We have to solve our social and economic challenges
together and when I think about the past duality of Capitalism and Communism
and later of the duality of Capitalism and Terrorism I am at a loss.
In fact, I cannot understand such dualities as they are artificially created not
for our collective welfare but for the welfare of the few and privileged.
We have been given the understanding that Capitalism has defeated Communism
when the Soviet Union collapsed with the collaboration of the Soviet oligarchs.
Now with president Bush’s misunderstanding notion of Terrorism we are given
the understanding that Capitalism will defeat Terrorism. So, Capitalism
is pushed forward with the Free Market and with its supposed free political
elections all over the world, with particular emphasis on countries rich in resources
and OIL; but where do you find a Fair Market and fair elections in president
Bush’s world?
In Bush’s world there is not a Fair Market as a fair Free Market exists
only in Bush’s ideology of ‘supply side economics’ better known as ‘trickle down economics.’ In my last article I pointed
out the misleading economic policies of Bush’s agenda: tort reform, privatization
of Social Security, tax cuts and more money for wars.[2] These policies are all marketed
with the ideological rationality of economics; but economics is not the result of
mathematical reasoning, and in fact, economics should be the result of all of our
collective understanding. Today, as a result of Bush’s ideological Free Market,
our world economy is headed for a down turn, and in this respect it is really interesting
to read the following excellent two articles:
* "The Paradox of Trade," by Stephen Roach[3]
* "A New Illusion: The falling dollar," by Kurt Richebcher[4]
Roach writes
"Therein lies the ultimate paradox of trade: Courtesy
of a strong dollar and cut-rate foreign financing, America has been living beyond
its means for almost a decade. As the dollar now weakens, that movie is about to
run in reverse."
Richebcher asserts
"the Fed will face a Catch-22. With CPI inflation
above 3% at annual rate and a falling dollar, a new easing of monetary policy is
absolutely impossible. Rather, the market will expect the Fed to continue its rate
hikes. But doing so, it would prick the carry trade bubble in bonds with disastrous
effects, first on the bond market and then on the economy."
There is no such a word as PARADOX in proper
communicative language and for me the wording CATCH 22 is a cliche’ invented
for the purpose to freeze understanding and get brainwashed by the Bushes of this
world. In fact, our social and economic events have a cyclical evolvement as both
Roach and Richebcher have attested. However, let us be clear and use proper language,
there is neither an economic paradox nor a catch 22.
Today we celebrate the miracle of Christmas Day, neither a paradox nor a Catch
22: Merry Christmas!