Supposedly, the great recession is over, and according to the stock market, earnings are up. Real Estate is on the rise, too. Jobs are declining in some sectors, but corporations are still thriving. The earning gap between the rich and the poverty stricken is growing, thus the middle class is dwindling.
In September of 2009, Michael Moore came out with yet another left positioned comment on the economy. "Big I's" and little "you's" within the free enterprise system made up a skewed view of industrial competition in the "80's, which meant no competition because in Germany and Japan right after WWII, their auto economies suffered and were demolished.
Moore made his "Capitalism: a love story" after the bank bailout, i.e. AIG, Lehman Brothers, Goldman Sachs, Morgan Stanley, Merrill Lynch. He documents who got rich, who got perks, and who got a real rude awakening. One would practically shed tears for families that had their homes ripped from them, as coldly as a predator rips flesh from his victim.
One Miami condo Realtor dealing in repossessed products calls himself a vulture, smilingly, while he shows condo's that sold originally for $850,000, and were reduced to 1/3 or 1/4 the price-- 25¢ on the dollar.
Part of the problem goes back in history. Jimmy Carter expressed his dismay with the overly consumptive public, only to be rescued by Ronald Reagan, who was told what to do by the CEO of Lehman Brothers so that Wall Street could be a guiding force for short-term profits. This was achieved by cutting the interest rates in half for mortgages, while corporations cut millions of jobs.
There were large job losses, and the rich claimed that capitalism or the free market economy was proclaimed in the Bible, thus sanctioned as good.
Moore criticized many in Congress for their "legalized" bribery from Angelo Mozilo, the head of Countrywide Home Mortgage who gave discounted mortgages and fee waivers to VIP's, including Christopher Dodd to name one of many. They were playing a casino stock market after the deregulation, and it turned out that 80% of the mortgage fraud abuses were lead by organizations and not by home buyers. It was the largest white collar crime get away in history. Because George W. Bush had transferred all the FBI specialists from the white collar crime units to the 911 and War on Terror units, the crime went undetected and was able to grow exponentially.
If you're interested in the economy, and why it declined for some over the years, watching Moore's documentary may be eye opening. It's interesting to note, that both Ben Bernanke and Timothy Geithner state that the 2008 Meltdown was worse than the Great Depression of the 1930's.
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