From:
kunstler.com/blog/2011/05/memori … se-20.html
Warren says:
"3. Playing on the downward mobility of the middle class - The Germans of Hitler’s day were plagued by a stagnant economy and mass unemployment due to the Great Depression and excessive war reperations to Britain and France. Today, reperations to the bankers, deindustrialization, illegal immigration, the rise of China and India, automation, outsourcing, soaring education, gas and healthcare costs and the highest concentration of wealth in the developed world are gutting the formerly prosperous middle class and filling them with resentment. "
I answer:
I fail to understand how an intelligent commenter like you cannot see what the real macro trend is worldwide and what the real problem is: and that is how a Technological Economy is eliminating jobs faster than any possible replacement, and at the same time creating ever greater real wealth, in terms of optimizations in real production processes, science applied to technology, “cutting costs” (which means less need for both people and natural resources) and concentrating a huge amount of all of these gains in the hands of those 6,000 or so worldwide super rich families. This issue is the major reason of the economic crisis, especially in the USA, EU and JAPAN, this is the backbone of huge amounts of money the rich and capitalists have been accumulating worldwide for decades, this huge free money provided by technology.
Now there is absolutely no possible solution to this unless you simply force a solution in the form of handouts, cheap rents and free salaries: there is no magic hand of the market economy, no “less taxes”, no “innovation”, no “more education”, that will change any of this, that will “create jobs” and indeed most of these “solutions” will just amplify even more this huge elimination of the need for real labor, as in more innovation simply means even more ways to “cut costs” which translate somewhere and somehow in a job that is either paid less or no longer needed, “more education” just burdens people with even more debt, hoping that the future will play out like the (imaginary ?) past, but more education, if even used for “innovation”, will either result in even more “costs cut” and hence “fewer jobs” or just more intellectuals unemployed or underemployed that can discharge their “EXCESS CAPACITY” through websites like this with their never ending blocks of texts (hint, hint, may that include me?).
The reason why this issue is never mentioned is because it implies a very simple logical, predetermined and only possible solution: and that is, if the system is eliminating jobs automatically and structurally, then either we give handouts to people or a government, or public - private entities will have to INVENT and create them by the millions with large scale public - private endeavors like Rockets to Mars, Skyscrapers and High Speed Trains, along with millions of fake jobs where, even if people do nothing at all, it doesn’t matter, the system no longer needs so much labor, so we simply distribute the free wealth that is generated.
But this implies a huge cultural and ideological change, something that people can’t wrap their heads around, they are so used to “fighting others”, calling others “lazy”, you have “to deserve it”; and so on, the “competition myth”; the “resource scarcities myth”, etc. that they are doomed to fight amongst each other and actually sustain ideological positions against themselves just for the pleasure of not giving out “free lunches”, just for the pleasure of hurting others. But this is a recipe for more and more economic contraction in the first world, while all the gains will be made in the third world, since their growth is mostly due of them going to poor to rich, buying their first car, their first TV, just like JAPAN went from 1960 to 1980.
And all of the trillions of dollars of profits gained by firing people will keep on flowing in the hands of the super rich forever. AMEN.