The U.S. now has two economies – the 0.1% Economy of Corruption for billionaires waging a class war against American society and the 99.9% Economy of Decline. That is today “the financial system as we know it.” We need to replace it with a financial system designed to support a healthy American society.
The .1% are floating on a massive bubble economy based on:
wild printing of money by the Fed for the exclusive use of Wall St. bank gambling (not loans to industry or commerce or individuals);
outrageous transfer of social wealth into the pockets of that 0.1% (via fraudulent foreclosures, suppressed wages, attacks on public service unions, 20 million unemployed + underemployed + driven from the job market);
leveraging to multiply Wall St. gambling profits made possible by Washington’s guarantee that they are too big to fail;
the knowledge that financial criminals will not be punished;
constant war for profit (the profit of arms industry CEO’s but further bleeding of social wealth).
The stock market bubble is designed for one purpose: to fund the Economy of Corruption.
The second economy in the U.S. is the real economy of all the productive activities of the 99.9%. Over the past generation, it has been transformed into the Economy of Decline, as wealth has been bled out of society to enrich a few billionaires, away from production and into financial gambling via unregulated vaporware products like derivatives and CDO’s permitting the rich to lay bets on your mortgage, and away from useful civilian production to wasteful military production enabling the rich to launch wars of choice. This Economy of Decline rests on the process of transferring wealth from the many to the few. It features illegal foreclosures with government collusion, rules slanted to serve the rich, job outsourcing to enhance profits for CEO’s, broken retirement contracts, declining benefits, and popular consumption still funded by debts to China. We all know there is no bubble in this economy – just endless recession. After all, there is only so much money, and the super-rich are rapidly accumulating it. In case you haven’t looked around you lately, you are not “too big to fail.”
So no one should panic when the stock market bubble bursts, as it will. Your money should be elsewhere, if you have any money (and, no, I am NOT recommending a bank account…remember Cyprus and, a few years back, Argentina. Be glad if the stock market bubble bursts; it has nothing to do with American productivity. It represents the financial system of class war and a new “system as we know it” that should be liquidated. The bursting of this bubble will be the opportunity to reverse the flow of wealth now flowing into the greedy hands of the billionaires and send it back to American society, where its circulation can power a new period of growth like that of the 1950s.