[lbo-talk] Europe as a CDO

Carrol Cox cbcox at ilstu.edu
Fri Aug 26 11:56:25 PDT 2011


On 8/26/2011 1:14 PM, Chuck Grimes wrote:

[Posted by Max on Pen-l]

Seen this way the 'sovereign debt crisis' is less a crisis of sovereigns than a crisis of the ability of sovereigns to bait and switch private debt for public debt on behalf of the biggest European banks. The consequence of which is not just the unfairness of the put on the taxpayer, or even the pointlessness of sustained austerity as a growth formula. Rather, it's the fact that in enabling the bait and switch, European banks inadvertently turned their home into subprime CDO.

http://triplecrisis.com/how-to-turn-a-continent-into-a-subprime-cdo/

Capitalism has eaten up whole societies and now its eating itself

------

The last statement is flatly wrong. Capitalism isn't a _thing_ or even a collection of _things_ that can be metaphorically "eaten up." It is a vast complex of social relations that cannot be transformed from within and will not self-destruct. The self-destruction of one-two-many capitalist nations or one-two-three million individual capitalists will not touch capitalism.

It's got to be done by conscious collective action, action aimed at creating real democracy.

Carrol



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