The UK and Europe!

In this particular period of capitalism, global economic forces have produced huge inequalities, environmental damage, and political instability. The interests of global financial stability, and equity require deep reform of the world’s financial structures and trading systems. Europe was thought to have a vital role to play, in helping to create new models of governments that must be both global and democratic. It has simply failed with most countries in deep crisis. The current situation facing the UK Government reveals the contradictions within the system, Europe and the Coalition. The bleak choice was to walk away, as we appear to have achieved and face isolation, or proceed along the Liberal Democrat path to bureaucracy, and further austerity measures. Not much of a choice! The path is open to a new radical system under genuine democratic control. Wishing everyone seasonal greetings.

TUC Birmingham Pensions Justice Day 30 November 2011.

A wonderful display of solidarity ensued over the region and indeed the country. Tens of thousands took to the streets in Birmingham, as many also attended picket lines and the many local rallies. People of all ages joined this mass display of strength in support of pensions justice. Almost every public sector union took part in this co-ordinated action called by the TUC. Pickets were out in force at most larger council and civil service buildings, with earlier pickets at refuse collection depots and other locations.They enjoyed huge public support.

Time for real change!

At long last there now does seem to be some debate about our society and the need for change. There was recently even a mention and a debate about real societal change, and fundamental changes to the banking system on the Jeremy Vine radio show. And the 'occupation movement' does seem to be having a positive impact. We are also seeing widespread opposition to our bankrupt and failed system.

As Marx once explained, a developed credit system both gives greater elasticity to capitalist production and accentuates capital’s tendencies to overproduction and overspeculation.

The crash of 2008 was big enough that governments had to nationalise or bail out major banks, “socialism for the rich”, as it was termed and world trade shrank sharply in 2009.

A crisis, as Marx explained, brings “a tremendous rush for means of payment, when credit suddenly ceases and only cash payments have validity”. Except that in today’s capitalism there is no real “hard” cash. Every form of “cash”, US dollars, British pounds, Euros, are only IOU's issued by one government or another.

The lurch of capitalist policy away from neo-liberalism which many predicted in 2008, has not happened and now surely will not happen.
Capital is still sunken on credit. The global amount outstanding on foreign exchange derivatives rose from $14 trillion in 1999 to $63 trillion in mid-2008, then fell back somewhat, but has risen again to $69 trillion plus in mid-2010.

Governments have more extensive credit than banks. They were able to intervene to save the banks in 2008. But that intervention strained their credit, and in a time when global credit markets were becoming tighter. At the same time governments’ incomes shrank because of the downturn in trade and production following the financial crash and political blunders.

Most governments now depend on getting credit in global financial markets, not on siphoning savings from their own citizens as they used to. For eurozone governments the discipline is especially tight, since they cannot print their own money, and the European Central Bank was set up with rules that limit its assistance to governments.

Some eurozone governments were bound to run into credit difficulties. The first were Greece, Ireland, and Portugal. And most countries have had bail outs and are in deep trouble or indeed bankrupt.

The present and ongoing crisis could well lead to the collapse of the eurozone, and a retreat by European governments back to national currencies. The impact of that on European capital, which depends day to day on the low costs of doing business across Europe, will be huge. They will find some way to patch things up for a while. They are trying to re-write the rules as I type. The previous so-called “bail-outs” patched things up for a while, only to make them worse in the long term. We need a long term plan, for the future of us all.


We should however, not underestimate the power and resourcefulness of a system based upon capital. The cuts programmes in Ireland and Spain are brutal, but they are having an effect, so far, in capitalist terms. Since the EU’s leaders know that the crisis is so dangerous, it is possible they will do something more radical than expected. But radical enough to restabilise government is debatable and they are running out of options and getting very desperate. Unfortunately, wars have historically been a 'solution' and a consequence. Real progressive changes are however now possible.

The project of the European single currency was botched from the outset, in 1999-2000, hurried through on the wave of capitalist triumphalism typical of the time, and with questions about how it would deal with tricky imbalances glossed over. Credit and fictitious capital became the norm, but we were all living on borrowed time.The Eurozone crisis is only one part of the world wide crisis.

So back to today, Greece’s debt should be cancelled, and a new beginning made. Banks should be nationalised under democratic control and a Social- Worldwide Bank should be created. Social equality and workers’ rights should be levelled up across the continent. And new plans should be formulated, which draw upon the lessons of these disasters and create a fair and less greedy society. Again, I call for a real debate about a real change of society.

And on a completely different note the Birmingham March and Rally went very well, despite the pouring rain. Thanks for the considerable support.

Birmingham March and Rally- 27 October 2011- 12- noon!

Well just one more. Bad news about the NHS and the Lords vote. But we must continue the struggle and call for all the groups and organisations to unite in opposition to the new proposals.

And for information a number of Rallies and demonstrations will be taking place over the coming months. This is just one of them called by the WMPC.

The Regional Council are organising their own Demonstration and March in Birmingham. The start will be at 11.30 am from-T&G House, Broad street, Birmingham on Thursday the 27th October 2011- to arrive in Chamberlain Square at 12.00 noon to 1.30 pm, in the amphitheatre in front of the City Library. The meeting will be addressed by speakers from the WMPC, the GMB Trade Union and the Wholesale Market Federation. The Fair Pensions for all and rights in retirement campaign week, is being called by the NPC. Join us for the March or the rally at 12 noon. E- mail or Telephone the Secretary for further details. Placards, banners and speakers. Please note the change to Chamberlain Square 12 noon- 27 October 2011. See you all there! Visit the site!

http://www.westmidlandspensioners.org.uk

Our Health Service!

Well that really was the very last one on this topic. Over the months we have seen politicians imprisoned, further wars, a continuing global economic crisis, high rates of unemployment and that is just for starters. But perhaps one very important matter I have neglected is our precious NHS which now looks in danger. For example:

The Secretary of State’s legal duty to provide a health service will be scrapped. On top of that, a new “hands-off clause” removes the government’s powers to oversee local consortia and give some guarantee of the level of service wherever we live. We can expect increases in postcode lotteries together with less ways to hold the government to account if the service deteriorates.

The NHS will almost certainly be subject to UK and EU competition law. Private health companies will be able to take new NHS commissioning groups to court if they don’t win contracts. Scarce public money could be tied up in legal wrangles instead of hospital beds. Meanwhile, the legislation lifts the cap on NHS hospitals filling beds with private patients. We must avoid a US style system.

And has we now know this bill has now been passed, with only a handful of Lib Dems voting against. So it is now imperative to lobby the members of the House of Lords and join in the demonstrations planned for October.
Enjoy your weekend and I hope you join me on my new Blog planned for October. Ivor Timson MSc (Econ)

Danger Zone!

World markets have entered a “new danger zone”, according to the president of the World Bank. Robert Zoellick, investors had lost confidence in the economic leadership of several key countries.

“What’s happened in the past weeks is there is a convergence of some events in Europe and the United States that has led many market participants to lose confidence in economic leadership of some of the key countries,” Mr Zoellick said.

“I think those events combined with some of the other fragilities in the nature of recovery have pushed us into a new danger zone. I don’t say those words lightly.”

The eurozone faced more serious problems, he said, with a lot of member states “moving from drama to trauma”. There are other major signs of a mounting housing crisis. Further words of gloom and despondency, which unfortunately have been the common thread throughout this blog. I have offered both a prognosis and a diagnosis to the current economic crisis and have tried to evaluate the current state of economics. Urgent action is clearly now required within this societal system; but leadership, the required knowledge, or indeed the desire to radically change is sadly lacking. We continue to worship a unfettered market even thought it has abysmally failed and can only continue to fail.

For these reasons, I am concluding this blog and it’s posts to commence a fresh one offering a new economic zone. Hope you have enjoyed at least some of the posts. Thanks for the e-mails. Ivor Timson MSc (Econ)

Banks and Bombs!

British banks, including the two that were bailed out by taxpayers, are investing hundreds of millions of pounds in companies that manufacture cluster bombs- despite a global ban outlawing the production and trade of these weapons.

The Royal Bank of Scotland, Barclays, Lloyds TSB and HSBC have all funded makers of cluster bombs, even as international opinion opposes such a weapons system that routinely maims or kills civilians and children.

Oliver Sprague, an arms expert at Amnesty International, said: "High street banks like Royal Bank of Scotland are making a mockery of UK law by shamefully investing in companies that make weapons the UK Government and 108 other countries have clearly and quite rightly banned."

Oh dear, it really would be good to post something positive about our society and the banks. So I am taking a month off, to search for some more cheerful news. Enjoy the rest of the summer.

The real 'yobs'.

The real 'yobs' are the Speculators and the Bankers, aided and abetted by the Prime Minister and the Presidents of most countries. They destroyed so many small business's, jobs, homes and people living peacefully in their own communities, that it bears no comparison to the recent damage, which I do not condone.

But with the Police, the Media and the Politicians now seemingly corrupt; what leadership skills do they display, or indeed can they display?

If anyone's home should be taken away, it is the ones that most of us now subsidise via low interest rates- those that live in mortgaged properties. However, I believe no one should loose their home, as it will create future problems and no one should be homeless. But why pick on Council homes only? Let's stop picking on the very poor, as our 'leaders' are fuelling huge discontent for the future.

We can solve this together without the assistance of the 'hang and flog them' brigade supported by the racist EDL, who support no one, but their own selfish and bigoted views.

Danger Zone!

World markets have entered a “new danger zone”, the president of the World Bank has recently stated.

Robert Zoellick said investors had lost confidence in the economic leadership of several key countries. Developing countries were now the source of growth and opportunity, Mr Zoellick said.

In the past two weeks, global stock markets have suffered massive falls on fears about the state of leading economies. But yet again Mr Zoellick offers no solutions.

On the US, he said markets were not afraid that the world’s biggest economy faced imminent problems, but that they had got used to the US “playing a key role in the economic system and leadership”. But surely this cannot continue!

The eurozone faced more serious problems, he said, with a lot of member states “moving from drama to trauma”.

Well they are mainly the words of the President of the World Bank and perhaps put all my Blogs into context. A real and alternative system must surely be found.

Cost of Oil!

Some interesting and live information about the cost of fuel around the world, which affects most costs, including food to us all. The cost of fuel does not reflect the substantial and recent reductions in the cost of oil, again blamed on the speculators.

Worldwide and cash reserves!

Prior to going away for a break, I will try to answer three e-mail questions. Yes, apparently Apple does have a larger cash reserve than the USA according to an article by Andrew Wooden. According to US Treasury figures released this week, the United States has an operating cash balance of $73.768 billion. No small amount, but that’s $3 billion less than the $76.2 Apple has in reserves. 

The worldwide crisis is indeed such and is clearly yet again affecting European countries and others outside the USA. The main thrust of my Blogs to date has been to try to explain that the system is bankrupt worldwide, and has been so for many years. Declining growth, over these years has been patched up and lied about to protect those that own the wealth; and to continue to fuel the 'feel good factor' for materialism; achieved mainly by borrowing and speculation. It was always been doomed to failure and we should grasp this opportunity to debate ways of forming a new society which is based on the needs of us all, and not just a minority of profiteers and the wealthy.


It is no consolation to me to have been proven right over the years, because we have seen little change in society or it's values.

Finally, my understanding is that a trillion is a a million million. I think this helps and puts my last Blog into perspective. So I have answered my e-mails. Enjoy your blogging and breaks.

USA Default and the Tea Party!

The US House of Representatives has passed by 269 votes to 161 in a desperate deal to avoid a debt default.

President Barack Obama, who lectured Europe on why spending and investment is the best cure for a recession, was yesterday contemplating the consequences of an emergency debt-ceiling deal that will take more than $2 trillion out of a bankrupt US economy over the next 10 years. It raises the debt limit by up to $2.4tn  from $14.3tn, and makes savings of at least $2.1tn in 10 years. 

The bill is expected to be approved by the Senate and signed into law by President Barack Obama .

These huge sacrifices, to satisfy demands largely driven by the ultra right Tea Party segment of the Republicans, was approved in the House of Representatives. It will produce deep spending cuts.To the disgust of many in his own party, Mr Obama seemingly caved in to these demands. 


It surely reveals to the rest of the world, just how bankrupt the USA is, as the 'leader of the World Wide' economic system. The implications for the rest of us are enormous.

Collapsed and failing markets!

Apparently a top investment manager has told the BBC that the Bank of England has "failed" in its job of keeping inflation at its target 2%.'' He believes 3%, 4% or even 5% will persist as we import inflation from Asia, where wages are rising. Bill McQuaker of Henderson Global Investors said the Bank's record of forecasting inflation has been "poor".

Mr McQuaker seems to accept that with the worldwide economy facing further recession the Bank has had to balance the danger of raising interest rates and pushing it into further difficulties.

Many older people are clearly suffering from severe hikes in gas and electricity prices and food prices and hardly any interest on there savings. Does he care about them?

So a system with it's collapsed and failing markets, it corruptness, not to mention the media, still totters on. At  least we can now be more positive, there are real alternatives to this system, it's wars, the cuts, manipulation and it's corrupt nature. The main question now must surely be- is the current system fit for purpose?

Let the debate start now!

Unity of purpose and having fun!

The Conservatives supported by the 'Tea Party' and the pretentious Liberal Democrats are of course going to attack us all -the young, single persons, the older person and the disabled to name just a few. Just listen to the 'ideolical'  Gove  today, who was very prepared to let roofs drop on children and the always hopeless 'Economist' Vince Cable. They of course want to weaken the Trade Union Movement. Surely we need a new party offering people real choices. We should all surely support the strikes and demos on the 30th June 2011. The current system is completely bankrupt and one of the factors keeping it in slight control is the very- very low interest rates. But Labour under their new leadership are offering no solutions.

I attended the 'Parliament' at Blackpool and the most inspirational speech according to many delegates, came from John Lister and I personally told him so. Now is surely the time to drop the personalty battles and join together in genuine unity.The 30th is important to us all and we must plan for future and urgent campaigns. It is not too late! We can win if we are genuinely united. And the 30th should be the beginning of a prolonged campaign.

This Thursday was reserved for a huge rally at Birmingham on 30th June 2011. I had the privilege to second a motion at our Regional Council to adjourn our meeting at 11-30 am to join the strikers and protesters. Our entire meeting agreed to march to join the rally.

And to conclude, believe it or not most organisations can and do make time for fun, with trips, meals, socials and days out.

Ivor Timson MSc (Econ)

Social responsibility and our bonkers system!

I recently came across the following advert on how to become a private financial adviser. In other words you can be part of the process that as been destroying our society and continues to do so. Have we not learnt that such traders, together with bankers and speculators are destroying our lifestyle and communities. And the Government still seems intent on privatising all our services, knowing full well that these companies are primarily only interested in profit. The recent issues around care homes surely illustrates this sheer madness. There is no logic to these proposals, apart from of course profit before people and social responsibility.

Hope no one applies, our friends from the other world again think we are bonkers and the TV presenters still indoctrinate us- that there has to be some cuts and some reforms. The market has completely failed!

The article is as follows:

'Have you ever considered a career as a private financial trader?

Did you know many private financial traders take home £100k to £2m per annum, with some traders starting with less than £10k in their trading accounts?

Here are the 4 key reasons why you should do it too:

1. You only need a laptop, internet connection, some relatively inexpensive software and professional training to get started
2. You can trade from anywhere in the world at any time that suits you
3. You can limit the risk on any trade to less than 1% of your account balance and leverage the upside for fantastic profit potential
4. Under current tax laws in the UK, all profits are 100% exempt of tax, and there are no commissions or fees
Knowledge to Action are Europe's largest trader coaching company (and Sunday Times FastTrack 100 Winner) and is running some completely free workshops to show you how you can get started, regardless as to whether you choose to trade full-time or part-time as a positive addition to your income.

These events are entirely free with no obligation and will show you how to ....

• Generate money in rising OR falling stock markets
• Identify exactly which high profit breakout stocks to trade now
• Master an easy way to manage your trades for maximum profit potential
• Understand the 'Secret' Risk Management Formula keeping risk to only 1%
• Automate powerful trading strategies which require only minutes per day
• Know precisely where, when and how to enter and also how to exit trades for maximum income.'

Initially I thought this advert was a joke, but I know no better. Feel free to draw your own conclusions. The continuing of these processes poses a serious threat to the very foundations of our society. There are alternatives and we must make our case for change. The worldwide system of capitalism is bankrupt and in disarray, just have a look at the trillions of USA debt and they still need more. Surely now is the time to have meaningful debate about real alternatives for our long term future.

Cuts and the hardest hit!

The government's prolonged attack on benefits includes the requirement for people receiving incapacity benefit to endure regular assessments, overseen by privateer Atos Healthcare supposedly to determine whether they are "fit for work."

Under the Work Capability Assessment checks, hundreds of thousands of disabled people could lose their benefit based on a box-ticking exercise that asks questions such as "Can you put something in the top pocket of your jacket?"

For many people, incapacity benefit is their sole source of income for food and housing.


The Hardest Hit campaign, which brings disabled people together to resist attacks on their living conditions, is planning a mass demonstration outside Parliament today- May 11th. It seems to be making an impact.

With real inflation spiralling out of control, the threat of new fuel increases and reductions in main core services, many of us are now really feeling the pinch. Next week sees another Demo/ lobby against the Pensions Bill. Since the proposals to speed up equalisation of the State Pension Age, Age UK has been contacted by angry, anxious women who feel the proposal is unfair and will undermine their plans for retirement and, in many cases, cause significant hardship. A lobby of MPs is to take place on Wednesday 18 May 2011 between 1 and 7 pm.

Other demonstrations are planned and now surely is the time for unity involving us all- including both the young, the older person and the disabled.

.

Justice and the economy!

Well eventually some good news and some justice about Ian Tomlinson, after Osama Bin Laden and the wedding diverting us away from the cuts and our bankrupt system. Killing Osama bin Laden was a mistake. He should have been given a fair trial. Many war criminals responsible for the current and past wars remain free and the costs in lives and the economy of these wars is massive.

All this is is very divisive and is taking our thoughts and actions away from the acute financial crisis facing us all and the dramatic consequences of the planned cuts.

The BBC presenters, the truth and inflation.

The biggest joke of the week is that the inflation rate has fallen. Just ask real people shopping. A complete nonsense in the same manner as we are misinformed about house prices and the effects of the price of oil.

On another matter, some asked me who are the real Squekies. The main culprits in my view, are Jeremy Vine who worked at Coventry UK and Andrew Marr who both promote their own friends, accept no liability and persue their own selfish goals. And we all pay the BBC lincence. We have little choice over there appointments. How democratic is that? These people, I think ex-liberals, care not that our system of unfettered global capitalism destroys lives in Japan; even as I type, by sheer market speculation. These are not personal factors, but simply reflect my view on an Economic and Political perspective and the way they promote self preservation, which invariably destroys the truth.

And we still persue wars, when both the UK and the USA are literally bankrupt and rely on fictitious capital.

Enjoy your forthcoming break and take care. I am away for a while and I really will try to be more positive next time. Thanks for the e-mails and response.

Ivor Timson MSc.(Econ)

At it again!

It seems the media, do not have a clue how to spin their way out of the current allegations made against the News of the World and the entire 'empire' built up by Mr Murdoch and his 'loyalist army'. Only yesterday, their main line of defense seemed to be- other media outlets may also be involved. Just imagine being brought before a Court of Law and arguing- there may well be others at it. We would all surely expect to be rebuffed and that would be just for starters.

But these are serious criminal allegations, and although the people being interviewed are clearly intellectually challenged, we should demand a full and transparent enquiry into these matters and they should be dealt with as possible criminal activity.

And finally in Libya, does it not seem odd that apparently we are protecting civilians whilst bombing them at the same time. And how can we afford it? Surely, it can't really all be about oil and economics yet again.

Away for a while, but thanks for the e-mails and response. Ivor Timson

Inflation rate, food and manipulated statistics.

Inflation,

They say the current level of inflation is yes, well above the government and Bank of England’s target of 2.0%. In fact inflation levels have been higher than target for the past two years. Retail Price Index (RPI) inflation (which differs from CPI in that it includes mortgage interest payments) rose from 5.1% in January to 5.5% this month: This is the highest rate for many years and these are manipulated figures.

We all know these figures are way off. Just try shopping for food. It must be up by twenty per cent in the last few months. Whilst people paying rent to a mortgage company or a bank may well have it temporarily easy, it is at the expense of the majority. Watch the housing market in the next few months. Working people have seen their standard of living fall dramatically. Overall, our standard of living has dipped substantially and the people to have been hit the most are the poorest in our 'silly' society.

And quantitative easing, printing money, fiddling the figures and allowing the tax dodgers to continue, really will not suffice. Even a royal wedding will not help. Warmongering and rubbish seems to the order of the day for this awful Government.

I do wish I could be more positive. Ivor Timson

Demonstration and a real alternative!

What a fantastic turnout and huge demonstration today at London and the anti-cuts demonstration. Lot's to learn and some still argue for some cuts. But the majority seem to want a genuine alternative, with demands such as a Robin Hood tax on the banks, the closure of the tax loopholes, the end of tax avoidance by the rich and policies for growth and the environment. Lot's want to cut our wars, costing millions per day. Make no mistake this government is planning a massive assault on the welfare state and the rights it gives to us all. It is nothing less than a declaration of war against the poor by Cameron and his fellow rich friends. The bankers get their bonuses, and big business sees its corporation tax cut, while we see our incomes cut and services decimated.

And we are told, time and time again, this is a crisis of public spending, and that cuts are the only solution. But this crisis was not caused by the public sector, those on low incomes, single parents, the elderly or the disabled. Billions have been handed over to bank shareholders to save them from their own greed. Meanwhile, tax revenues fall because no government has the courage or desire to make the rich pay. The cuts being proposed are for ideological reasons to fulfill the Government's 'tea party'- right wing agenda.

Just imagine what can be achieved in future demonstrations, if the cut's begin to bite even harder. They must be opposed. People are very angry and they are discussing real changes and a real alternative even now. Watch out the Government and the establishment! Ivor Timson

Austerity measures and resistance!

How can making millions of people unemployed make any economic sense? How can the continuing wars and loss of life make sense? Does paying bankers and the banking system millions make any sense? Is there any sense left? The creeping 'Tea Party' politics of massive cuts to our services and the fundamental change to our political and economic landscape, will lead to a collapsed economy. A world in which the poor only exist and the rich prosper from further exploitation of our environment and the few remaining workers. This is no longer alarmist economics.

We must develop a new political programme, which expresses a profound moral and economic case against punishing the people who live in poverty in favour of the speculators, the bankers and the rich. It should be clear by now that that tax increases, cuts in welfare are not halting our sluggish growth. Rising inflation, a spending slowdown and a reduction in our standard of living is already impacting on many families and their own economies. I have already set out a sound economic alternative and a case against the current policies, but through the forthcoming struggles it can be developed.

Perhaps we should start by taking a lead from the student protests and campaign for a massive surge of resistance, if we are to avoid these austerity outrages. Ivor Timson.

The Budget and our Economy.

Today’s budget in the UK gives us time to reflect on our economy. As we look for minimalistic solutions, surely it is time for a complete rethink about the type of society we want and are in desperate need. We need to target banks and in particular the high value speculative transactions. We could engage with the tax dodgers and these two policies alone would save billions, some of which we could spend on environmental projects. We clearly need to move away from our dependency on oil. Our present system also leads to conflict and wars which are hugely expensive. The outline in my main blog if adopted, would mean we would not have to resort to huge cuts now or later. It is difficult to comprehend why we still seem to listen to the same political and economic experts who have simply got it wrong time after time. And let us campaign for a fairer and more objective team of presenters in the Media.

Some of these objectives can start through community groups determining their own outcomes. We surely need a new political programme and a new progressive party. Let’s end these toxic policies and look forward to a new and real big society.

Ivor Timson MSc( Econ.)

Warmongers of the West! Tea Party politics.

Would it not be good for us all in the UK and other countries if we had real democracy. At present we have three 'tea party'- right wing main choices. They all support their own values and society as it stands. They all support war. What a choice!

Broke but yet another war!

Considering the UK is supposed to have a huge deficit, we again seem to be willing to spend millions on yet another war. And are we now going to attack all the other oppressive regimes in the area, such as Saudi Arabia? And despite what we are told, this war is likely to turn into yet another ill thought through and protracted military intervention.

Many are against oppression throughout the world and that includes myself, but have we learnt nothing from our current wars. Perhaps we will now knight the war criminal- Tony Blair, as we have already made him a 'peace envoy'. Another bonkers decision and where does all this leave the economy. Strange we can find the money, when we are told we are broke. Ivor Timson

Tuesday,15 March 2011 Economists, Society, THE BBC- Media Squekies, and their toxic propaganda!.

In my last blog, I inadvertently said the average increase to a average mortgage would be one hundred pounds per calender month. I should have said per week, if interest rates increase to the amount now believed to be the acceptable rate and without quantitative easing or printing money-fictitious capital.

The proposed cuts are clearly for idealogical reasons, and should be campaigned against. We should develop a new programme and if we are to change society a new progressive party. These cuts if implemented will devastate our communities. Ivor Timson

Economists, Society, the BBC- Media, Society and their toxic propaganda.

It really is so difficult to comprehend so much toxic- stupidity in Economists, Politicians and the squieky TV and Radio presenters. Most have been utterly discredited over the past years. Economists cannot even agree whether their subject is a science or a liberal vocation. Based on this systems methods, they would need a crystal ball to predict any economic outcome. So it ought to be understandable why they got it so wrong? Were was all the predictions of the current recession. And why in view of the fact that the unfettered market has utterly failed, do we still finance it and even encourage it’s destructive forces on our services such as the NHS.
Any person visiting from a hypothetical- another world, would think we had all gone completely bonkers. Would they be correct? And whilst we might believe the squiekies- the so called TV and Radio ‘political’ presenters, we forget they are representing their own interests, the status quo and are often in total denial. The ones on BBC radio are often the very worst and have the most to answer for. Continuously telling people that at least some cuts must be accepted, is one example of their indoctrination processes. The bankers of course, also fall into this same category and seem to be very self indulgent. The speculators and the stock market must surely be reformed and controlled on a democratic and international basis. And creating fictitious capital simply will not do. So why exactly have we got into such a severe crisis situation, with a imminent slump in both the overall economy and the housing market around the corner?

Left economists have often called for nationalisation of the banking sector. And now the Bank of England’s deputy governor conceded that taxpayers should not have had to pay for the 2008 collapse. Paul Tucker told the BBC that the taxpayer bailout represented a failure “at the heart of capitalism,” suggesting that investors and shareholders should pick up the bill in any future banking collapse. “If we have a system where banks take the upside but the taxpayer takes the downside, something has gone wrong with capitalism and we need to repair this,” he said. “We want the upside to go to the shareholders and to some extent the managers, but the downside must go with that too. This is going to require big changes internationally.”

Mr Tucker also suggested that banks needed to boost capital reserves in order to stem the flow of a boom and make the finance sector “more resilient” during a bust. His comments were an indication of divisions at the heart of capitalist economic thinking about the state’s role in regulating the finance sector, following the outcry over excessive banking bonuses. Professor of Industrial Relations Roger Seifert said banks “should be nationalised but the state would have to play an increased role in the long term to “regulate banking behaviour.” “The short-term position would be to nationalise failing banks permanently then use them to encourage behavioural change in other banks through more progressive employment and lending policies, linked with community and government projects,” he said. And now Mervyn King-, Governor of the Bank of England has similar reservations. He is of course, caught up in the contradiction of the century regarding interest rates. Whatever decision will lead to slump. The current policy is bringing gains of over one hundred pounds per week to the average mortgage payer, but savers are loosing out. The impact of highering them will be another disaster for the economy as will the status quo. Yet another insolvable contradiction.

Left Economics Advisory Panel co-ordinator Andrew Fisher welcomed Mr Tucker’s acknowledgement that “something had gone wrong with capitalism. “But he added: “To let one of the big banks go bust would see millions lose their savings and tens of thousands lose their jobs. The Labour government was right to step in and nationalise. However, with that nationalisation should have come democratic public control with fair rates for savers and borrower alike and investment targeted at creating sustainable jobs. While Mr Tucker recognises the inherent flaws in the finance capital system, his free-market solution is the exact opposite of what any Left economists have called for. After the Bank of England’s deputy governor conceded that taxpayers should not have had to pay for the 2008 collapse. Paul Tucker told the BBC that the taxpayer bailout represented a failure “at the heart of capitalism,” suggesting that investors and shareholders should pick up the bill in any future banking collapse. Mr Tucker also suggested that banks needed to boost capital reserves in order to stem the flow of a boom and make the finance sector “more resilient” during a bust. His comments were an indication of divisions at the heart of capitalist economic thinking about the state’s role in regulating the finance sector, following the outcry over excessive banking bonuses.

Professor of Industrial Relations Roger Seifert also said banks should be nationalised but the state would have to play an increased role in the long term to “regulate banking behaviour.”
“The short-term position would be to nationalise failing banks permanently then use them to encourage behavioural change in other banks through more progressive employment and lending policies, linked with community and government projects,” he said.
Some believe that capitalism is at the root of all societies problems. Capitalism is driven by competition for profits, not by what people need, which in turn leads to wars and environmental damage. It is a system that denies people work when there’s work to be done and lets people starve when they could be fed. Under capitalism there has always been and always will be a significant section of society that is unemployed. Capitalism simply does not provide employment for everyone and never intends too.

Friedman wrote a book called Capitalism and Freedom, which Naomi Klein states became the rulebook for economic policy in the United States and in Great Britain under Margaret Thatcher, and we believe is continuing under our current government.
These are the rules as stated in a recent newspaper article:
1. Government must remove all rules and regulations standing in the way of the accumulation of profits
2. Government should sell off any assets they own that corporations could be running at a profit
3. Government should dramatically cut back funding of social programs
4. Taxes, when they must exist, should be low and rich and poor should be taxed at the same flat rate
5. Corporations should be free to sell their products anywhere in the world
6. Government should make no effort to protect local industries
7. All prices, including the price of labour should be determined by the market.
These are of course are the policies we have been pursuing now for many years and they have simply failed. We really must be bonkers to continue to pursue them such as privatising the National Heath Service. The banking system has forced us, the tax-payer, to bail out the bankers. Yet they have failed to ensure that the same banks give desperately needed credit to families and independent small businesses.

We need to argue for a fair financial deal, with community banks, credit unions and mutuals. This will ensure those who need financial help are given realistic loans, so they can survive the current economic hardship that they are facing today. We also believe it’s unfair that these irresponsible bankers continue to earn extortionate salaries and bonuses, while at least 420,000 hard working people still earn less than the low minimum wage. Surely it is time for a National Bank under democratic control. This bank could exist with local community banks and credit unions. The rest should be taken over by the state and amalgamated under such a scheme.

Clearly this is not the agenda of the Con-Dem government. They are trying to sell everything and they even tried to sell our forests. Providing a free service such as a library goes completely against what they believe in. Royal Mail is to be sold off, the NHS is being privatised by stealth and our schools over time will become privately owned academies, with an end to free college and university education. This is where Britain is heading, if this government is allowed to get away with its agenda. Similar also to that as advocated by Tony Blair who ‘blindly’ followed the Thatcherite agenda.

And all the parties and the squiekies at present are not only colluding in the process of our so called democracy and manipulating it to their own ends, they are all offering no solution other than we all have to accept huge cuts. This entails yet again propping up a corrupt system, accepting a economic slump, a banking collapse, as the speculative bankers are still free agents gambling with our lifestyle and culture.
House prices will slump as so will the economy. We seem blind even to the recent past. Our fictitious invaders have now returned and after their review have concluded that we are all bonkers. I will drink to that, providing we start to recognise the failure of the system and the necessity to now develop a real progressive alternative. We should be optimistic about planning such a future.

And as a Middle East Revolution now really is in the air, let’s plan for our own. Perhaps we can start by taking on the squiekies in the media and in particular the BBC, who represent the status quo, their own interests and this literally bankrupt society and it’s economy. Our present politicians have lost our trust and their support for the status quo with all it’s corruption, does not aid their cause. The inherent contradictions within this absurd system have now come to a head and we must commence the struggle to form a new society, in order to avoid as previously stated the slump and housing crisis just around the corner.

We need to target banks and in particular the high value speculative transactions. We could engage with the tax dodgers and these two policies alone would save billions, some of which we could spend on environmental projects. We clearly need to move away from our dependency on oil. Our present system also leads to conflict and wars which are hugely expensive. The outline in my main blog if adopted, would mean we would not have to resort to huge cuts now or later. It is difficult to comprehend why we still seem to listen to the same political and economic experts who have simply got it wrong time after time. And let us campaign for a fairer and more objective team of presenters in the Media.

Some of these objectives can start through community groups determining their own outcomes. We surely need a new political programme and a new progressive party. Let’s end this stupidity and look forward to the real big society.

Ivor Timson MSc( Econ.)

Bibliography.

Acknowledgement to all those quoted.