The Bubble and Beyond: the Road from Industrial Capitalism to Finance Capitalism and Debt Peonage (debt slavery or debt servitude) The world’s monetary system is in the process of fracturing into regional blocks. What is not clear is what kind of regulatory, financial and tax philosophy will guide these blocs. At best, the world will return to the debates that marked economic discussion a century ago on the eve of World War I. At issue is whether the financial sector will translate its recent gains into the political power to take debt and financial policy out of the hands of elected government representatives and agencies and shift economic planning and tax policy into the hands of a super-national central bank authority controlled by bank lobbyists. The lesson of history is that this would be a disaster of historic proportions, because the financial time frame is short-term and its business strategy is extractive, not productive. Michael Hudson, President of the Institute for the Study of Long-Term Economic Trends (ISLET), Wall Street Financial Analyst, Distinguished Research Professor of Economics at University of Missouri, Kansas City michael-hudson/2012/08/overview-the-bubble-and-beyond/
Posted on: Tue, 27 Jan 2015 07:51:50 +0000