As a house owner, and one who fervently believes in the right of every person to own their own home -and start their own business, I am clearly not a socialist. Still, I have to question the sanity of all the valiant fighters against socialism, who defend our current model of free market capitalism.
How is working for a -democratic- socialist government any worse than working for a global corporation that is larger than most governments?
In a democracy, the rule is one person, one vote. In a corporation the rule is one share one vote, and the employees of the company aren’t even guaranteed a share in the company they work for.
How can anyone justify owning a thousand homes, when a thousand people can’t afford to own one? The arch capitalists claim the right to excel, and to profit from their excellence by unrestrained expansion.
Let’s look at this a little more closely.
If a small town has two tyre services, chances are one will be more profitable than the other.
If the town is relatively wealthy, the more profitable business may offer better service, but sell a slightly more expensive product.
More commonly, the more profitable company will offer the cheapest product; and the way it does this is by underpaying it’s staff (witness Walmart) or by cutting it’s service (witness Australian Telcos).
Current capitalist philosophy holds that this more ‘efficient’ company should be able to buy out the only other company in town. Then they can charge whatever they like; up to where it becomes cheaper for the consumers to drive to the next town to buy their tyres. At which point, the ‘successful’ tyre company is free to expand into that town also.
Under a system such as this, a lowering of the standard of service and an increase in profits to those who lower services, is inevitable.
And we have seen it.
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There are several aspects of the current global economic meltdown, and more than a few problems. First is the idea that The Market Should Be Free To Regulate Itself.
This makes as much sense as saying There Should Not Be Any Road Rules, Drivers Should Be Able To Do As They Please.
What happens in the absence of regulation? This is a ‘must-see’ video.
The other essential problem is, these banks and corporations are simply too big.
Too big to be ‘allowed to fail’ in fact.
So how are they addressing this problem? “We’re not big enough” they tell us. GM wants to merge with Fiat.
This is the Great Lie of laissez faire capitalism. A system that relies on competition, yet to be successful, you must eliminate, destroy, buy out or merge with your competitors.
Is there a better way?
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