PFPAC Journal Link
After a pretty long hiatus, Public Finance Public Accountability Collective (PFPAC) re-launches its Weekly Digest, a much different version from its earlier times. Two main sections would predominantly form a part of this, viz. blog posts on different facets of political economy and finance, which at times could get technical (published on the fly on either my blog and/or PFPAC Journal); and a section on some of the main stories making news in the week gone by with a brief analysis of the same (the second section would find inclusivity from next Monday on a regular basis until travels intervene). So, here we go....
Public Finance Public Accountability Collective (PFPAC) Weekly Digest (11th - 17th July, 2017)
Banking? There isn’t much to it than this anyways
Don’t go by the innocuous sounding title, for this is at its wit alternative. The modus operandi (Oh!, how much I feel like saying modis operandi in honor of the you Indians know who?) for accumulation of wealth to parts of ‘the system’ (which, for historic reasons, we call ‘capitalists’) is banking. The ‘capitalists’ (defined as those that skim the surplus labor of others) accumulate it through the banking system. That is nearly an empty statement, since wealth = money. That is, money is the means of increasing wealth and thus one represents the other. If capitalists skim surplus labor, it means that they skim surplus money. Money is linked to (only!) banks, and thus, accumulation is in the banks. Read More...
Conjuncted: Banking – The Collu(i)sion of Housing and Stock Markets
There are two main aspects we are to look at here as regards . The first aspect is the link between banking and houses. In most countries, lending of money is done on basis of property, especially houses. As collateral for the mortgage, often houses are used. If the value of the house increases, more money can be borrowed from the banks and more money can be injected into society. More investments are generally good for a country. It is therefore of prime importance for a country to keep the house prices high. Read more...
Why do we have a crisis? The system, by being liberal, allowed for the condensation of wealth. This went well as long as there was exponential growth and humans also saw their share of the wealth growing. Now, with the saturation, no longer growth of wealth for humans was possible, and actually decline of wealth occurs since the growth of capital has to continue (by definition). Austerity will accelerate this reduction of wealth, and is thus the most-stupid thing one could do. If debt is paid back, money disappears and economy shrinks. The end point will be zero economy, zero money, and a remaining debt. It is not possible to pay back the money borrowed. The money simply does not exist and cannot be printed by the borrowers in a multi-region single-currency economy. Read more...
In a humanistic society, boundary conditions (‘laws’) are set which are designed to make the lives of human beings optimal. The laws are made by government. Yet, the skimming of surplus labor by the capital is only overshadowed by the skimming by politicians. Politicians are often ‘auto-invited’ (by colleagues) in board-of-directors of companies (the capital), further enabling amassing buying power. This shows that, in most countries, the differences between the capital and the political class are flimsy if not non-existent. As an example, all communist countries, in fact, were pure capitalist implementations, with a distinction that a greater share of the skimming was done by politicians compared to more conventional capitalist societies. Read more...
And finally, news one cannot refuse in times such as these. And mind you, this ain't fake news, not anymore anyways.
This is the Ideological Crowdfunding Platform and Self-Governing Political Party. Yes, you guessed it right, this is the view from the Alt-Right faction. The reliance on personal discretion for ideological vetting is a sign of immaturity. Less protocol governance-oriented types will probably find this less of a needling issue. A more intriguing quibble is that the "co-op grocery store" model runs directly contrary to basic NeoCameralist principles, since it deliberately offers a role in governance to customers. This could be the basis for an important conversation down the road. Main positive, as always with Pax Dickinson initiatives, is that it aims (competently enough, I reckon)to latch into the grain of the Internet, and of the auto-catalytic social machinery more generally. Whenever the "What is to be Done?" question arises, this is the type of thing that needs pointing to. Pieces of the future manifestly drift back into it.
Until next Monday,