The delusions of capitalism describes the biggest crisis of our time which is also an opportunity of our generation to make a change in our global community.
6. The Age of Depressed Labor Under capitalism ‘machines’ employ labor, humans become means for increasing productivity Human capabilities are Displaced .
15. Banks make even more profits Insuring and selling ‘toxic’ mortgages
16. The Banking crisis Banks have been the main user of MBS (40% of cumulative total). Strong competition in a deregulated market has made Subprime based CDS attractive to boost Banks profit rates. The use of securities baskets by banks has decreased transparency.
17. The development of Mortgage Based Securities MBS are a kind of insurance system for the Sellers and they are attractive bonds for buyers But MBS have spread the risk throughout the financial system and everybody can become an insurance company if it buys a Mortgage Security
19. Mortgage Based Securities: an industry which grew too fast... MBS have developed extremely fast in 8 years. Risk has been spread-out among Banks and Hedge-Funds
26. A Social Innovation Approach A new Social Innovation compromise would change institutions so that wages (including the social wage) are reconnected to productivity growth. Profits are distributed among employees, and they make production and location decisions. Limits on CEO compensation, revival of labor, time allocated to innovation and management decisions by employees. Greater social spending on health, education, environment and infrastructure.
35. The Delusions of Capitalism Dr. Boaz Bernstein Managing Director Career Resumes Cairns, Australia June 2011 www.Careerstampresumes.com.au Email: bernsteinboaz@gmail.com http://www.facebook.com/boaz.bernstein
Notas do Editor
[9:12:08 PM] Lindundi: There’s a famous 19th century caricature of capitalism called “The Pyramid of Capitalism” that depicts the economic system of Adam Smith as tiered economic cake. The workers on the bottom hold up the pyramid proclaiming “We feed all.” The well-dressed and well feted rich form the next layer proclaiming “We eat for you.” Then there are the soldiers who “shoot at you” and the priests and ministers who “fool you.” At the top are the lords and politicians who “rule you.”