Failures of Capitalism

germloucks · Post by **germloucks** » Tue Oct 25, 2011 3:39 am

Take 10 minutes and watchthis video, even if you dont agree, i think there is a very persuasive message here.

Reactions please, MrC/camaro especially. (TA can come too)

TheAlaskan · Post by **TheAlaskan** » Tue Oct 25, 2011 4:59 am

germloucks wrote:QUOTE (germloucks @ Oct 24 2011, 09:39 PM) (TA can come too)

I doubt I'm the TA you're looking for. But I watched it and stuff.

Vortrog · Post by **Vortrog** » Tue Oct 25, 2011 5:25 am

The Conversion of Profits into recapitalisation and the impact of Financiers on this struck a cord with me.
In the late 1990's I worked for a company called Lend Lease.

Their model was based on Property being one wing and finance being the other.

The Property wing brought in the working capital. It was hard fought money, that was generated from about $600Million of turnover, and produced about $45 Million profit. I was in construction, so I know from my 70 hour weeks how hard you have to work for that cash.

This money was then injected into the Finance area in the form of securities. From these securities and insurance/superannuation businesses the finance arm would churn out about a further $140 Million from no assets. NO ASSETS!! But plenty of liability.
They also demanded a higher percentage of profit share as a result of their bigger return.

This pay for no tangible product I see reflected in the migration of farmers from the country to the city because of higher paying jobs, or the price of primary produce that between farm and the household, suffers a 200% markup with absolutely NO VALUE ADD. A trader lumps on his selling fee and monopolies further mark up a product.

Farmers are making no money and are foreclosing. Supermarkets are making record profits. Noone wants to do a trade because they are better off in finance or banking, and these are jobs to aspire to.

If someone invests in their own business (farming or otherwise), I think people are happy if they turn a profit. Investors expecting 10% returns by putting money into something they would not necessarily want to do for themselves and financial planners promising higher returns? There is something seriously wrong with that, especially with manufacturing and construction deflated.

MrChaos · Post by **MrChaos** » Tue Oct 25, 2011 5:29 am

Out on the town video fubar on the phone. I'll watch and post tomorrow

Camaro · Post by **Camaro** » Tue Oct 25, 2011 6:19 am

I'll give this a watch tomorrow.

SpkWill · Post by **SpkWill** » Tue Oct 25, 2011 7:22 am

I can totally see Germ leaving the airforce and becoming a communist

I like the way in the video the little monopoly man ends up in jail at the end

Duckwarrior · Post by **Duckwarrior** » Tue Oct 25, 2011 8:39 am

I haven't watched the video, but I admit to being a germloucks fanboy. So yeah, whatever germ said.

I have watched it now. Very interesting. Still a germloucks fanboy.

NightRychune · Post by **NightRychune** » Tue Oct 25, 2011 9:34 am

capitalism sucks in a lot of ways, yeah

but it's the end product derived from the most fundamental idea that has driven the entirety of human evolution

JimmyNighthawk · Post by **JimmyNighthawk** » Tue Oct 25, 2011 10:20 am

A party in germany want to socialize/nationalize the banking system; beside liberating drugs to relieve the addicted from crimminal.

link120 · Post by **link120** » Tue Oct 25, 2011 12:44 pm

Well since we're still using Capitalism as our system I assume there are also positive sides to it. . .
What are they?