World Crisis Round Two? "A dangerous backdrop of instability and uncertainty"

[The Feral Underclass]

If this is true and it happens, then it will be another wonderful opportunity for "left left" to prove itself utterly and contemptuously inept and irrelevant for the second time in the same generation. Bleak.


"David Cameron has issued a stark message that “red warning lights are flashing on the dashboard of the global economy” in the same way as when the financial crash brought the world to its knees six years ago.

Writing in the Guardian at the close of the G20 summit in Brisbane, Cameron says there is now “a dangerous backdrop of instability and uncertainty” that presents a real risk to the UK recovery, adding that the eurozone slowdown is already having an impact on British exports and manufacturing.

His warning comes days after the Bank of England governor, Mark Carney, claimed a spectre of stagnation was haunting Europe. The International Monetary Fund managing director, Christine Lagarde, expressed fears in Brisbane that a diet of high debt, low growth and unemployment may yet become “the new normal in Europe”."

David Cameron warns that second global crash is looming (http://www.theguardian.com/world/2014/nov/16/david-cameron-third-eurozone-recession-g20-warning)

[Chomskyan]

If this is true and it happens, then it will be another wonderful opportunity for "left left" to prove itself utterly and contemptuously inept and irrelevant for the second time in the same generation. Bleak.



David Cameron warns that second global crash is looming (http://www.theguardian.com/world/2014/nov/16/david-cameron-third-eurozone-recession-g20-warning)


Indeed. And unlike the last time, there isn't much stopping global capitalism from falling to the ground.

I see this as inevitable, and economists on both the Left and Right see the same thing. It's structural. Instead of restructuring the economy, we pump trillions into the war machine, and into the pockets of billionaires. Voodoo economics.

[Gulag Simulator 2000]

Indeed. And unlike the last time, there isn't much stopping global capitalism from falling to the ground.


people keep saying this for the last 1,5 centuries but capitalism keeps on going, and it will pull thru this possible crisis as well i imagine.

[DOOM]

people keep saying this for the last 1,5 centuries but capitalism keeps on going, and it will pull thru this possible crisis as well i imagine.

The last intact bubble which is holding back a massive inflation is the one formed by public loan. With this last bubble bursting, there isn't quite anything left anymore to hold back a massive crisis.

[Blake's Baby]

Aren't we in a massive crisis? And yet globally, the working class is not by any means at the point of rebelling against the system.

[bcbm]

meh, bring it on lets see what happens

[Prof. Oblivion]

The last intact bubble which is holding back a massive inflation is the one formed by public loan. With this last bubble bursting, there isn't quite anything left anymore to hold back a massive crisis.

Why are you spouting this right wing libertarian mumbo jumbo?

[DOOM]

Aren't we in a massive crisis? And yet globally, the working class is not by any means at the point of rebelling against the system.
Maybe, but it'll get a lot worse.

Why are you spouting this right wing libertarian mumbo jumbo?

How am I spouting "right wing libertarian mumbo jumbo"? Crisis theory is a very real thing and crucial for understanding capitalism. With the third industrial revolution in the 1970s, less labor is needed to produce the same things thus reducing the amount of labor and therefore value in a commodity. This is very similar to what Marx called overproduction, yet it isn't formed by a phase of prosperity or by overproduction but by the very fact that we don't need the same amount of labor anymore to produce a certain amount of a commodity. This leads to fast shrinking profits and more workers becoming redundant to the production process.
This results into the creation of what Marx called fictitious capital and accumulated fictitious capital ("bubbles") to balance this out. Needless to say that this is very unstable.
This means that this "crisis of labor" isn't just a phase of a crisis-cycle which is going to renew itself but capitalism dying of its own fruits.

[Prof. Oblivion]

Maybe, but it'll get a lot worse.


How am I spouting "right wing libertarian mumbo jumbo"? Crisis theory is a very real thing and crucial for understanding capitalism. With the third industrial revolution in the 1970s, less labor is needed to produce the same things thus reducing the amount of labor and therefore value in a commodity. This is very similar to what Marx called overproduction, yet it isn't formed by a phase of prosperity or by overproduction but by the very fact that we don't need the same amount of labor anymore to produce a certain amount of a commodity. This leads to fast shrinking profits and more workers becoming redundant to the production process.
This results into the creation of what Marx called fictitious capital and accumulated fictitious capital ("bubbles") to balance this out. Needless to say that this is very unstable.
This means that this "crisis of labor" isn't just a phase of a crisis-cycle which is going to renew itself but capitalism dying of its own fruits.

The right wing nonsense is your notion of "massive inflation" related to public debt.

[Ethics Gradient, Traitor For All Ages]

Can you expand on that a little? It would be fun to actually discuss existing economics on this site every now and again

[Prof. Oblivion]

The last intact bubble which is holding back a massive inflation is the one formed by public loan. With this last bubble bursting, there isn't quite anything left anymore to hold back a massive crisis.


Can you expand on that a little? It would be fun to actually discuss existing economics on this site every now and again

Are you referring to me? I thought it was fairly common sense that monetarist theory is woefully inadequate and outdated. "Massive inflation" is pretty much impossible in developed economies.

[DOOM]

The right wing nonsense is your notion of "massive inflation" related to public debt.

I didn't argue that public debt is the reason for inflation/crisis. Public debt was rather the attempt to prevent crisis.

[Ceallach_the_Witch]

can't say i'm exactly surprised. At least now i'll get to be smug about being incredibly pessimistic for the last 7 years.