The Soft Sell of Communism Starts with Mislabeling

 In economics, economy, Global Business, Global Economy

Some claim that capitalism is to blame for the woes facing Main Street America. High unemployment; wage stagnation; and increases in living costs, food, fuel, and energy all impinge on the normal American’s life and the efforts to improve our existence while making sure the next generation will have things better than we do.

A struggle ensues against the back drop of a message we are told again and again: “It’s not fair. The rich are getting richer; the top 1% are earning, controlling, or amassing 30% – 40% of the nation’s wealth; and life is getting more difficult for everyone else.”

This dichotomy is juxtaposed with the end message being, “It’s the fault of the failed system called ‘capitalism.’” There is so much to deal with here that we must remain focused.

Capitalism. What? Since when has the bailing out of big banks with tax dollars by big government become the description of capitalism? Since when is it that banks are told, by big government, that they must make loans against the shareholders’ and tax payers’ best interests in violation of every lending principle since time immemorial? After banks yield to the pressure the predictable catastrophe is produced. And this is labeled “a failure of capitalism”?

As we saw in ’08, no bank wanted to lend to any other bank, nor could they–their balance sheets were discovered to be filled with holes. Mortgages defaulted at an unprecedented pace, and the prices of the assets collateralizing loans on balance sheets were tumbling faster than boulders over a mountainside cliff.

The truth is to this day, though many banks think they have the problem of non-performing loans, defaults, and foreclosures quantified and properly counted, the true depth of the crisis remains fluid and unfathomed. The entire system is still exceedingly vulnerable. Any untimely or unexpected event could sideswipe our nation’s economy and total the banks, leaving politicians with the same easy way out–another tax payer funded lifeline.

And this is what some want to call capitalism? NO.

It’s a system that is laced with the arsenic-laden policies and programs of socialism, and when those programs and policies live out their natural life cycles, destruction is the result.

So why would these consequences be labeled, “a failure of capitalism”?  Is it possible an attempt is being made to deceive… by mislabeling…?

David Stover is an Account Executive at Universal Cargo Management‘s Atlanta office.

Source: Economy

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