We Need Consciousness, Not Just Political Reform Journalist Faiz Sakir of Think Progress wrote on October 5,2011: “The original “Occupy Wall Street” protest has grown beyond its name — it is no longer solely about the courageous people camped out at Zucotti Park; it is a nationwide movement bonded by a shared refrain: “We are the 99 percent.” This slogan has entered our political and financial lexicon and refers to the 99% , the vast majority of Americans, and their opposite, the 1% who have the exceedingly disproportionate share of the wealth. There is a mounting disgust and anger in America’s citizenry with a political and financial system that rewards the 1 % at the expense of the rest. The Occupy Wall Street protest reflects this by moving outside of it’s original platform as a protest against Wall Street, and has become a nationwide movement that is bringing awareness to ordinary Americans, not just about income inequality, but the declining median household incomes, the growing numbers of people getting kicked out of their homes, increasing numbers of adults and distressingly children falling below the poverty line, the millions joining the ranks of those without health insurance, and the corruption and unjustifiable political influence by greedy banks and corporations in the financial services sector. So far, the proposed solutions of the 99% have been political in nature at the level of national policy and are encoded in a list of demands called “99% Declaration” and a more loosely defined set of [...]
democracy
The “I Am” Sickness
Our Belief in Separateness is Leading Us To Serfdom Joseph Stilitz has done it again. He succinctly outlines the causes and impacts of the increasing disparity between those who have and those who don’t. The title of his article brilliantly says a lot: “Of the 1%, By the 1%, For the 1%”. There are some amazing statistics out that illuminate this disparity in a way that make it more personal for us living in the United States. For example, that 400 families in the US have the same wealth as the bottom 150,000,000 million Americans. On the world stage, the top 1 % own 97% of the wealth. In the US, that percentage is 1% owns 40%, but it is a growing disparity. In the 1980’s , those percentages were 12% and 33%. So, we are being impacted too by this disparity and the statistics are changing at an alarming rate. As Sitiglitz pints out “we’re doing inequality on a world-class level”. In my experience, we in the first world were congratulating ourselves for not feeling subject to the lack that so many people in the world have been experiencing, which has been denial of the worst kind- we are special and it won’t happen to us- that’s what happens to “them”. Evidence of our belief that we are separate. Even as we watch protests in Egypt, Libya, Tunisia, we are not recognizing it is increasingly the same situation at home. This is hubris and narcissism, not of the [...]
Concentric Circles of Recession
We Are Not Out of the Falling Bubble Woods Yet. I heard a joke the other day, that might have been funny if it weren’t so close to the truth. “The last will and testament of the Icelandic financial sector requested their ashes be spread over Europe”. I loved what my husband’s friend said in response to hearing that: There was a special bequest to England who replied “We said cash not ash”. But this is what is happening not just around Iceland debt, but debt in general all over the world. The debtors are being blamed, and the creditors have been given cash. The US government bailed out the banks- who were responsible for making bad loans, but gave nothing to the debtors. In effect, the bankers have been paid for their bad loans. As our economy is shrinking, these same creditors are grabbing as much as they can and in the process making the debtors feel guilty. The creditors are more guilty. They supported predatory lending- lending knowing that the debts could never be paid. It is another chapter in the wealth grab. The 10,000,000 Americans who are probably going to lose their homes didn’t cause the problems, but they and the American people whose taxes funded the bailouts are going to be left holding the bag. The economist Michael Hudson has likened the American democracy at the moment to an Oligarchy. He said that 25 years ago, 1% of the American public owned 27% of equity income, [...]
Opting Out of Serfdom
Day to Day Living in the New Paradigm In my last two blogs I talked at length about predatory lending and the debt economy getting us into trouble as a nation and as individuals. We need to step out of the culture of easy money and magical thinking that allowed Ponzi schemes like Bernie Madoff- but not just him. If you look at the whole bubble created by the debt system, you could say the whole of the state of Florida was a Ponzi scheme (look at the details of their real estate bubble). You could say all hedgefunds and therefore the fund managers were a Ponzi scheme. You could say the whole country (supported by Greenspan and the Bush Administration) has been living a national Ponzi scheme. Maybe ( and I believe) the whole world economy has been a Ponzi scheme. Bernie Madoff was just the starting bell in this horserace. I have an acquaintance here in Marin County who thought he was a multimillionaire. He had a thriving tax preparation business. Then he got into the investment business so his tax clients could invest in pension plans. And then he invested his own earnings in Florida real estate. The whole thing (except his tax practice- as taxes, like death, are inevitable) has fallen like a deck of cards. Now he is deeply suffering from his delusion and is having great difficulty in accepting that. There are many people who are in the same boat and they are [...]
Serfdom in the Global Economy
Obama Bailing Out the Banks In my last post, I talked about debt from the point of view of the individual getting off the wheel of bondage. Today I want to talk about debt again, but from the point of view of the Macro. Why? Because we can’t talk intelligently about our own money actions without talking about the canvass upon which these money actions are being played. Also, because we can’t really be conscious with money without this knowledge. And finally, we won’t really know what right action is. With respect to what is going on, both in our country, and in the bigger field of the world, I have run into two very powerful articles this recently. One was entitled ” Financial War Against Iceland” by Michael Hudson. Michael is a Distinguished Research Professor of Economics at the University of Missouri. He is also a Wall Street analyst and president of the Institute for the Study of Long-term Economic Trends. So he knows what he is talking about. I have been reading his articles for years about the true effects of the US Treasury policies and the resulting inevitable current financial crisis. His is a voice of intelligence, true intelligence, not just intellectual analysis, in a sea of self- serving rhetoric. The other article was “Resist Or Become Serfs” by Chris Hedges. Both of these articles talk about the bondage of our creditor society. The real issue in this economic crisis should be overall the health of [...]