[lbo-talk] shock doctrine

[Yoshie Furuhashi]

On 9/16/07, bhandari at berkeley.edu <bhandari at berkeley.edu> wrote:
> Just some obvious questions...
> How can capital be rolling in great investment opportunities if investment
> is too risky to undertake?  And why aren't debt financed buy backs a sign
> of underlying difficulties, a sign of a mature and declining industry ?

What if it's not a matter of necessity but one of preference and (more
importantly) being in possession of power to make that preference
prevail?


> And where would stock prices be today if the rate of interest had not
> fallen sharply?

Again, isn't it more a matter of preference rather than one of
necessity?  It wasn't "necessary" for the power elites of Japan,
China, oil producers, just about all states in the developing world,"
etc. to accumulate dollar reserves and distribute them in such a way
to create and sustain Bretton Woods II, but that's what they have
preferred to do, rather than inventing other ways of economic
development and transnational trade and finance, and the balance of
class powers in their respective nations, as well as cultural hegemony
of global capitalism, has allowed their preference to prevail.
-- 
Yoshie