"The Soviet Union" V. "The Marketplace": False Choices

[marmar]

from the Working Life blog:




"The Soviet Union" V. "The Marketplace": False Choices

by Jonathan Tasini
Friday 04 of February, 2011


Yes, to get back to some sane, healthy economic strategy we have to confront the Wall Street/Robert Rubins of the world, the corruption of the electoral system and a whole set of adversaries. But, I would put at the top of the list the false framing of the choices before us as a nation, and as a planet. And a thank you, not intended, to Wal-Mart for providing the opportunity to make this point.

Yesterday, in New York City, the City Council held a hearing about whether the door should be opened to Wal-Mart to open up a store here. There is great opposition to caving into Wal-Mart from labor, community organizations and a whole slew of elected leaders, and a rally preceded the hearing.

Our billionaire mayor had this to say about the hearing and the rally:

"You should let the marketplace decide," he said. "Anybody who has tried to manage the marketplace, it has not turned out very well. I think the Soviet Union is as good an example as you’d ever need of that."

"The marketplace" versus "The Soviet Union". That is the choice the mayor believes is before the city. Now, it would be easy to dismiss this foolishness as the musings of a billionaire who has been viewed as regularly out of touch with the concerns of regular people here (and, while I have been a consistent critic of the mayor on economic issues, it's also important to not create a black-and-white caricature of one man--he's been great on health issues, anti-gun legislation and he took a very courageous stand, while other politicians ran for cover, in support of the building of the mosque/cultural center in downtown Manhattan).

But, I think it's worth pausing to understand that his "marketplace" versus "the Soviet Union" set of choices is, in some way, the biggest challenge we face: how do we change the conversation from two opposite poles of a false set of choices? Meaning, the choices put forth by the mayor: giving our future over to "the marketplace" or, alternatively, embracing a future with a Soviet Union-style lifestyle. ............(more)

The complete piece is at: http://www.workinglife.org/blogs/view_post.php?content_id=15097

[RandomThoughts]

1. Tell them the marketplace does not want the marketplace.

Any time 'the marketplace' is unrestrained, it creates monopoly and corruption, that is more profitable, its main goal.

So the market place can not exist without some controls to force it to work within an actual system. That regulation is breaking up consolidations to create compitition.


And direction of production should be decided by demand from consumers, but that requires an educated population, and the market wont want that, because then people wont buy crap they don't need.


The whole market place system should be for production and distribution, and investment should be for the good of society, not only for profit, that requires some of it to be done by an elected representative body like a governance spending tax money in a transparent method with competition. And if government gets corrupt, there has to be enforcement, same with private sector.


The problem with soviet style is if you try to regulate, they find loop holes, because they still want that profit as motive, so the real solution is have executives that think that companies to big are bad, not expanding to become bigger and bigger. And make sure that executives care more about their employees then profit, by having that as the primary motivator of promotion. If a company makes less money, but has better working conditions that really should mean more then a bonus. How is that done? Employee owned companies.

There are lots of corrections to the economic problems, they all start with breaking up the consolidations, and that is actually a global issue, or by tariffs also. And free trade does not really help society, since it adds much to transportation cost, much better to have free cultural trade, and local production as much as possible. So give people plenty of vacations to travel to other countries, yet try to have production independence for each sector within each country as much as possible.