His point is that the low rates are unprecedented and despite them it is deflation and not inflation that has been the greatest fear, and with good reason. He is unable to explain what this might suggest happens next. And in fairness, we don’t know precisely. But nothing about it looks encouraging.

What he, and what most, won’t say is that it means that this current model of capitalism is dead. It is no longer entrepreneurial. It no longer innovates. It no longer provides work. It does not aspire to do so. It only seeks to make money out of money. And that’s why society can no longer afford it. The decade has been a death throe for neoliberal capitalism. What that record low represents is the dying note for markets that no longer work. But the new has yet to be born.

Record low interest rates show that people are only trying to make money out of money?

Whut?

Wouldn’t high, especially high real, interest rates show that rather better?

16 thoughts on “Eh?”

  1. The timing of “It no longer provides work” is also hilariously wrong coinciding with the news that unemployment is at a 42 year low.

  2. From the comments

    ‘Well flagged Richard, and a vote of thanks to Pilgrim for some fantastic contributions over the years that regularily add a lot of value to Richard’s ‘starters’’

    Anyone here tempted to declare as ‘Pilgrim Slight Return’?

    As to the article itself – he’s like Walter Mitty. A serial fantasist. No more credible than a David Icke or a Michael Snyder.

  3. I refer you to the seminal textbook (the basis of the Economics 101 course at City) “20 Economic Phalluses” by Big Dick Murphy.

    Available from Amazon (but carries an imputed tax debit).

  4. What he, and what most, won’t say is that it means that this current model of capitalism is dead. It is no longer entrepreneurial. It no longer innovates. It no longer provides work. It does not aspire to do so. It only seeks to make money out of money. And that’s why society can no longer afford it. The decade has been a death throe for neoliberal capitalism.

    One can imagine Murphy plodding along the streets of London’s financial district, bell in one hand, pushcart in the other… “Bring out your dead! Bring out your dead!”

  5. Snippa might claim to be a Quaker but he is more like a JW or 7th Day Adventist. He might even belong to one of those rattlesnake-hugging sects. Anyone who proclaims so loudly and so often the imminent death of capitalism probably enjoys the company of venomous snakes

  6. @Van_P

    PSR’s response is hilarious:
    ‘I use an on-line name because someone at work saw me comment on your site under my real name and then gave me a lecture about how giving my opinion on politicians might affect the work that I do in the city where I work and also might be falling foul my contract of employment (although it was OK for them to cut my pay and conditions without consulting me because of austerity). So there you are.’

    Maybe commenting on TRUK during work time is why his pay was cut?

  7. There were GEs in 2010, 2015 and 2017 where among other issues the public voted for public sector pay restraint. I’m pretty sure that council worker PSR had a vote in those elections, so imv he was consulted.
    I’d be curious to see his 2007 versus 2017 P60, ditto for his ‘phone, computer and BMI, and his mortgage statement ( if he has one ), then identify if he really is worse off.

  8. Given the government’s Green/Socialist energy policy, why invest in anything else except Scottish wind turbines?

  9. Bloke in North Dorset

    I wish he would explain how we make money out of money. I’m looking at my retirement savings and wondering how to stop them being eroded.

    And what other models of Catilism are there? Lefties never bother to explain or flesh them out.

  10. I rather like the idea of catalism which is what obnoxious, adipose and lonely men in Ely turn to for company when their longing for human affection remains unrequited.

  11. Over at Snippa blog, commentator Graeme seems to get the great professor to unbend and show us what a statesman he is

  12. @napsjam
    Capitalism has been in it’s death throes since the eldest of the 6 Marx brothers wrote his amusing book. The past decade is just the latest & they are scheduled to continue until at least the late 23rd century.with options for run extensions into the 25th being discussed. (See Variety magazine)

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