The Game of Making Bubbles
(continued)
In modern times
huge financial bubbles have been created as stock market
prices were artificially escalated to ever higher levels
of values in order to support the process of legal
stealing.
Some people may protest here and point out that the stock
markets actually generate wealth, adding that one can
read about this newly generated wealth in the newspapers,
how millionaires are created every day by profits gained
in the stock markets. The papers, though, never address
the question as to whether wealth is coming from what is
taken out of mankind's living and productive in the form
of profits, or whether real wealth is derived from
increasing the productivity of society and its standard
of living. The difference is that the first involves
investments that become a foundation for stealing from
others, while the second form of investment is focused on
actually creating real wealth for society that an
investor profits from together with the whole of society.
The focus in a real economy must always be on enriching
one another's existence, and this in the most efficient
manner possible. This focus must not only be maintained on a
national and international level, but is also vital in
the social domain of individual living, and in individual
relationships. It stands to reason that unless this
foundation is established at the grass roots level, its principle won't
be manifest on the national level in the form of the
general welfare principle that is incorporated in the
Preamble of the U.S. Constitution. This means that the
health and wealth of society depends on individual
commitments to the foundational principle to enrich one
another's existence. The novel "The
Lodging for the Rose" by
Rolf A. F. Witzsche is designed to explore the dimensions
of this principle at the level of individual living and
individual relationships. This involves dealing with the
historic trends that have created isolation and divisions
among humanity, some of which has been artificially
created to protect structures of dominance and power.
The millionaires that are created on the stock market
every day are created by legal forms of theft. Some
insist that this process of stealing is merely another
form of the redistribution of wealth. The reality is that
this process is destructive of society. It deprives the
nation of its development resources that are poured into
unproductive processes, thereby the real wealth of
society becomes reduced. In addition to that, the 'redistribution'
of wealth by theft tends to destroy already established
productive processes, such as by way of corporate
takeovers, buyouts, and merger consolidations. For every
millionaire that is created by this processes, the
society as a whole is loosing many times this amount in
real wealth. This is reflected in the dramatic decline in
the real economy since 1965.
It should also be recognized that the theft created
investment gains are by their very nature fictitious.
Stock market values may go up, as they have indeed
increased almost twenty fold since the early 1960s, but
their paper value must be measured against the real
wealth that is actually produced in the real economy.
After all, the paper values, have value only as claims
against real wealth being produced in the real economy,
which is rapidly being collapsed by the theft oriented
processes called investments. If this is extended forward
to infinity, the financial investors will own all the
money in the world, while the wealth creating economy has
been collapsed to zero and humanity has been starved to
extinction. At this point the total wealth in the world
will be zero, no matter how much money has been
aggregated. Obviously, this process can't go on to
infinity. This type of financial structure will
disintegrate long before the physical support structure
of society becomes eradicated by it. Humanity will
require that its existence be maintained. Real economic
processes will inevitably be re-established. The only
question that remains to be answered, is when the
reversal will take place. Will it take place a month from
now, or a generation from now?
We are presently facing the disintegration of the
established looting system. The hyper-inflated financial
values have become meaningless since the real economy has
already been collapsed to a point that it can no longer
maintain itself, much less create wealth to satisfy
claims against it, as it is constantly contracting. The
new millionaires will all disappear with their bubbles
and may find themselves as unemployable when their
thievery skills are no longer required. It may also be
that a new looting system be put in place when the old
one no longer functions, by which human austerity be
driven to the point that people die in large numbers when
the economies no longer exist that are required to
support their living. So, it all comes down to a matter
of choosing. Humanity, certainly has the capacity to
outlaw all theft and looting oriented processes and
recreate for itself a real economy by its commitment to
enrich one another's existence.
What the present stock market bubble values indicate in
real terms, is the distance by which humanity has drifted
away from the principles that support human existence.
They are indicators of a sickness, or the nearness of a
great catastrophe in which countless people may die
indeed. They are also indicators of society's fascism, or
its tolerance of fascism. By this criterion, too, the
bubble must collapse, because fascism is an entopic system that inevitably burns itself out. Even the
greatest fascist empire in the world, the Roman Empire,
disintegrated into a mire of poverty so deep that the
barbarian ruler who conquered Rome couldn't be bothered
to declare himself Emperor. When Rome fell the people's
human resources were exhausted to near zero. The
population of Greece, for instance, had dwindled to a
mere 17% of what it had been in the pre-Roman days, the
days of the Greek Classical era of rapid scientific and
technological development.
What future humanity can look forward to once its 300
trillion dollar financial bubble explodes into a spray of
fine droplets, like a soap bubble explodes, depends on
its action in the near term. The American economist and
candidate for the U.S. Presidency assures society that
its vital interests can be protected by judiciously
deflating the bubble in a bankruptcy reorganization of
the already bankrupt system, which would assure that the
productive industries be protected, wages continue to be
paid, as well as pensions, and so forth. This would serve
as a foundation for an orderly transition to a real
economy that is centered on rapid increases in scientific
and technological development, together with
infrastructure development and a return to the principles
of industrialization.
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