Crisis of Capitalism

Posted by on Jun 29, 2010 in change, conservative, corporatism, economics, extremism, liberalism, vision | 0 comments

Jules Marshall posted a must watch animation from RSA Comment:

…radical sociologist David Harvey asks if it is time to look beyond capitalism, towards a new social order that would allow us to live within a system that could be responsible, just and humane.

Very much worth watching. My comments are below the video.

The trigger to the financial mess is greed. The idea that the system is open-ended, that the sky is the limit, is simply irresponsible. All systems have limits. We’ve reached the limit of capitalsim. And, to be sure, many will simply dismiss this argument as “socialism”. But, as Harvey’s argument posits, there are important points to be gleaned from a socialist approach. You can’t throw the baby out with the bathwater on this issue. This doesn’t mean that people don’t have the right to pursue financial success. What it does mean is that the way that success should be measured needs to change. Warren Buffett has the right idea. There’s a responsibility that comes with financial success. It’s good economics. And, Buffett understands that. The problem is, it’s become a political football.

The tragedy for the USA is that the political atmosphere is super-charged with partisan political nonsense. True discussion is almost impossible. At the moment, Conservatives have shown themselves  to be more interested in refuting their core beliefs, at the expense of the stability of the country, for political power. Liberals are lost in an over reactive loop of fixing failed Conservative policies with overreaching programs that miss the big picture. The result is inconsistent economics. Add to this the polarized atmosphere of the poltics of fear that dominate, and it’s a mess.

Engaging in a coherent debate under these circumstances is impossible, let alone implementing a cogent economic plan.

I fear that something truly horrendous will have to occur for people to break free of their ideological constraints and deal with the issues at hand properly with intellect and maturity.

We shall see.

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