Roulette Capitalism is the Problem

Editorial, European Socialist Action No 32

The international bankers have a history of taking irrational risks out of which they make huge profits for themselves. When reality eventually hits them, however, they make us taxpayers pay for their losses. The bankers keep the profits but expect us to pay for their mistakes, which we do without question.

In all this, governments must always prop up the banking system because, as they view it, there is no system but global capitalism. They will always do the bidding of international banking over which they have little or no control.

This Coalition government is nothing but a joke ... a government that can not be taken seriously in anything it does. We are told the Coalition is tackling our public borrowing deficit by the only way they know how ... austerity cuts, which mean reducing our deficit by hitting the poor and disadvantaged in society. The public sector is to be ravaged with all hopes placed on a revived private sector. Hundreds of thousands of jobs must go in the public sector to miraculously emerge in a revived private sector.

It is all based on a false optimism with a banking system still reluctant to lend to business through a lack of confidence in debt repayment.

The fact is, capitalism is in crisis with no easy way out ... if any at all. The world remains teetering on the brink of economic disaster and the prognostication still remains gloomy.

But borrowing in the UK continues with increased spending on health and defence. Indeed, it is an increase on twelve months ago ... which seems to throw doubt on the government’s ability to reduce the public deficit.

Both the CBI and the British Chambers of Commerce have now lowered their forecasts for economic growth believing higher inflation will impede economic recovery. A VAT increase to 20 per cent from 17.5 per cent on January 4 will not help, either.

Forecasts and calculations hold for one day and can be torn up the next. The problem concerns more than the cyclic ups and downs of a free market system over which government has no real control. Anything can happen now.

We have always said it is the system itself which is the problem and needs to be replaced. Patching it up here and there will never offer a long term solution. At each crisis we lurch further and further towards complete and irretrievable breakdown.

Banking relies on confidence in order to function but irresponsible banking with its ‘get rich quick’ gambling binges and the ensuing disasters have finally revealed a racket operating in what is nothing more than a giant global casino. How can anyone have confidence in such a state of affairs?  

The result can only be an increasing loss of faith in the markets as the gambling continues and more banks suffer meltdowns and collapse with companies facing liquidity and investors losing their savings.

On Wall Street and in the City of London, they will continue to take big risks because they know governments will bale them out when things go belly up. It is said they will play until they crash because it is at the heart of the very nature of banking.

This is the one central issue upon which any solution to our national problems must be addressed. It is this issue and nothing else.

Not one single party, whether mainstream or of the fringe, has addressed this great problem upon which the future livelihoods of millions of people must eventually rest.

UKIP blames the European Union, the British National Party blames the Muslims, the Tories and Liberal Democrats blame previous Labour governments, the Scottish Nationalists blame England, Sinn Fein blames the Ulster Unionists, the DUP blames the Pope, the Green Party blames global warming ... and so on — but not one of them can see what is, in fact, the elephant in the sitting room, the real glaringly obvious menace to the future of our country and to the rest of Europe, the banking racket as practiced within global capitalism.

We need to get out of this system of dominance by financial forces that makes a mockery of government and democracy ... and the only way out is that proposed by Sir Oswald Mosley and Union Movement — the concept of Europe a Nation.

It is the creation of large-scale economic units big enough to be self-sufficient and independent which will then be free of the vagaries of international competition and the financial institutions that make profits out of supplying the finances for this competitive trading where one country gains a temporary advantage at the expense of another. No one wins but Finance.

Within Europe a Nation, banking will serve the people and only the people. Banking would function only within the area of Europe and it would be under the direction and leadership of an elected European government.

Banking should then become responsible and answerable to the European people. No more roulette capitalism.

Once you have achieved this, you can then organise the economy on the lines of an upward progression because keeping wages down in order to compete would no longer apply. We all know that success in international competition is based on keeping wages down in order to keep costs down in order to undercut your competition. We will no longer engage in this.

Mosley proposed that heads of European governments should  unite and agree on a strategy to free us from the International Monetary Fund and our national debts to a conglomeration of what are private banks controlling our money supplies.

They should agree to do this together at an agreed hour and there would be nothing the international bankers could do about it. As separate, isolated countries there is nothing we can do ... but a united Europe would be a force with which to be reckoned.