Red Ed is Right?

[aka Calum Da Jazbo]

we need to be a high wage economy

[Serial_Apologist]

we need to be a high wage economy

I'm sorry to say not.

When it comes to understanding the logic of capitalism, business and its right wing support base win hands down every time. Chang argues that Germany has proved the opposite by investing in high wages at the same time as in R&D, forgetting that W German industry's effective liquidation in WW2 allowed reconstruction to proceed using the latest most productive technology, thus placing W Germany competitively at the forefront. If all western countries had done similar Germany would have enjoyed no advantage - gaining the latter was strategic politically. Even Keynsianism's initial postwar boost could not in the long term prevent those economies espousing demand-management policies, such as Britain's, losing out in the competitive battle where investers win out where resources including labour are cheapest. Shareholders not "satisfied" with decent returns on investments in home-based companies will just turn to shyster firms in countries without labour protection laws or unions, or otherwise in property. Whether we like it or not, "ordinary people" see unavoidable necessity in giving disproportionate salaries and perks to ceo's: who else, they argue, will take the job if they'aren't paid "competitively"? and in any case one person on £x million per annum is still less of a hit on a firm's profitability than paying the rest of a workforce. To those that claim such a pov invalidates all struggles for higher wages and better conditions, I say that unless such struggles are linked to getting rid of capitalism worldwide, what is given will be taken away and more, the system being inherently unstable and unsustainable. Making hay while the sun shines is deeply etched in working class collective consciousness, howevermuch we are chided for greed, human weakness and self-pricing out of markets; working class mythology blames working class people, whose foibles are known, while otoh we know little or nothing of the rich apart from the odd expose of entertainment value; happiness and security are constantly pushed as to be found in material riches.

[aka Calum Da Jazbo]

i find little to convince me in your arguments S_A; the mitttelstat was and is an incredible wealth creating foundation of the German economy which did not have to feed the succubus of EC1 ... and many of which were local community oriented businesses paying their friends and neighbours decent wages ... we do need a high wage economy

i see that David Cameron has announced it was Plan A all along and his kith and kin never want to pay tax and always want to take a turn on a deal ...

we also need to redefine and reclaim the public sector and its role in our economic well being .. because it has been and is being nicked [bbc edit that should be privatised] gangsterism rules

[eighthobstruction]

Yes it's a very long list....(anyone else find the deferential R4: The Bottom Line....the most annoying programme on radio).....

[aka Calum Da Jazbo]

Perhaps the real message of Cameron's speech is then the following? If austerity doesn't work, just pump up the assets of those who matter and pass the cost on to those who don't through spending cuts since they will not vote for you anyway. Then tell tall tales about "out of control" spending habits, despite the evidence, while assiduously avoiding taxing your constituents. This used to be called class politics. Maybe it will once again be recognised for what it really is, even without the gold chains and the throne in the room as a clue for the uninitiated.

excellent piece on DC's class politics

[eighthobstruction]

http://www.imdb.com/title/tt0070723/

"a fundamental cultural change in our country".....Riots everyday instead of every 10 years???....

[Beef Oven!]

http://www.imdb.com/title/tt0070723/

"a fundamental cultural change in our country".....Riots everyday instead of every 10 years???....

What, like France?

[ahinton]

If indeed Red Ed is "right", should he just be - er - "left"?...