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Daily Archives: June 11th, 2009

Karl_MarxInteresting editorial here that echoes some of my sentiments from weeks (months?) ago, that Marxism is showing itself valid and relevant again. I still have doubts about the real possibility of a revolution in the relatively near future, but it is likely that revolution–in the strict sense–is not needed.

Interviewer: “Nowadays we call these ‘crises’ recessions. You predicted that over time, capitalism would become dominated by larger and larger firms.”

Marx: “[T]he concentration of capital and land in a few hands.”

Interviewer: “And how does this concentration bring on socialism?”

Marx: “By paving the way for more extensive and more destructive crises, and by diminishing the means whereby crises are prevented.”

Interviewer: “So the bigger firms become, the harder they fall. In the US economy, some firms have become ‘too big too fail,’ and the government has moved in. As this plays out, what will happen to capitalism?”

Marx: “Its fall and the victory of the proletariat are equally inevitable.”

It is true that much of the policy designed to help the US finance and auto companies seems particularly socialist in that government is taking over the control of many larger firms. Not sure that counts as a victory of the proletariat, but I also read today that governement is limiting executive pay. That levels the playing field a bit.

(Don’t forget to visit and


crowdingoutStock markets slid slightly lower on Wednesday, undoing early gains as investors worried that rising interest rates on government bonds and home mortgages could impair the broader economy.

Investors shied away from Treasury debt, pushing interest rates higher, amid more worries that the government’s fund-raising needs would overwhelm demand in the bond markets.

Overwhelm demand? Yeah, I think they just mean there will be a shortage of saved money and interest rates will continue moving up. The bad part comes when investors start considering funding a new project, see that it is too expensive and walk away from the project–the classic monetarist critique of Keynesian economic policy.

Through-A-Wall-Clipart-IllustrationI don’t imagine I am the only blogger in China having to deal with my site being regularly blocked by the government. My first year here, I was told there are 50,000 people working full time here to monitor the internet and block web sites that carry damaging information.

Too bad they don’t do a better job, cause I have never (I think) written something negative about China–or maybe I am doing that now. In fact, most of what I write is quite positive about China, like the bit on greening-up the coal powered generation plants.  

Anyway, sorry I have not posted in some time, but it is not my fault! I can get around the block with a proxy switch, but then I am unable to sign in to my blog host–until today! I went to the WordPress website, signed in there and then I opened the proxy switch and went to my blog. I was still signed in and here I am blogging again.