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Tuesday, August 4, 2009

Gone Mad

Posted by on Tue, Aug 4, 2009 at 8:37 AM

From USA Today:

Cash-for-clunkers — officially the Car Allowance Rebate System (CARS) — helped more than Hersrud. It's credited with turning around business at dealerships across the country and resulted in Ford Motor's first monthly sales increase since November 2007.

"Without cash-for-clunkers, we would not have had a year-over-year increase" in July sales, Ford Vice President Ken Czubay said Sunday. Automakers report July sales Monday.

CARS provides government discounts of $3,500 or $4,500 to people who trade in older vehicles with poor fuel economy for new ones that do better. The amount depends on how much better the new one is.

It's "the stimulus program that has worked better than any other stimulus program," Transportation Secretary Ray LaHood said on CBS' The Early Show Saturday Edition.

American bankers are socialists (in the vulgar sense of that word) not only because they are sustained by public funds but also because they are not circulating funds. And the worse crime against capitalism (in the vulgar sense of that word) is the latter: blocking the flow of money. "[T]he miser," wrote Marx, "is merely a capitalist gone mad, the capitalist is a rational miser."

The never-ending augmentation of exchange-value, which the miser strives after, by seeking to save his money from circulation, is attained by the more acute capitalist, by constantly throwing it afresh into circulation.


The capitalist must reinvest (circulate) money; not to do so is to do something that is not in its nature (or essence) capitalism. The minute the capitalists sits on money is the moment he/she is no longer a capitalist. And this is precisely what the bankers/the rich are doing at this moment—sitting on money. For this reason, we can see why the last (real) capitalists in this recession are those without capital—the poor. They will (and often have to) move money, throw it right back into the system, and keep the economy above the sleepy pull of death.

 

Comments (7) RSS

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Max Solomon 1
when the economy deserves to die, what does that make the poor who sustain it?
Posted by Max Solomon on August 4, 2009 at 8:54 AM
Andrew Cole 2
Survivalists.
Posted by Andrew Cole on August 4, 2009 at 9:33 AM
seandr 3
This may be the first sensible thing you've written on economics, Charles. The whole problem with "trickle down" economics is that the money doesn't trickle down, it just sits there in investment accounts.

However, it is mostly the upper middle class (aka the "bourgeois"), not the poor or the idle rich, who move money around and drive the economy.
Posted by seandr on August 4, 2009 at 9:36 AM
4
Corporate welfare is not socialism. Please make a note of it.
Posted by Trevor on August 4, 2009 at 10:28 AM
5
You are so smart Charles. Maybe you should run a bank.
Posted by cbt on August 4, 2009 at 10:56 AM
Will in Seattle 6
Charles, stop being bitter because you don't have a junker to turn in and get a new Hybrid Prius 3.

I'm in the same boat, my car is a 96 but it gets 36 mpg.

We can't all profit.
Posted by Will in Seattle http://www.facebook.com/WillSeattle on August 4, 2009 at 12:00 PM
NumberOne 7
@6 A '96 with 36 mpg? Let me guess- a Subaru?
Posted by NumberOne on August 4, 2009 at 3:07 PM

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