The deeper reasons for supporting Corbynomics go far beyond re-nationalisation

It is curious that the main charge thrown against Jeremy Corbyn – apart from all the bluster and hysteria – is that his policies lack ‘economic credibility’.   The assumption presumably is that the economic policies pursued by UK governments, both Labour and Tory, as well as by the EU, were sufficiently credible and rewarding as to justify or even necessitate their continuing to be followed.   Even a second’s thought shows that that is an absurd proposition.   The business model of free market de-regulated capitalism which has been ruthlessly taken to extremes over the last 3 decades is patently bust.   It led inexorably to the biggest global breakdown for nearly a century, followed by the longest recession and the slowest recovery since the 1870s – indeed a secular stagnation with still no recovery in sight.

We were told that the markets were self-regulating and that the role of government was to get out of the way.   It turned out that the opposite was true, and that the economic system was only kept going at all by the constant drip-feed of government-initiated QE.   We were told that the dynamics of capitalism would self-generate the levels of demand to keep the system constantly expanding.   It turned out that growth was only achieved, if at all, by stacking up debt to prodigious levels, opening the way to the next financial crisis when the debt bubble imploded.  We were told that giving a free hand to investors would ensure the maximum efficiency in the allocation of capital.   What actually happened is that capital flocked to emerging markets which offered the best return, then flowed out again equally fast as soon as Western financial conditions improved, leaving emerging markets badly weakened and exporting deflation to the West.

The cataclysm of 2007-9 was a lesson that international policy co-operation was needed to increase global demand.   It was a lesson that higher investment in infrastructure and skills was needed to increase productivity.   It was a lesson that an economic model based on widening inequality was undermining the essential requirements of a successful economic system.   It was a lesson that uncontrolled capital flows are both dangerous and counter-productive.   It is clear that none of these lessons were learnt.   Perhaps Jeremy Corbyn’s greatest contribution is that he is not accepting the status quo which is rotten: an over-sized financial sector, a neglected manufacturing industry, inadequate investment, flat productivity, huge and growing balance of payments deficits, ballooning inequality, and an economy mired in enormous permanent debt.   He deserves credit for arguing that the fundamentals have got to be changed; it’s a debate we desperately need.

6 thoughts on “The deeper reasons for supporting Corbynomics go far beyond re-nationalisation

  1. Strange is it not, that following Mr Corbyns assertion that should the BoE fail to cooperate with him in implementing his policies, he will sack the manager, Mr Carney has called a forum to debate a QE initiative that would “help the people”.

    Call me cynical, but Mark Carney, looking at his “print for the buddies activities” in Canada hardly seems the type do anything at all for “the people”. As I have said before, Jail time is required: And not just for the Banking Mafia. There is the GMO conspiracy, the Vaccine crimes, GeoEngineering crimes (a peer reviewed scientific report has made a class action possible; Attorneys are discussing this), Fluoride in water, food, toothpaste etc criminality, Fracking, mass unlawful evictions, and on and on. It cannot all happen at once of course, but a start must be made, or nothing Mr Corbyn does will mean a thing: It is not just about the economy (whose economy is it anyway?), but a return to accountability, including handing control of policing back to the people.

  2. Whot happened hum well the peasants are waking up to the fact theyd been robbed blind by our politicians allowing banksters to defraud us and they still do il say it again the peasants paid back whot the rich lost its that simples yet on it goes jc talk of firstly taking back whot was sold is solid has it brings back control to the peoples but austerity isnt for those one percent its the ninty nine percent who aint rich suffered this enough put the system back to control of the government has the banks and companies cannot be trusted too has ttip shows us they want control of every country so they can bleed it dry lovely people nah just greedie ones who need to be put back in their places jc talking sense has many now return to a party who inreality were little tories jeff3

  3. Harry you are correct a failed banksters from canada allowed over here to help ossie in plot to keep it has it his hidden away from us whilst they fleece the peasants if there is justice to be done this government’s greed needs to be held accountable for whot they do judge by us twelve peasants who I think would have them all jailed for most of them have committed fraudulent trading by awarding these vast contrast to companies they are part of jeff3

  4. Jeffery, perhaps it is time forthe people of England to convene a Grand Jury. It seems certain from watching the “Ferrets in a sack” fighting to see who might be able to stop the first proper political leader for decades, that any proper fix won’t come from the house of lies.

    Though the BCG has started a Grand Jury project in Telford I believe.

    You know Jeffery the criminality has many roots: Of which one of the worst from (1931/3?) was that the people back then were pushed from the private, into the public against their will. Without checking I believe the bill no 227 was a part of this. The conspiracy by the brit establishment to force the FIAT (bankers’ free lunch) onto us all, to enable capital expansion at an unprecedented scale largely caused by GovCorp borrowing which the people, now forced into the public domain were made liable for. A criminal scam of massive proportions.

    Looking at the gross abuse of state power, and the treason against the people, and the absolute silence of the media regarding the worldwide conspiracy at the “root” of same I am astonished that people have voted obediently in the General Elections for more of the same. There exist organisations that are trying to bring change in any way that they can: The WeRe Bank is trying to use common law to break the stranglehold (I think): I am watching with interest the difficulties people are having with their banks. But Lord Dennings Rule thwarts them.

    If people get confused about the world and how it presents, lokk to the 1923 birth of the dialectic at the Frankfurt School.

    I list here the main points finessed to aid in bringing about “Totalitarian Collectivism” (THE EU).

    The Frankfurt school recommended (amongst other things):

    the creation of racism offences
    continual change to create confusion
    the teaching of sex and homosexuality to children
    the undermining of schools and teachers’ authority
    huge immigration to destroy national identity
    the promotion of excessive drinking
    emptying the churches
    an unreliable legal system with bias against the victim of crime
    dependency on the state or state benefits
    control and dumbing down of media
    encouraging the breakdown of the family

    There is more: Here is a read:

    http://www.batr.org/totalitariancollectivism/082515.html

  5. Harry brilliant eye opener, many thanks, I will read this link with great interest, I always thought there is a lot more behind the present form of governance.

    The main points you listed are breathtaking it’s actually happening under our noses, the control of the media is nothing more than criminal in my view.

  6. Corbynomics would seem to be the solution to many of our problems. Ann Pettifor on Newsnight said there would be no problem raising £120bn just by tackling tax evasion and making corporations pay the right amounts of tax on money earned here in the UK. 41 top economists have also signed a letter in support of Jeremy Corbyn’s economic proposals.

    Naturally, all the press (and also Yvette Cooper) can concentrate on is QE for people instead of banks. However, instead of explaining that this involves investing in projects that would create jobs and stimulate the economy, all they can say that it involves banks printing money, thus leaving ordinary people with a very skewed impression of Mr Corbyn’s ideas. So here we go again.

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