January 2010
Restrictions on the market economy
The basis the market economy consists of careful and meticulous employees and businessmen who are doing more than just their duty, in the interest of the enterprise, of a greater purpose, of fairness, in the interests of colleagues, of the nation, of the world.
An unrestrained market economy
Thanks to new possibilities, speculative money trading has become faster and the amount of money involved has increased. This leads to more frequent and bigger crises. Rising prices of securities encourage interested parties to purchase securities in order to win money. This is driving the prices further and further and further until really bad news lead to the risk that prices will collapse. Also raw materials and agricultural products are subject to similar mechanism. Speculative money flows quickly today and in large quantities. This is interesting for those who are on the winning side, but tragic for those on the losing side. Few people benefit monetarily from the ups and downs, in fact most people suffer. As long as it is possible that people become rich by speculation, a tax for every sale could generate so much money that no more public authorities and any individual would have to pay the consequences of crashes.The advantage of ruthlessness
The capitalist market economy is harmful if ruthlessness is a crucial advantage. Unfortunately, in the office amongst peers, in the competition among companies and in the exploitation of nature, ruthlessness does lead to victories.Sheer size leads to abuse of power
A private company should never be so large that its demise threatens the economy, otherwise there is a risk, that at some time, it must be favored or rescued by the public. This means that the profits have been privately paid and the losses have to be paid by the citizens. Such actions are a violation of the equal opportunities of the firms and an affront to the taxpayer. Powerful companies will bring other dangers. Often a dominant position is used to inhibit a fair competition. Important and unimportant patents in the hands of wealthy firms are used to paralyse small and innovative companies. This goes clearly against the purpose for which the state protects patent claims. Some companies sell goods to the state for profit, even if the state has any use for them. Dumping is used to ruin business-rivals. Financial flows are manipulated. The democratic structure of nations is attacked with the help of pliant politicians. Elected governments are attacked in the interest of private companies. Pressure is made against law and justice. Warmongering is made. All this can help to make a profit. Some of these abuses are rare and some are routine.The consensus of the decent
The decent are not a really existing group. The program that says you should be decent and correct makes part of us. But often we think as well in terms of making benefits at the expense of others. The consensus of the decent includes the joy on the joy of others and the joy on a sane and protected environment. This maxim is important because most people can understand it and because it can dampen the excesses of the capitalist market economy.Key-positions
Soil, water, raw materials, seeds, transports, cultural and other inherited goods and exploits are basic for our culture and for the people. They are so important to the community that the public must never give their control completely in private hands.Necessary corrections
The capitalist market economy is powerful and sensitive. In order to fulfill its functions satisfactorily, a framework is needed which limits the possibility of abuses and mistakes to a tolerable level. With great assets the market can be influenced actively. Therefore, great fortunes can be more profitable than small ones. So the money has the tendency to make the big money piles bigger. In the final stage of the Monopoly game the losers have no money and the winners have all the money. In the real world, the game is limited by voluntary self-limitation of the winners, through revolution, wars and crises, and by the squandering of accumulated wealth. Residual accumulations of large amounts of money threaten the healthy flow, lead to democracy-threatening accumulations of power and prevent equal opportunities and equality before the law. For these reasons, it is necessary to control the size and power of companies and of assets and set boundaries to the inheritance.
The capitalist market economy does not solve all problems. Currently, a lack of jobs lead to work-generating programs. On the other hand, we know that it may be useful to do less work, because that reduces the environmental impact. Unusual ideas and approaches are needed to really solve this problems. Limited social adventures and integrated experiments are therefore of great importance.
The capitalist market economy requires adjustments to the reality, corrections, alternatives and additions. The idea to put something new on its place is risky. The market economy can be improved and enriched by alternatives and should not be replaced by another pabulum.