October 10, 2008
Economic Realities
Yes, we have a financial crisis. But more fundamentally we have a jobs crisis: we don't have a healthy, modern industrial base and, in particular, we aren't making enough advanced industrial things to export. In short, our consumption is based on borrowing from abroad. And that can't go on indefinitely. To talk about both the immediate crisis and the larger structural problems I turned once again to Paul Craig Roberts who is always a source of great practical wisdom. Total runtime an hour and fifteen minutes. Shave and a haircut, two bits.
Comments
it was the bit near the end of the podcast about the continuing mess with voting machines and 'almost' wanting to return to the paper ballot that prompted me to respond. It seems to me that America has been exporting democracy that it desperately needs for home use.
Here in the Netherlands, a hacktivist group called ‘Wij vertrouwen stemcomputers niet’ (‘We do not trust voting computers’) proved that fraud with voting machines was hypothetically possible. The Dutch government then did something most remarkable: they responded competently. All voting machines have been sent into retirement and the country has returned to the paper ballot.
Posted by: Frank W | October 10, 2008 8:38 AM
For those interested in understanding Paulson's likely strategy (assuming it is both rational and clever) check Michael Hudson's discussion of 'the new Kleptocracy' interview on Guns and Butter at the following link:
http://www.kpfa.org/archives/index.php?arch=28790
it may also be linked on Michael Hudson's site under the Interviews heading:
http://www.michael-hudson.com/
Posted by: William Wilson | October 10, 2008 12:05 PM
Heya George.
Really enjoyed this week's show.
One question I have for you is if the US were to cut its military budget as significantly as you and your guest talked about, somewhere in the order of 300 billion or more, what would the loss of jobs look like and how would the country deal with the unemployment that followed? Surely a military funding cut of such proportions would have a serious effect in this area.
Looking forward to your response.
mike
[Think about it as the difference between building the pyramids or building a water project that provides clean, potable water and water for irrigating crops. g.]
Posted by: Mike Lenaghan | October 10, 2008 4:28 PM