Capitalism or Capitalist who failed?

@rashmie (948)
United Arab Emirates
March 11, 2009 11:07pm CST
The world is in deep recession and approaching the tag of being another great depression. Its all started with the US and spilled over all the world. The communists thinkers are saying it to be the death blow to the American led capitalism saying that it is the capitalism who failed. On the contrary, neo-liberal economist are saying that it is not the capitalism which failed but it is some greedy capitalist who failed. What do you think?
2 people like this
6 responses
• United States
12 Mar 09
Interesting that you should write this. I found an old article about a week ago in my library that I had read some years ago about a man who predicted the Great Depression at least a year before it happened. Most business leaders politely discounted this man when the economy was going great and he was talking economic disaster. The man's name was Roger Babson. Here is what was written of Mr. Babson in the Autobiography of Herbert W. Armstrong, Volume 1, Pages 235 and 236, copyright 1986, Worldwide Church of God. "Well, gentlemen," he said, "you will remember that a year ago I warned you that within one year we would be in the throes of the worst depression our generation has ever seen. I noticed many of you smiling unbelievingly then. Well, that year has rolled around, and here I am again, and here is the depression with me."Chicago business leaders were not smiling after the depression hit. Mr. Babson then proceeded to explain why he knew what was coming and business executives did not."It is now mid-winter," he said. "If I want to know what the temperature is, now, in this room, I go to the wall and look at the thermometer. If I want to know what it has been, up to now, and the existing trend as of the moment, I look at a recording thermometer. But if I want to know what the temperature in this room is going to be, an hour from now, I go to the source which determines future temperatures--I go down to the boiler-room and see what is happening down there. You gentlemen looked at bank clearings, indexes of business activity, stock car loadings, stockmarket quotations--you looked at the thermometers on the wall; I looked at THE WAY people as a whole were dealing with one another. I looked to the SOURCE which determines future conditions. I have found that that source may be defined in terms of 'RIGHTEOUSNESS.' When 51% or more of the whole people are reasonably 'righteous' in their dealings with one another, we are heading into increasing prosperity. When 51% of the people become 'unrighteous' in their business dealings with their fellows, then we are headed for BAD TIMES ECONOMICALLY!" I found this to be interesting when I read the above quote back in the 1980's, much more so now! Isn't it interesting that everyone is not trusting of what is going on. When people cheat one another from the top down and the bottom up they become suspicious. That is all that is happening, no one trusts anyone and everyone is pointing the finger at someone else. So we can blame the government, the executives, the unions, the workers and I guess we would all be right to one degree or another. How about if we blame dishonesty on every level of business and we each do our level best to try to deal "righteously." Just a thought.
2 people like this
• United States
12 Mar 09
Has anyone checked out the companies that are doing open book management. This is an interesting concept in times like these.
• Australia
15 Mar 09
Thank you for posting this, it is an excellent example of forward thinking economics. If we read "righteously" as meaning ethically, fairly, without greed, and I think we clearly can, then the statement is modernised and becomes even more relevant. As you will see from my post below I put it down to greed alone, but that is a bit simplistic, which I knew as I wrote it but hey, this is only Mylot lol. Babson's statement is far more fitting, and I hope you get BR for this post. Lash
1 person likes this
• United States
15 Mar 09
Yes, you are exactly right. This story comes from the early 20th century. Our language has changed and you defined "righteous" exactly they way I would have. It comes down to honesty, integrity, etc. Can we learn something from history? Isn't it interesting how many people have gone outside the line of decency to make a buck. I guess we can blame large corporations, CEO's, and even government, but what about the employee who does not work during their shift, gets there late, takes long breaks and lunches, goes home early, and feels the company's supplies are theirs to take at whim. I have worked for large corporations and also run small businesses. I have found that you can't legislate honesty, integrity, kindness, generosity, caring for our fellow man, etc. It has to be in our inner being.
1 person likes this
• Australia
14 Mar 09
Capitalism, as it is practised today, instituionalises greed and treats people as numbers on a graph, unlike classical Capitalism which saw economics as a tool for the betterment of humankind. When the dominant economic system encourages greed, it is hardly surprising that capitalists take advantage of it. Lash
1 person likes this
@rashmie (948)
• United Arab Emirates
14 Mar 09
Exactly this is what happened lash. The face of capitalism has changed drastically where the betterment of people with giving freedom to them has been taken place by outright greed. Today's corporate houses forgets about their basic goals. All that is there is their tag line.
1 person likes this
@goldeneagle (6776)
• United States
13 Mar 09
It is definitely the fault of the big corporate managers that we are in this condition now. They didn't have enough common sense to see this coming and do anything to stop it, OR they just didn't care...
1 person likes this
• United States
12 Mar 09
Capitalism can never fail because it's the best solution. Government will never ever be the solution. It started because of greedy people, capitalists and socialists alike.
1 person likes this
@dismalgrin (2470)
• United States
14 Mar 09
I really could care less who started this mess... I just wish we could all work together to finish it! Ack! Everybody is so busy blaming everyone that it just get's worse. And then we have to fight over who made it worse. I think that our day and age is going to have it much worse than our forefathers in the 30's. They were still not far in generations from those who buildt this land with the sweat of their brow. Those that survived those times were the ones that buckled down and lived by the minimum means that they had to in those trying times. However, we are so far removed from what it means to live simply that we don't know what it means to live simply. If we saw someone living simply we turn up our noses at them. We call them freaks and weirdos. Sometimes we call them unsanitary people. And, it might have nothing to do with being unsanitary... we just choose to view it that way. Some families have had their children taken from them by the state for choosing to live simply. In these times, we are going to be one tangled mess of crap for anyone to untangle by the time we realize what we have done. But, I much disagree with you one one point. I don't think we are getting ready to go into a depression. We are already there. Just most of us live in denile because life seems to go one. But, while life may go on (it tends to do that anyhow) we need to stop and realize just what is happening around us. I have many books writien by people that lived during the Great Depression of the 30's it doesn't seem like the finiancial situation then was all that different as it is now. The difference is that they accepted what was happening and fought to servive however they could. We are blind and we look down on those who aren't blind.
@rashmie (948)
• United Arab Emirates
14 Mar 09
You are right but I also disagree with you on one point. Yes we need to work together to subside this mess, however, what can one do without knowing the basic fault line that created all this mess. If we want this to not happened in future then we have to find out the reason. Any thanks for your splendid response.
• United States
15 Mar 09
You are absolutely right about helping others. If we do not, we are a large part of the problem. I felt so bad when for the third time we had to rely on my mom for help during our marriage. We always worked hard but struggled financially. When my husband was laid off years ago I broke down crying that we had been married 15 years and did not even own a home. We were sleeping on the floor in my mom's tiny living room and had to share a four room place. Our furniture was in storage. My mother put her arms around me and asked me if I had food to eat and a roof over my head. I had not thought about it that way before because everyone around me seemed to have houses, cars, money, etc. She then explained to me how many people she knew lived during the depression. What a wake up call. I can say that my grandparents and parents tried to help anyone they could during that time and always. They passed that on to my generation. I try to pass it on to my children.
1 person likes this
• United States
15 Mar 09
I have see your writing about on mylot and I truly think we share alot of the same opinions about life! LoL! My grandfather was born at the end of the depression and his older siblings practically raised him. They hadn't really gotton old enough at that time to appreciate what they had been through (something I've noticed seems to be a common thread amongst those that lived during this time of history... they really tend to be GRATEFUL for growing up like that! Haha) Anyhow, he get's really annoyed with people that need help in the family. He will help... but he is usually annoyed about it. My mom is totally awesome about seeing and filling other's needs. She went across the street when she saw the paramedics at a neighbors house to see if they needed any help! Haha. Though I'm not really a huge bible freak these days I do appreciate the comment in there that says 'having therefore, food and clothing, we should be content' a lot of people say that you need to have a roof over your head too... and a car. I view those as bonuses. I sure do worry about the roof over my head and the car and that. But, in the end. If I'm alive and my children are alive. We have food in our mouths and clothes on our backs... I'm cool. I think that it's slighly wrong of the government to be all in our business about what type of home it is legal to have. I get the whole santitation thing, but some local governments take it too far! My grandparents town has gone so far as to tell them they can no longer legally have a mobile home on their property! It's not up to 'code' what the heck? And of course they can't build a log cabin even for 'camping' purposes on their property. And they live in the country! I would totally be content with a log cabin if I had too. I know enough about sanitation and that. I could live okay under those conditions but, society tends to get a little 'too civilized' I think. If the majority of the people can afford a certain style of living it becomes morally wrong to live 'less than' that style of living. This saddens me.
• United States
14 Mar 09
Greed failed us all, I think. However, the blame game isn't very productive. We need to know how to rise above this.