RE: 1% own half the world's wealth (Full Version)

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Zonie63 -> RE: 1% own half the world's wealth (2/8/2015 10:43:16 AM)


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ORIGINAL: DesideriScuri
When the meaning or accepted usage of a word changes over the years, that does not constitute a valid changing of the Constitution. Take, for instance, the discussion we've had about the "Interstate" Commerce Clause.


Well, then, I suppose the more honorable approach would be for governments to say what they mean and to mean what they say. Language should not be used to deceive or obfuscate its true meaning. Maybe instead of lawyers on the Supreme Court, we should have linguists instead.

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I disagree with your analysis of how conservatives think.


Some of it comes from my own personal experience and observation. Don't forget that I'm from Arizona, the state of Barry Goldwater, the grandfather of conservatism. You think that I don't know conservatives? I've known them, worked with them, lived among them for decades, and many within my own family. I know what it's like to live under a mainly conservative state government, the kinds of things they value, the legislation they've passed, the mismanagement, the corruption, the abuses of power they've turned the blind eye to. That's not to say that many of them aren't nice people. I think many of them sincerely mean well, even if they may be misguided and stubbornly refuse to listen to reason. I can still sense that there's some good in them, deep down. [;)]

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Where is the "constant application of force, threat of force, coercion, corruption/usurpation of foreign governments?"


You haven't noticed the deployment and placement of US military bases, equipment, and personnel around the world these past 100+ years? You haven't heard about United Fruit, or any of our government's covert operations around the world, or any of the atrocities committed by regimes which we supported?



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It's too bad economicsts can't point to successes of countries (China) that have experienced an economic explosion after moving more towards a capitalistic system (China). [8|]


And China is also a mixed economic system, with elements of both socialism and capitalism. Of course, China isn't really that much to crow about, though. Their wealth hasn't exactly trickled down to the lower levels, and their GDP per capita is 82nd in the world, hardly a stellar achievement. But they're still working on it, and they do have some shared collective goals of being a fully-developed, materially well-off society - yet still centrally managed and anti-democratic. So, yes, you can sing China's praises if you wish, but not without a lot of footnotes, explanations, and apologia.

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Capitalism has existed. Capitalism isn't a market free of any government intervention. That's just a way those who oppose it demonstrate their lack of understanding and/or their distaste for Capitalism.


I think those who oppose it understand it well enough. Anyone who was born and raised in this country would be reasonably well-versed in the basic principles and tenets of capitalism. How could they not be? It's just that some people scratch the surface and look beyond the pseudo-patriotic propaganda of capitalists and try to give a more forensic analysis, looking under the hood and seeing what goes on in the back room. Some of it is indeed quite distasteful, yet whenever someone points out some of the more inconvenient truths about capitalism, many conservatives get quite upset about it, as if their religious beliefs have been insulted.

But I guess they're not as bad as some of the Muslim extremists out there. I mean, capitalists would never kill or make war in order to advance their capitalist beliefs...erm...oh wait, let's look at that again. [:'(]

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It was a while ago, so I don't recall the particulars. There may not be exact left/right differences, but there was a very strong correlation among those that lean left and supporting the government being able to dictate what those on the right supported as family decisions.


Again, I think it depends on the issue. In cases where gay or lesbian couples want to raise a child (or even get married), there are those on the right who reverse themselves and suddenly start clamoring for government interference in family decisions. Similarly, they demand government interference in personal decisions like abortion. The right hasn't been all that consistent in their support of the principle of "non-interference by government." This would indicate that they must operate according to a different set of principles, other than the ones they claim to support.


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I do know about that.


Well, I guess that settles it then, doesn't it? [8|]


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I don't know. It very well might be hard to sell some of that swamp land.


Well, as P.T. Barnum once said, "There's a sucker born every minute." What a noble and industrious venture to embark on a career of conning and manipulating "suckers" out of their money.


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The idea that situations and circumstances are to blame for the bad decision is the same as saying the person isn't to blame for the decision.


No, I'm saying that "blame" is irrelevant when it comes to the overall needs and challenges of society. If you want to blame someone, then okay - blame the individual person who made the bad decision. But then what?

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Hurricanes, though, aren't sentient and don't make choices. There's a big difference.


True, humans are sentient creatures, although generally, just like any other animal, they can usually be expected to make choices that they believe will increase their own survival and/or the survival of their progeny. Of course, the laws of human survival don't necessarily correspond with anything you might read in the Constitution or the Bible - or anything else for that matter.

If there's a food riot or something similar, then it won't really do a bit of good to go in there and tell the rioters that they're making bad choices. If you want to do that and tell a bunch of angry, desperate people that they're making bad choices and blame them for those choices, you're free to do so. As for me, I look at it as a "situation society will have to deal with," which means using whatever resources and apparatus we have at our disposal to restore order and repair the damage.

And you're right. This would be a situation different from a hurricane in that we should be better able to predict such things and take proactive measures to reduce the possibility of them ever happening. That is, if society and government ever take seriously these situations that we will have to deal with.



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According to some people (no idea if they are right or wrong), the left-leaning types co-opted the word "liberal." In much of the rest of the world, the political connotation of "liberal" doesn't match our connotation. I doubt NorthernGent would be considered a "liberal" in the US.


It might have different connotations in different countries, true. You don't really hear the term "progressive" much anymore, as they're often associated with liberals, but not entirely the same.

One has to keep in mind that there are still sections of this country that never fully recovered from the various "Red Scares" we've had, highlighted by the infamous McCarthy era. "Liberal" was about as "far left" as anyone could get in this country without being associated with the "Red Menace" and an enemy of "God, Freedom, and United States of America" (but not necessarily in that order). But even then, liberals were often called "pinkos" and associated with communists just the same. I think the same "McCarthy Lite" mentality arises every time the word "socialism" is mentioned in American political parlance.

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And, we have (and should have) laws that support consumer rights to fight against businesses who don't act ethically.


Do those laws have enough teeth in them to adequately protect consumer rights? And it's not just consumers that might need protection. If a company dumps hazardous chemicals upriver and people start getting sick, then the general public needs protection too. But then the EPA is another example of "government interference" which the business community always balks against.

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Yup, but we can work to education and enlighten so the future decisions are better.


There are certainly ways of improving the education system, but part of that also might mean that some of America's more "provincial" attitudes towards the education process might need to be updated a bit.

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Protection of the 10 Amendment.


And...?

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You think "the rich" are creating policies to maintain the existence of "the poor?" Please cite that.


I think the results of the situation outlined in the OP speak for themselves.

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Equal results aren't (and shouldn't be) guaranteed. Government should support equal opportunities, though.


And, in the spirit of supporting, upholding, and maintaining equal opportunities, there have been times where government has had to interfere. Certainly, equal results aren't guaranteed, but that also doesn't mean that things "should be" so incredibly lopsided as it currently is. We all know that "life isn't fair," but when people try to actively push that notion to absurd proportions, then sooner or later, the other shoe is going to drop.

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We're not really talking about immoral products, are we?


It depends on the product and the conditions faced by those who work to produce it.

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Your view of Capitalism and Capitalists is so low. We don't agree on it at all.


It could be that my view of capitalism is low. Or it could be a matter of perspective; that is, your view of capitalism could be so high that any valid criticism might be considered a "low" view of capitalism in your eyes.

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No, they don't act like the built it all from scratch. They helped pay for that modern, technologically-advanced society, too. They helped build that modern, technologically-advanced society, too.


Well, we all helped pay for it and helped build it, and that's why many people believe that we all should benefit from it.

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Entrepreneurs use that modern society as a springboard for more, but there's nothing preventing anyone from doing the same. Therein lies the difference.


Except for the fact that society still needs large numbers of people to do actual real work.

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No, it isn't.


Yes, it is.

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Maybe the US should tax any company anywhere, then.


No, I didn't say that. Not that we haven't been above that sort of thing back in our earlier swashbuckler days, but that was in the past. We wouldn't dream of doing anything like that nowadays.

Still, US citizens being taxed on their earnings seems pretty normal, don't you think? We all have to pay taxes, even if we don't like them. Sure, some people try to hide their earnings and squirrel their money away to avoid having to pay Uncle Sam. Or it could be cases of illicitly-acquired income, such as in the numerous cases of "mysteriously missing money" which seem to crop up all too frequently in many city and state governments, in addition to federal agencies. Then there are things like the S&L fiasco... I think we should investigate these offshore accounts and holdings, and if any of that money rightfully belongs to the US taxpayers, we should be able to get it back, with interest.




DesideriScuri -> RE: 1% own half the world's wealth (2/8/2015 1:46:17 PM)

quote:

ORIGINAL: Zonie63
quote:

ORIGINAL: DesideriScuri
When the meaning or accepted usage of a word changes over the years, that does not constitute a valid changing of the Constitution. Take, for instance, the discussion we've had about the "Interstate" Commerce Clause.

Well, then, I suppose the more honorable approach would be for governments to say what they mean and to mean what they say. Language should not be used to deceive or obfuscate its true meaning. Maybe instead of lawyers on the Supreme Court, we should have linguists instead.


In politics, too...

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Where is the "constant application of force, threat of force, coercion, corruption/usurpation of foreign governments?"

You haven't noticed the deployment and placement of US military bases, equipment, and personnel around the world these past 100+ years? You haven't heard about United Fruit, or any of our government's covert operations around the world, or any of the atrocities committed by regimes which we supported?


Our foreign bases are for "National Security." We "have to" keep them so we don't get attacked, or if we do, we can respond easier. [8|]

That's the gist of why we need to keep those foreign bases that I hear from others (who come from both sides of the aisle). I'm all for closing the bases and bringing those troops home. I've said so many times on this board.

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It's too bad economicsts can't point to successes of countries (China) that have experienced an economic explosion after moving more towards a capitalistic system (China). [8|]

And China is also a mixed economic system, with elements of both socialism and capitalism. Of course, China isn't really that much to crow about, though. Their wealth hasn't exactly trickled down to the lower levels, and their GDP per capita is 82nd in the world, hardly a stellar achievement. But they're still working on it, and they do have some shared collective goals of being a fully-developed, materially well-off society - yet still centrally managed and anti-democratic. So, yes, you can sing China's praises if you wish, but not without a lot of footnotes, explanations, and apologia.

Yet, their economy has exploded recently, which - surprise, surprise - also coincides with their shift away from socialism and towards a more free market.

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Capitalism has existed. Capitalism isn't a market free of any government intervention. That's just a way those who oppose it demonstrate their lack of understanding and/or their distaste for Capitalism.

I think those who oppose it understand it well enough. Anyone who was born and raised in this country would be reasonably well-versed in the basic principles and tenets of capitalism. How could they not be? It's just that some people scratch the surface and look beyond the pseudo-patriotic propaganda of capitalists and try to give a more forensic analysis, looking under the hood and seeing what goes on in the back room. Some of it is indeed quite distasteful, yet whenever someone points out some of the more inconvenient truths about capitalism, many conservatives get quite upset about it, as if their religious beliefs have been insulted.
But I guess they're not as bad as some of the Muslim extremists out there. I mean, capitalists would never kill or make war in order to advance their capitalist beliefs...erm...oh wait, let's look at that again. [:'(]

I've already agreed that some definitely react like that. People born in this country are also bombarded by the propaganda of why capitalism is bad.

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The idea that situations and circumstances are to blame for the bad decision is the same as saying the person isn't to blame for the decision.

No, I'm saying that "blame" is irrelevant when it comes to the overall needs and challenges of society. If you want to blame someone, then okay - blame the individual person who made the bad decision. But then what?


Allow that person to pay the consequences for that decision. Eventually, the prevalence of that same decision being made should drop.

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Hurricanes, though, aren't sentient and don't make choices. There's a big difference.

True, humans are sentient creatures, although generally, just like any other animal, they can usually be expected to make choices that they believe will increase their own survival and/or the survival of their progeny. Of course, the laws of human survival don't necessarily correspond with anything you might read in the Constitution or the Bible - or anything else for that matter.
If there's a food riot or something similar, then it won't really do a bit of good to go in there and tell the rioters that they're making bad choices. If you want to do that and tell a bunch of angry, desperate people that they're making bad choices and blame them for those choices, you're free to do so. As for me, I look at it as a "situation society will have to deal with," which means using whatever resources and apparatus we have at our disposal to restore order and repair the damage.
And you're right. This would be a situation different from a hurricane in that we should be better able to predict such things and take proactive measures to reduce the possibility of them ever happening. That is, if society and government ever take seriously these situations that we will have to deal with.


What happens when government actions reduce one "situation" but causes another?

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According to some people (no idea if they are right or wrong), the left-leaning types co-opted the word "liberal." In much of the rest of the world, the political connotation of "liberal" doesn't match our connotation. I doubt NorthernGent would be considered a "liberal" in the US.

It might have different connotations in different countries, true. You don't really hear the term "progressive" much anymore, as they're often associated with liberals, but not entirely the same.


Nope. Not entirely the same. Not even close to the same as the "Classic" liberals back in the Revolutionary days.

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And, we have (and should have) laws that support consumer rights to fight against businesses who don't act ethically.

Do those laws have enough teeth in them to adequately protect consumer rights? And it's not just consumers that might need protection. If a company dumps hazardous chemicals upriver and people start getting sick, then the general public needs protection too. But then the EPA is another example of "government interference" which the business community always balks against.


Always?

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Yup, but we can work to education and enlighten so the future decisions are better.

There are certainly ways of improving the education system, but part of that also might mean that some of America's more "provincial" attitudes towards the education process might need to be updated a bit.


Won't need to change the education process at all. I had a typo, though. I meant, "work to educate and enlighten." Unfortunately, we'll need people to refuse to be low information voters, and that's going to be damn difficult.

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Protection of the 10 Amendment.

And...?


And there's your example.

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You think "the rich" are creating policies to maintain the existence of "the poor?" Please cite that.

I think the results of the situation outlined in the OP speak for themselves.


Does the article in the OP speak for you, or do you have your own opinion (which is what I asked for)?

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Equal results aren't (and shouldn't be) guaranteed. Government should support equal opportunities, though.

And, in the spirit of supporting, upholding, and maintaining equal opportunities, there have been times where government has had to interfere. Certainly, equal results aren't guaranteed, but that also doesn't mean that things "should be" so incredibly lopsided as it currently is. We all know that "life isn't fair," but when people try to actively push that notion to absurd proportions, then sooner or later, the other shoe is going to drop.


Yet, equal results are what are being pushed.

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Your view of Capitalism and Capitalists is so low. We don't agree on it at all.

It could be that my view of capitalism is low. Or it could be a matter of perspective; that is, your view of capitalism could be so high that any valid criticism might be considered a "low" view of capitalism in your eyes.


When I hear a valid criticism of Capitalism, I'll let you know. [8D]


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No, they don't act like the built it all from scratch. They helped pay for that modern, technologically-advanced society, too. They helped build that modern, technologically-advanced society, too.

Well, we all helped pay for it and helped build it, and that's why many people believe that we all should benefit from it.


Everyone does.

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Entrepreneurs use that modern society as a springboard for more, but there's nothing preventing anyone from doing the same. Therein lies the difference.

Except for the fact that society still needs large numbers of people to do actual real work.


Are those large numbers of people doing actual real work compensated?

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Maybe the US should tax any company anywhere, then.

No, I didn't say that. Not that we haven't been above that sort of thing back in our earlier swashbuckler days, but that was in the past. We wouldn't dream of doing anything like that nowadays.


I didn't say you did say that. But, it's a logical extension. With the amount of stability we are providing, everyone benefits.

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Still, US citizens being taxed on their earnings seems pretty normal, don't you think? We all have to pay taxes, even if we don't like them. Sure, some people try to hide their earnings and squirrel their money away to avoid having to pay Uncle Sam. Or it could be cases of illicitly-acquired income, such as in the numerous cases of "mysteriously missing money" which seem to crop up all too frequently in many city and state governments, in addition to federal agencies.


Perhaps earnings aren't the right thing to be taxed, then. We could tax spending (with a few exemptions for things like food), so that it doesn't matter where the money came from. All those hoarded millions mean jack shit unless it gets spent, and then it's taxed.

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Then there are things like the S&L fiasco... I think we should investigate these offshore accounts and holdings, and if any of that money rightfully belongs to the US taxpayers, we should be able to get it back, with interest.


The S&L crisis was almost entirely caused by government meddling.

The idea that money "belongs" to US taxpayers (which I'm interpreting as you're saying is for the government's use) is ludicrous. It belongs to the one that earned it.





MrRodgers -> RE: 1% own half the world's wealth (2/8/2015 5:42:52 PM)

The S & L crisis had nothing whatever to do with govt. except for $400 billion of taxpayer generosity (Resolution Trust Corp.) thanks to Carter when he (and congress) raised insurance to $100K per depositor and then covered virtually all of many accts. costing million$ lost by many depositors.

Typically it was the bankers themselves (fraud) by way of insider lending/borrowing and friends of the banks borrowing money and walking away from the property assigned as collateral but with the money.

Nothing less.




Zonie63 -> RE: 1% own half the world's wealth (2/9/2015 10:04:37 AM)


quote:

ORIGINAL: DesideriScuri
Our foreign bases are for "National Security." We "have to" keep them so we don't get attacked, or if we do, we can respond easier. [8|]


And why would anyone want to attack a bunch of freedom-loving nice guys like us?

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That's the gist of why we need to keep those foreign bases that I hear from others (who come from both sides of the aisle). I'm all for closing the bases and bringing those troops home. I've said so many times on this board.


If you knew they were out there, why did you ask where they were? Are you saying that you actually believe the government's pretexts for why we have troops all over the world? Also, I wasn't referring to just the present day, but the past 100+ years of foreign interventions, and in most instances, the US was in no danger of being attacked whatsoever.

In many cases, interventions were justified by our government's desire to "prevent the spread of communism," which can be interpreted as "preserving capitalism," which means that a constant application of force (or the threat of force) has been required in order to maintain these offshore business relationships, which you've said are "good" for US interests.

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Yet, their economy has exploded recently, which - surprise, surprise - also coincides with their shift away from socialism and towards a more free market.


Their economy has been slowly improving since 1949, when they revolted against the capitalist warlord regime which thrived on corruption and which led the entire country to total disaster. True, they've become more flexible and capitalist-friendly for pragmatic reasons, which just goes to show that not all communists or socialists are the stubborn hardliners that the West typically paints them as.

I still think they have a long way to go, and I also don't think it would be wise for the West to completely trust China. China will never be our ally, nor will they ever be a true "partner" or "friend" of the West. But that doesn't mean they have to be an enemy either.

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I've already agreed that some definitely react like that. People born in this country are also bombarded by the propaganda of why capitalism is bad.


I think that people are usually exposed to both sides of the argument, but I find reason to question where and when anyone is/was "bombarded by propaganda of why capitalism is bad." Some people might get exposed to the anti-capitalist point of view in college or perhaps in various sub-cultures or counter-cultures in America, but as far as mainstream popular culture is concerned, the propaganda is heavily pro-capitalist, especially since the Reagan years.

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Allow that person to pay the consequences for that decision. Eventually, the prevalence of that same decision being made should drop.


Isn't that what we've been doing all along, as a society? It might vary depending on the decision and the ensuing consequences.

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What happens when government actions reduce one "situation" but causes another?


That's always a possibility, which is why the more thoughtful proposals examine all the angles and make provisions for possible contingencies.

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Nope. Not entirely the same. Not even close to the same as the "Classic" liberals back in the Revolutionary days.


You don't even have to go that far back. I think of my maternal grandparents who were liberals in the FDR era, while my mother and aunt were liberals in the 1960s, yet very much against LBJ and what might have been seen as the "liberal establishment" at that time. My grandparents were still liberal in the areas of education, healthcare, welfare (but only for the truly needy), labor unions, and rights of workers, but where they often clashed with my parents' generation was over the war and over various social issues, particularly things like abortion, gender equality, and other such issues. They were devout Catholics, so there were just some things they were never going to accept. But from their perspective at the time they formulated their political views, they were liberals.


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Always?


Figure of speech. I can amend it to "generally," but the point would stand just the same.

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Won't need to change the education process at all. I had a typo, though. I meant, "work to educate and enlighten." Unfortunately, we'll need people to refuse to be low information voters, and that's going to be damn difficult.


And you don’t think we need any changes in the education process or the prevalence of decidedly anti-intellectual, anti-education attitudes in this country? One thing that occurs to me when looking at how America's school systems are criticized for lagging behind the rest of the industrialized world in math and science is that in many of the other countries in question, they have cultures which are far more driven to respect education and educators than what we'd typically see in the US.



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Protection of the 10 Amendment.

And...?


And there's your example.


Well, I was hoping you could cite some sort of real world historical example of something that turned out differently because Senators are elected by the people as opposed to being appointed by the State government.

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You think "the rich" are creating policies to maintain the existence of "the poor?" Please cite that.

I think the results of the situation outlined in the OP speak for themselves.


Does the article in the OP speak for you, or do you have your own opinion (which is what I asked for)?


Well, I've been giving you my opinion throughout this whole exchange. I realize that it's getting long.

I think the OP was outlining a situation which indicates a relative few people at the top controlling the majority of the world's wealth and resources, while much of the rest of the population has considerably less by comparison. The article in question indicated this as a world-wide phenomenon, and did not focus on just America itself. I saw that it wasn't just a matter of disparities of wealth among individuals, but also among nations where there are similar disparities in wealth and standard of living.



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Yet, equal results are what are being pushed.


No, not really. I think what usually ends up being pushed are "livable results," which aren't generally equal results - but won't reduce people to utter destitution and starvation.

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When I hear a valid criticism of Capitalism, I'll let you know. [8D]


I respect that you favor a capitalist system, but if you're suggesting that there are no valid criticisms of it, then…I don't know, man. That seems a bit too much.


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Are those large numbers of people doing actual real work compensated?


Presumably, they are, but are they all receiving livable wages?

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I didn't say you did say that. But, it's a logical extension. With the amount of stability we are providing, everyone benefits.


Actually, I've heard some ideas floated around like that, where people believe that with all the money spent on defense, other countries should compensate us for helping to prop up their regimes.

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Perhaps earnings aren't the right thing to be taxed, then. We could tax spending (with a few exemptions for things like food), so that it doesn't matter where the money came from. All those hoarded millions mean jack shit unless it gets spent, and then it's taxed.


You're proposing a higher sales tax? Wouldn't that hinder the free market even more?

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The S&L crisis was almost entirely caused by government meddling.


Or maybe it was caused because government didn't "meddle" soon enough. By the time the government even realized what was happening, disaster had already struck.

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The idea that money "belongs" to US taxpayers (which I'm interpreting as you're saying is for the government's use) is ludicrous. It belongs to the one that earned it.


Not if they stole it from the taxpayers.





DesideriScuri -> RE: 1% own half the world's wealth (2/9/2015 3:09:05 PM)

quote:

ORIGINAL: MrRodgers
The S & L crisis had nothing whatever to do with govt. except for $400 billion of taxpayer generosity (Resolution Trust Corp.) thanks to Carter when he (and congress) raised insurance to $100K per depositor and then covered virtually all of many accts. costing million$ lost by many depositors.
Typically it was the bankers themselves (fraud) by way of insider lending/borrowing and friends of the banks borrowing money and walking away from the property assigned as collateral but with the money.
Nothing less.


Right. It had nothing to do with the Federal Government capping the amount of interest they could offer on savings accounts, then lifting it when interests rates went through the roof, and then re-regulating them, and forcing a fire sale of once-banned, then not banned, then again banned loans (as opposed to banning new loans and grandfathering the no-longer-allowed loans and letting them mature off the S&L's books). [8|]

You need to buy a clue.




MrRodgers -> RE: 1% own half the world's wealth (2/10/2015 12:45:34 PM)


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ORIGINAL: DesideriScuri

quote:

ORIGINAL: MrRodgers
The S & L crisis had nothing whatever to do with govt. except for $400 billion of taxpayer generosity (Resolution Trust Corp.) thanks to Carter when he (and congress) raised insurance to $100K per depositor and then covered virtually all of many accts. costing million$ lost by many depositors.
Typically it was the bankers themselves (fraud) by way of insider lending/borrowing and friends of the banks borrowing money and walking away from the property assigned as collateral but with the money.
Nothing less.


Right. It had nothing to do with the Federal Government capping the amount of interest they could offer on savings accounts, then lifting it when interests rates went through the roof, and then re-regulating them, and forcing a fire sale of once-banned, then not banned, then again banned loans (as opposed to banning new loans and grandfathering the no-longer-allowed loans and letting them mature off the S&L's books). [8|]

You need to buy a clue.

What you have even if completely true, had nothing whatever to do with why those S & L's failed.

They failed from loans I know of personally that occurred all across the country. Borrowers getting millions against land for example and simply walking away with the money and all the bank could do was take the land.

I know personally of many loans like those and those that went to insiders of the banks that had no intention of paying them back. The interest rate fluctuations were in no way responsible for the bankruptcy of the S & L's.

In addition, S & L's offered depositors ridiculous rates that they knew they couldn't cover and only to snare in deposits to cover other failed loans and prolong their tenuous financial condition so insiders could get their money out and sell stock if any before it crashed.

I know of no time that the federal govt. capped the rate payable and even if they did, it may well have protected depositors from not depositing any more money or any money at all.

A friend of mine (land banker) went into a bank to borrow a million$ and they as much as said..."here...take two." It was as fraudulent and as criminal as any enterprise in capitalism's history where many actually did go to jail.




DesideriScuri -> RE: 1% own half the world's wealth (2/10/2015 1:19:36 PM)

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ORIGINAL: MrRodgers
quote:

ORIGINAL: DesideriScuri
quote:

ORIGINAL: MrRodgers
The S & L crisis had nothing whatever to do with govt. except for $400 billion of taxpayer generosity (Resolution Trust Corp.) thanks to Carter when he (and congress) raised insurance to $100K per depositor and then covered virtually all of many accts. costing million$ lost by many depositors.
Typically it was the bankers themselves (fraud) by way of insider lending/borrowing and friends of the banks borrowing money and walking away from the property assigned as collateral but with the money.
Nothing less.

Right. It had nothing to do with the Federal Government capping the amount of interest they could offer on savings accounts, then lifting it when interests rates went through the roof, and then re-regulating them, and forcing a fire sale of once-banned, then not banned, then again banned loans (as opposed to banning new loans and grandfathering the no-longer-allowed loans and letting them mature off the S&L's books). [8|]
You need to buy a clue.

What you have even if completely true, had nothing whatever to do with why those S & L's failed.
They failed from loans I know of personally that occurred all across the country. Borrowers getting millions against land for example and simply walking away with the money and all the bank could do was take the land.
I know personally of many loans like those and those that went to insiders of the banks that had no intention of paying them back. The interest rate fluctuations were in no way responsible for the bankruptcy of the S & L's.
In addition, S & L's offered depositors ridiculous rates that they knew they couldn't cover and only to snare in deposits to cover other failed loans and prolong their tenuous financial condition so insiders could get their money out and sell stock if any before it crashed.
I know of no time that the federal govt. capped the rate payable and even if they did, it may well have protected depositors from not depositing any more money or any money at all.
A friend of mine (land banker) went into a bank to borrow a million$ and they as much as said..."here...take two." It was as fraudulent and as criminal as any enterprise in capitalism's history where many actually did go to jail.


From the FDIC.. (Bold mine)
quote:

1966-1979 Market interest rates fluctuate with increasing intensity and S&Ls experience difficulty with each interest rate rise. Interest rate ceilings prevent S&Ls from paying competitive interest rates on deposits. Thus, every time the market interest rates rise, substantial amounts of funds are withdrawn by consumers for placement in instruments with higher rates of return. This process of deposit withdrawal ("disintermediation") and the subsequent deposit influx when rates rise ("reintermediation") leaves S&Ls highly vulnerable. Concurrently, money market funds become a source of competition for S&L deposits. S&Ls are additionally restricted by not being allowed to enter into business other than accepting deposits and granting home mortgage loans.


There's the basics of the background. Note the problems due to rate ceilings. Can you guess where those came from? It sure as fuck wasn't the general market, was it? I mean, banks offered higher rates, so, there was something more than just the market setting rates at S&L's, doesn't it?

Article from the Library of Economics and Liberty

The Minnesota Fed thinks it was policy (from 1990)...

The S&L Wiki...




DesideriScuri -> RE: 1% own half the world's wealth (2/11/2015 5:49:53 PM)

http://finance.yahoo.com/news/americans-nice-fat-pay-raise-130000624.html

What was I saying, again? Wasn't it me that said when businesses have to compete for qualified talent (or talent of a the quality level they're looking for), wages will rise?

Granted, it hasn't happened yet, but sings are sure pointing towards that happening, aren't they?




Zonie63 -> RE: 1% own half the world's wealth (2/11/2015 6:10:56 PM)


quote:

ORIGINAL: DesideriScuri

http://finance.yahoo.com/news/americans-nice-fat-pay-raise-130000624.html

What was I saying, again? Wasn't it me that said when businesses have to compete for qualified talent (or talent of a the quality level they're looking for), wages will rise?

Granted, it hasn't happened yet, but sings are sure pointing towards that happening, aren't they?


I'll take it as a good sign. If things improve for the US economy and things get better, I certainly won't complain about it.

Of course, there are still a few unknowns, as the article you linked mentions:

quote:

The big unknown is whether the problems that threaten the U.S. economy this year — from Greek contagion fears to the specter of a Federal Reserve rate hike later this year — will undermine the job market. If they do, it could happen right as regular working Americans are finally about to experience higher take home pay.




tweakabelle -> RE: 1% own half the world's wealth (2/11/2015 10:45:21 PM)

Isn't it nice to feel optimistic about the economy after the last few years?

I hate being a party pooper but there are some significant storm clouds on the horizon. One of the major drivers of the US economic recovery has been the oil fracking industry which has enabled the US to become a net energy exporter. The US oil fracking industry is also the reason why your allies in Saudi Arabia have driven the price of oil down to a point below the cost of extraction price for the US oil fracking industry, and why Saudi Arabia is keeping the price down until the US oil fracking industry is bankrupted.

With friends like this who needs enemies?




DesideriScuri -> RE: 1% own half the world's wealth (2/12/2015 3:10:57 AM)

quote:

ORIGINAL: tweakabelle
Isn't it nice to feel optimistic about the economy after the last few years?
I hate being a party pooper but there are some significant storm clouds on the horizon. One of the major drivers of the US economic recovery has been the oil fracking industry which has enabled the US to become a net energy exporter. The US oil fracking industry is also the reason why your allies in Saudi Arabia have driven the price of oil down to a point below the cost of extraction price for the US oil fracking industry, and why Saudi Arabia is keeping the price down until the US oil fracking industry is bankrupted.
With friends like this who needs enemies?


Heard an investment guy talking to the local afternoon radio host on my way home from work. According to him, the low oil prices are helping the US economy more than it's hurting the US economy (and the Japanese economy, too, though I don't recall why theirs is benefiting). Since the US economy is majority driven by consumers, lower gas prices mean more money in the hands of those consumers. To the rest of the world, the lower oil prices aren't being realized quite as much because oil is denominated in US$, which have been strengthening against other currencies. So, more Euro's, AUS$'s, etc. are required to pay for the oil, for no other reason than the increasing relative strength of the US dollar against those currencies.

It was also mentioned that the number of producing oil wells has dropped quite a bit since June (when the price of oil started dropping), though I haven't been able to find an article to support or refute that.




tweakabelle -> RE: 1% own half the world's wealth (2/12/2015 6:03:44 AM)

If it's any help the petrol price has been dropping steadily here and is currently at levels not seen for many many years (I don't pay too much attention as I don't own a car). The media tells me that wholesale oil prices are at about half their usual levels.

And it is certainly true that the US $ has been appreciating against the Aussie $ ... in about 18 months the rate has gone from cAU$1.10=US$1 to cAU$0.77=US$1, which has had a rude effect on my travelling plans.




Zonie63 -> RE: 1% own half the world's wealth (2/12/2015 6:49:49 AM)


quote:

ORIGINAL: tweakabelle

Isn't it nice to feel optimistic about the economy after the last few years?

I hate being a party pooper but there are some significant storm clouds on the horizon. One of the major drivers of the US economic recovery has been the oil fracking industry which has enabled the US to become a net energy exporter. The US oil fracking industry is also the reason why your allies in Saudi Arabia have driven the price of oil down to a point below the cost of extraction price for the US oil fracking industry, and why Saudi Arabia is keeping the price down until the US oil fracking industry is bankrupted.

With friends like this who needs enemies?


Driving down the price of oil also seems to have affected Russia's economy, in addition to the sanctions.

On the other hand, lower gas prices also benefit a number of other industries, as well as consumers. Still, there's the long-term concern as to how long this "oil boom" will actually last, as well as the environmental impact of fracking and lower prices encouraging increased use of fossil fuels. Perhaps a better long-term solution might be to increase research and development into alternative forms of energy, but there's clearly a lot of well-financed political opposition to that sort of thing.




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