategy in life, which is centered on the neurohormones of predation, and of others suffering.

The rise of externalities in economic activities, such as mercury poisoning of the oceans, and the rising acidity, are not necessarily perceived by those who govern us as major inconveniences, but, in their universe of the inversion of all values, as major assets. This is the crux that all of economics, not to speak of sociology, has neglected.

This goes beyond Marx. It’s Marx, rolled over by tanks.

Patrice Aymé