23 Things They Don't Tell You About Capitalism Pt.4

[johammbass]

Idiot, it eats not only into people's living standards but it also ruins their savings. Fucking idiot

[alloypony02]

Republicans Politicians are paid to leave Communist China on the preferred Trade Status by the Communist Chinese, some Americans elect these Republicans in to office, which tells those politicians it is ok to keep doing the same for Communist China ...

[sirellyn]

Current inflation in the US is about 9.5%

Anyone who spreadsheets their monthly spending, comparing it to last year could see that much.

[sirellyn]

Ugh, first listening to the world bank about inflation is insanely bias. Inflation benefits those who create the currency, it never benefits those who SPEND the currency. Second inflation itself creates false trends. When you suddenly have X billion dollars a year to spend, and decide to spend it on Y. That thing will benefit incorrectly regardless of if it's needed or not.

Finally it destroys savings. And encourages debt.

Inflation is downright insidious.

[spartan2600]

@AugustusOctavianus So Haiti has debt, therefore they don't have free markets? That is a complete non-sequitor. Also, the US developed computers and technology due to investment and control by the government and protectionism. Every high school and college in the US requires a Texas Instruments calculator, and the rest of the world uses Casio calculators. This didn't happen by accident.

[billychen13]

zzzz dont know y I even bother listening to the RNN on economics, clearly they only invite extreme left socialist economic morons on this show.

[3LARI]

The US may be the number one manufacturer, but I'm disappointed they didn't point out that a strong contributing factor to this is the fact that 1% of the US population are in jail, a higher proportion than the rest of the world put together, and these people work basically as slaves to produce almost 30% of US exports.

[BOZ11]

@3LARI hear hear

[spartan2600]

@AugustusOctavianus Today, the US is behaving like imperialist Britain. The US is stopping Haiti and the rest of the 3rd world from developing so that American corporations can keep exploiting these people that it enslaves.

Every nation that has ever developed did it through protectionism. South Korea even went so far as to put those bankers to death that tried to send capital abroad.

[spartan2600]

@AugustusOctavianus Also, the US developed through protectionism. Britain tried to keep the US from developing so that cheap American labor would undermine more expensive British labor- or in other words Britain tried to force the US into being its spade and plow factory. The US kicked out the imperialist Brits and instituted protectionism in the form of tariffs through. The US kept high tariffs through from the end of the 18th century through the 20th century.

[spartan2600]

@AugustusOctavianus According to the President of the World Bank, Haiti has the most liberal or free markets in the Western Hemisphere, and I think anyone with a knowledge of the country would have to agree. What good has free markets done for Haiti? It brought slavery and sweatshops.

As everyone else with an inkling of what goes on in the world is saying, China is *not* a free-market or anything close.

[captcrais101]

@AugustusOctavianus both suck

[DAVESIV]

Government "control" of inflation is artificial and not in the nature of capitalism. What causes inflation? Government control! In capitalism there is competition and therein is price control, along with supply and demand. When government begins tinkering with the money supply and sets wages and/or prices the economic system loses its ability to gain equilibrium.

[spartan2600]

@DAVESIV "not in the nature of capitalism"

Says who? Is it a law of nature that a capitalist system cannot withstand inflation controls via government? Of course not. You might not like specific kinds of inflation control, but that doesn't mean its "against the nature of capitalism."

[DAVESIV]

@spartan2600  What defect(s) in a capitalist system cause inflation? (Two I can mention) In these two cases I believe government should intervene - otherwise, government causes all kinds of economic mischief.

[spartan2600]

@DAVESIV Government is a tool. It can cause damage or it can be used for good. Capitalism would self-destruct and create the environment into a wasteland in an instant if not for government regulation and protection and subsidy.

[kmarinas86]

@AugustusOctavianus

Part 2 of 2

5:06 Jay: Right, so if you[, an insurer,] are sitting on assets, if you have a lot of money and a lot of ownership of things, you want to protect the value of those assets. You [as an insurer] don't want them to depreciate through inflation. [However,] if people lose jobs, that's not your problem [as an insurer].

[kmarinas86]

"5:17 Paul say "if you have a lot of ownership of assets you don't want inflation" But what happens when inflation hits?"

Part 1 of 2

4:30 Chang: Bringing down the inflation from, I don't know, 20% to 10%, is probably going to have more benefits than costs, but as you try to bring it down from 5% to 2% or 2% to 1%, you have to do a lot of things which depress demand, which translates into job losses. Of course, anyone who is an insurer might benefit...But don't forget...people...unemployed

[kmarinas86]

@AugustusOctavianus

"All of these finincial crises have been caused not because of a free market, but becase of bad economic policy ei Keynesian."

They are all caused by fractional-reserve banking. All Keynesian policy does is increase the duration and severity of such crises.

Banking panics in the United States:

1792 · 1796–1797 · 1819 · 1825 · 1837 · 1847 · 1857 · 1866 · 1873 · 1884 · 1890 · 1893 · 1896 · 1901 · 1907 · 1910-1911 · 1929-1939 · 2007-????

[kmarinas86]

@AugustusOctavianus

"a big part of the reason China is where it is todayis because they let some room for the free market within their system."

The real reason why China is doing better now is because it is most profitable for shareholders to invest in civilian infrastructure and manufacturing there, and if it wasn't, China would still be where it was 20 years ago. This is the result of a trade agreement between China and the US. This was subsidized, and thus it is not due to the free market.

[crnogoracz]

Economics is bs. All the so-called "scientific laws" within economics are bs because they are based on assumptions that have nothing to do with reality. Ceteris Paribus, fully informed consumers, monopoly-free and corruption-free markets, automatic wage adjustments, environmental externalities etc, are all nonsense and fabricated illusions. Therefore, developing predictions based on economic principles is like creating a theory of gravity based on the idea that Earth is flat. It's pointless.

[yo1dude1man]

Controlling inflation at the expense of jobs = Neo-Liberalism-101

[sirellyn]

@yo1dude1man I would be very surprised if you knew what a job actually was or how to actually create it.

[yo1dude1man]

@sirellyn I would be very surprised if you knew what a brain is and how to use it.

[sirellyn]

@yo1dude1man Brain - It is the primary center for the regulation and control of bodily activities. It is also the seat of consciousness, thought, memory, and emotion. One of the many ways I'm using it is by typing this message to you.

There, now could you tell me what a job is, and how you actually create it?

[WilhelmDrake]

Any discussion of inflation must recognize that the economy is split into the real production economy and the "FIRE" (Finance, Insurance, Real-Estate) sector wrapping which surrounds it.

Mainstream economist deem commodity price inflation (wages, commodities) as bad, but love asset price inflation (stocks, real estate, etc.).

[homer30]

"the Philippines is the second most high tech country in the world...." hahahahaha no freaking way!!! all you got to do is walk along Manila roads and tell me if it's a high tech country

[MisterEvil1]

@homer30 Technogolgy available to the common people is no judge of a countries highest available levels of technological production. Now if you were to say you've accessed the WEF's study of technology, you would know that Taiwan is #2. But what he was saying is that Phillipines is the #2 PRODUCER of technology. American companies with factories in Phillipines account for this evaluation. 90 sec. on Google

[LouieArrighi]

Protectionism FTW/

[Ape65]

@AugustusOctavianus No, the US industrialised under the "American System" type protectionism instituted by (mainly) Republican administrations in the late 19th and early 20th century.

[Cosbibi]

@AugustusOctavianus Yea cause present-day China is a free market... Riiiiiiiiiiiiiiiiight..... They just issued price controls to stop inflation, doesn't sound particularily free to me. Besides it doesn't bear on anything Ha-Joon says, he talks about the timing of opening markets. If you've achieved industrial dominance you probably want free markets, if your an underdeveloped country you don't.

[MrNiceHk]

were can I find part 1 2 and 3 ? do you know

[sirbata]

@MrNiceHk Just search the title here in YT

[SubstancePrime]

@MrNiceHk

If you go the Real News website and you find the newest one and click on it, it takes you to the entire series.