Photo by Daniel Oberhaus courtesy SheerPost.
PBI Chair Ellen Brown writes in her latest article in SheerPost:
“The crisis of 2020 has created the greatest wealth gap in history. The middle class, capitalism and democracy are all under threat. What went wrong and what can be done? …
“[T]he middle class, considered the backbone of the economy, has been progressively eroded since the 1970s. The one-two punch of the Great Recession and what the IMF has called the ‘Great Lockdown’ has again reduced much of the population to indentured servitude; while industrial capitalism has largely been displaced by ‘finance capitalism,’ in which money makes money for those who have it, ‘in their sleep.’ As economist Michael Hudson explains, unearned income, not productivity, is the goal. Corporations take out cheap 1% loans, not to invest in machinery and production, but to buy their own stock earning 8% or 9%; or to buy out smaller corporations, eliminating competition and creating monopolies. Former Greek Finance Minister Yanis Varoufakis explains that ‘capital’ has been decoupled from productivity: businesses can make money without making profits on their products.”