How will global growth jump or can it ever jump again?? (debt, borrow)
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Demand = People with money to spend. In the US, per capita GDP has risen about 100% in the last 40 years, while consumer wages have been flat. Demand has a lot of catching up to do!
What forces are going to persuade the oligarchs to dig into the piles of cash they are sitting on, and invest the $$$ in production and wages for the masses?
Automation and AI are going to make this game (consumer-capitalism) obsolete before long. Demand is not going to catch up. Ever. They've spent 40 years systematically destroying demand, and that was no accident.
I agree wages should increase and support raising the min wage. High taxation of corporate profits is an impediment to corporations spending their money as is currently the oversuppply compared to the demand...there is no way to artificially correct supply and demand forces that will last...supply versus demand will always determine the prices long term.
Regarding automation and AI impacts, what do you suggest? Demand will always be there for the right product at the right time.
We have 95,000,000 adults between 18 and 65 not working. The only ting preventing growth is government. We will have growth again when we force government to get out of he way. Massive government bureaucracy and regulations stifle growth.
Demand = People with money to spend. In the US, per capita GDP has risen about 100% in the last 40 years, while consumer wages have been flat. Demand has a lot of catching up to do!
What forces are going to persuade the oligarchs to dig into the piles of cash they are sitting on, and invest the $$$ in production and wages for the masses?
Automation and AI are going to make this game (consumer-capitalism) obsolete before long. Demand is not going to catch up. Ever. They've spent 40 years systematically destroying demand, and that was no accident.
Quote:
Originally Posted by richrf
The problems that the world economies are experiencing are due to a greater and greater concentration of wealth. It is not a growth problem.
Two ways of saying the same thing. There was talk of going back to the gold standard. What shut that talk down was this. We've got the world's gold. We go on the gold standard we ship the gold over seas, we are broke. We go off the gold standard. What we have is a de facto labor standard. It is $7.25 is worth one hour of unskilled labor. We just need to make it an international standard. That way our productivity competes with their cheap labor more evenly.
Tax the producer of labor even if it is a machine.
Two ways of saying the same thing. There was talk of going back to the gold standard. What shut that talk down was this. We've got the world's gold. We go on the gold standard we ship the gold over seas, we are broke. We go off the gold standard. What we have is a de facto labor standard. It is $7.25 is worth one hour of unskilled labor. We just need to make it an international standard. That way our productivity competes with their cheap labor more evenly.
Tax the producer of labor even if it is a machine.
Primarily we have to bring back Glass- Steagall. With that back in place, the Fed Reserve gravey train for Wall Street immediately ends and everyone on Wall Street has to onece again learn to work for a living.
Not if you look at it. If you go from $1 a day to $1 an hr. that is 8X as much pay. You still can't buy anything with it though. If you want to get large growth in GWP (gross world product) raising the wages of the third world will get you more bang for the buck that anywhere else.
Primarily we have to bring back Glass- Steagall. With that back in place, the Fed Reserve gravey train for Wall Street immediately ends and everyone on Wall Street has to onece again learn to work for a living.
That is a good start. But just a start. Making them accountable for the mistakes at this point will just hurt everyone as they go broke and stop loaning out more money. The real need is to make everyone whole. That means restoring to the bottom the wealth transferred to the top. And because we've gone global instead of just national that means upping the wages of the third world to our standard and having them be productive enough to support those wages. AI and automation are an issue that need to be addressed.
That is a good start. But just a start. Making them accountable for the mistakes at this point will just hurt everyone as they go broke and stop loaning out more money. The real need is to make everyone whole. That means restoring to the bottom the wealth transferred to the top. And because we've gone global instead of just national that means upping the wages of the third world to our standard and having them be productive enough to support those wages. AI and automation are an issue that need to be addressed.
The problem right now is that the money-people have no incentive to build real businesses and hire and maintain good people. They get all the free money they want so the whole economic is distorted. I was part of the game so I saw it first hand. Once the incentives are properly in place again, everything begins to flow correctly. It does no good to have a higher minimum wage if the money people don't even need employees to make $billions. Everything is out of whack because there is an endless flow of free money from the Fed to the Billionaire Class thanks to the repeal of Glass-Steagall. That is why the Bankers worked so hard to get it repealed.
The problem right now is that the money-people have no incentive to build real businesses and hire and maintain good people. They get all the free money they want so the whole economic is distorted. I was part of the game so I saw it first hand. Once the incentives are properly in place again, everything begins to flow correctly. It does no good to have a higher minimum wage if the money people don't even need employees to make $billions. Everything is out of whack because there is an endless flow of free money from the Fed to the Billionaire Class thanks to the repeal of Glass-Steagall. That is why the Bankers worked so hard to get it repealed.
Point taken.
But upping the minimum wage would spread the free money from the FED across the bottom to. What is good for the top should be good for the bottom to.
But upping the minimum wage would spread the free money from the FED across the bottom to. What is good for the top should be good for the bottom to.
A bit, but not enough to make an overall difference. What we need is $30/hr jobs and that is not going to happen until the right incentives are in place and we have labor unions that are really aligned with the workers and not management. Lots of work needs to be done. It all unraveled over the last two decades.
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