What's wrong with our economic system? The system itself. Capitalism is the socio-economic theory that supports the idea of individuals and corporations owning the means of production and distribution to the point of exclusion of other outside entries, thus dividing society up into two main classes, The working class, the proletariat who have limited access to capitol and the Capitalist class, the Bourgeoisie who with their good connections and political access are able to finance and protect their continued existence. With the Capitalists in control of the means of production they gain a monopoly of power and money, over the working class, who have to sell there labor to the capitalists in a rigged market because they own the Means of production. Once the Capitalists have the monopoly or oligopoly they are in a position to influence elections. The legislators and executives are in the hand of the wealthy corporate class without whom they become unelectable in our world of no thinking required news entertainment media. When the corporation has more rights then the individual and can influence lawmaking to protect them at the expense of the real citizenry or competing small businesses without a lobbying arm. At that point we have the beginnings of fascism or as we call it CorpGov. Basically when the capitalist owns the means of production, controls the labor market, and makes the laws, the capitalist owns the means of LIFE.
Every capitalist says to the worker, in effect: "I'll give you a job if you will say that you agree to my terms. The condition is that the wealth that your labor produces belongs entirely to me. Then I will pay you back one-sixth of what your labor produces; which I estimate is enough for you to survive. I will keep the other five-sixths of what you produce, as my reward for being the person who had the idea of starting the company. There shall be no negotiation. Do you freely agree to these terms, or would you prefer that your family be homeless? Choose quickly -- I've got one job opening, and hundreds of people who have applied for it. " Then the capitalist makes sure the laws, police, and courts put up every obstacle to that worker having the option of going into business for himself and overthrowing the established corporate hierarchy.
The armed robbery that is taking place there is rather clear. This system runs on ignorance, greed, profit, and a boring/monotonous consumer fetish society. This system grows when imperialist wars are fought to gain more natural resources and further separate the citizen from their earnings. It grows when a company lays off hundreds of workers so that the heads of the company can still keep there usual profits. When we enslave the third world to live like slobs in order to fulfill our lustful need of the latest consumer brand product, it breeds crime and murder into our streets, creates ghettos and oppressed communities, denies thousands a job and forces families onto the streets, it stumps human creativity and gives the ruling class a monopoly of power and repression using the government, the state, to stomp on workers struggles and support a status quo of a sedate population who are obsessed with products and the media, while supporting a strict division of classes, economically and socially by using religion, race, gender, sexual orientation, ethnicity, a false choice between two nearly identical political parties, even differing radical philosophies to build disunity among the citizenry and to keep the working class divided.
Our book would be incomplete if we were not to advise and warn you about the banking and credit system. From its humble origins where a goldsmith would hand out more gold repayment receipts than he had gold in his safe to today where national corporations lend the governments every currency unit in existence at taxpayer interest, we have relied on hometown bank loans from thin air to buy us shit. Dig deep on the topic of fractional reserve and realize that our money and credit is truly just an illusion of value ready to collapse upon itself.
This bloodletting attacks you at home, college, in your car, and on your credit card statement, sometimes promising to double the amount you owe every five years! We must free ourselves from the production and finance system that has lead to tech and housing bubbles, sub-prime credit collapses and great depressions.
You cannot be free until you own the fruits of your own labor, and if what you own is under constant threat of repossession you are a slave. It is difficult for many to survive without easy credit. We have known college students and fast food employees alike driving BMW convertibles that were not sweet sixteen gifts from rich daddy. If you are not in debt don't start, and if you are in debt get out.
To get out of long-standing debt, filing for bankruptcy or a financial settlement are both options. Bankruptcy was a radical idea inserted into the constitution by the same guys who wanted you to be well armed to keep the government and any other slave master on its toes. Find a way to preserve your savings in a way that inflation, business bankruptcy, or bank closure will not steal it's value away. No matter what happens food, tools, and real education will always be valuable no matter what the currency looks like. Lastly remember you can not go to jail for any debt except for not paying some court ordered criminal and civil fines and child support.. Research your legal rights to keep yourself free.
Our Current Situation
In early 2008 when this page was first written America as a nation was already bankrupt. The foreclosure had not yet fully hit. The WW-II generation gave themselves generous Social Security retirement. They also introduced Great Society welfare programs like food stamps. They paid for these programs by having enough kids to feed into all of these programs for the whole natural lifetime of that GI-generation and socking the rest away as debts to be be paid by Gen-X and Y. The Boomers being much more selfish as a whole had their one or two kids so they would not be tied down and demanded ever more well financed stuff just like CorpGov wanted, because greedy people will sell freedom for a little comfort. The old debt continued to grow as compounding interest took its toll; Accelerating private, government, and corporate spending just added to the mess, but foreigners continued to dump their savings on us.
By 2009 the recession had finally laid it's claws in to the hearts of people around the world. Business are laying off many employees simply because they are making the profit margin they did at the beginning of an economic boom that started in 2001. They are losing profit compared to last year, but still taking in billions. As a result, every country is following the lead of the united states and offering business "stimulus packages" (tickling their pickles?) of up to $100 billion dollars per business. They are now taking tax payers money and giving welfare to the rich while thousands wander the streets homeless and many more thousands still wander the streets jobless and at risk of losing everything they have. By 2010 economists were beginning to say the boost the trillions of tax payer debt dollars given to to the stock markets was not only not reaching the people, but appeared to be faltering in its welfare rescue for the capitalists.
As a whole the USA went from being the lender of the world in the 1920's to the bloated giant that the whole world brings cash offerings in the trillions of dollars to prevent the beast from pulling them all down.
Those of us that remember the dire warnings from the 1970's will finally get to see them come true. It appears that after thirty years creative corruption in the monetary world is finally toppling on itself. The Ponzi Scheme pyramid that is Western finance is about to collapse.
People will suddenly grow spines and fangs when they have no money for food. Does anyone remember what happened in Germany in the 1920's? Revolution will be in the air. People will want an enemy and won't always care who they are. They will listen to anyone who sounds like they have an answer to their problems (even if it's the wrong answer). Be careful what radical groups you associate yourself with. Be wary of the Glenn Becks and other insincere corpgov sheep dogs from both the left and right who will try to tame and lead fed up grassroots citizen movements, we call that astroturfing.
So if we are against fat loans how do we suggest that people get a home? First forget your classist and racist notions of what is an acceptable dwelling. Push away that unconscious white radical expectation that they will sometime before thirty grow out of this phase and get a big office job, a McMansion, a surgically enhanced trophy wife, and a SUV.
We seriously counsel you to buy a small patch of land and throw up an alternative construction structure or buy a used mobile home. If you feel the need a bigger house or a better car invest the house payment money into a business. Loan to yourself and take from the profits, enjoy the interest yourself! If you want to live free of job slavery a simple house and old vehicle for long vacations is all you need.
It is OK to be forty or fifty and still riding a bike to work and using the greenhouses, and chicken coops to supplement your diet saving you huge amounts on your food bill. There is no shame in living in a mobile home. You must decide to make a living from your money not to let a bank take your wealth.
If you want to start a business the same thing, start small and build up, don't get greedy for an instant megacorp. If you have an invention get a good lawyer, patent it, and work on self development or sell the patent to a responsible company who respects its workers. Lastly you can with good legal advice sell shares of future profit in order to finance large acquisitions, keep it local and don't get too involved with being a public corporation, overextension and massive risk are the tools of the get rich quick abusive capitalist. Build business to last and benefit the employees and the customers, not to abuse the assets and rob the employees while you make a quick exit. If you are successful enough to take on additional labor do your best to help your employees become independent and mobile, many people will even trade lower cash compensation for a good work environment and the knowledge that they are being trained to take their skill and apply it anywhere.
Supply and Demand
Whether you are a buyer or a seller you must understand how the supply and demand affects almost every decision in our life whether we realize it or not. If we think very hard even our time has a value which must be traded for recreation, fomenting social change, or working at a job in exchange for monetary units or goods. Anyone who has taken an econ 101 class knows about the supply-demand curve graph. When supply drops or demand (D1-D2) increases, both of which cause a shortage, price goes up and people can't buy as much, a new equilibrium is then established at that higher price. Since there is a higher price but plenty of unfulfilled demand for the commodity it makes an opportunity for someone to enter the market and compete pulling down prices. There are times where the supply is inelastic, there is only one Mona Lisa in the world, then demand will determine the price just like in an auction. Inflation is a way of the government and banking cartels to wipe away their debt in diminishing value currency while also destroying the value of those who try to save for the future. Price caps which sound good especially in times of inflation actually create shortages by making no incentive to increase supply, they also encourage corruption to get the available supply. Of course people will always try to find a substitute for the goods that have risen in price or dropped in supply. Substitutes cause an increase in supply on our graph lowering price on the curve.
Our revolution is all about finding a substitute to the corrupted financial systems, irresponsible lending, and a run away government which bribes the citizens with pork projects to distract and buy votes while accepting payoffs and promises of cherry consulting gigs from the ultra-privileged corporate class to keep them on top.