The Tory exchequer has roughly four times as much money at its disposal as it did six decades ago. Yet, Britain’s richest 1% has as much wealth as the poorest 57% combined. When Theresa May says capitalism is the “greatest agent of collective human progress ever created”, what she really means is that it is the best model through which her class is able to financially enrich themselves by manipulating the institutions of society.
Central banks are meddling behind the scenes, artificially reflating companies that have not ever made a penny of profit, floating for eye-watering sums. When everybody is thinking the same thing, it is likely that no one is really thinking at all. Co-founder and presenter, Ross Ashcroft interviews investor, hedge fund manager and author of Planet Ponzi, Mitch Feierstein.
They say if you like laws and sausages, you should never watch either one being made. Banking belongs on that list also, but it seems most people would rather not know. Economic conditions are poor. We are not in a recovery; we are in a depression. Central Banks don’t understand the problem because central banks are the problem.
The last two issues of Economic Perspectives drew on observations made while I was on a month’s visit to South Africa, during which time the Finance Minister, Pravin Gordhan, presented his annual Budget to Parliament in Cape Town. He was robustly resistant to calls from a variety of special interest groups for more welfare spending than his budget could extend to, and I could see that his unwavering steadfastness amid all that clamour was putting his personal position at risk.
Responses to previous instalments of my “Economic Perspectives” include queries on why unbridled credit expansion by the main central banks in USA, UK, EU and Japan does not appear to be reflected in a commensurate rise in the general price level, affecting all sectors of the economy.