Monday, May 25, 2009

KRUGMAN SEES AMERICAN DOOMSDAY IN CALIFORNIA...

DYSFUNCTIONAL DEMOCRACY CAN BE WORSE THAN AUTOCRACY...

THIS IS THE LESSON FROM THE PARTITION OF POLAND IN THE 1770'S...SEE BELOW.

DEMOCRACIES CAN RIGHT THEMSELVES...AT THE LAST MINUTE...OCCASIONALLY...

BUT SOMETIMES OUTSIDE FORCES PREVENT THAT...

RIGHT NOW...THE US IS "PAYING TRIBUTE" TO THE BANK OF CHINA...BECAUSE OF THE GREED AND LOOTING OF THE FREE TRADERS ON WALL STREET...

AND OUR CURRENT NEED TO KOW-TOW TO INTERNATIONAL CAPITAL....BECAUSE OF THE 'DE-INDUSTRIALIZATION' OF THE US ECONOMY...AND OUR RESULTING TOXIC AND EVENTUALLY FATAL STRUCTURAL TRADE DEFICITS.

THE ROLE THAT CHINA IS PLAYING IN THE AMERICAN DEMOCRACY... IS NOT DISSIMILAR FROM THE ROLE RUSSIA, AUSTRIA AND PRUSSIA PLAYED IN THE POLISH DEMOCRACY OF THE 1770'S...

THE POINT IS SIMPLY THIS:

DEMOCRACIES FAIL...

IN FACT HISTORICALLY THEY FAIL QUITE OFTEN...ESPECIALLY WHEN THE DEMOCRATIC ELITES START TO CONFUSE THEIR OWN SELF-INTEREST WITH THE INTERESTS OF THE STATE...

SO AMERICA IS ON VERY SHAKY GROUND RIGHT NOW...

AND THOSE WHO THINK "IT CAN'T HAPPEN HERE" ARE ON VERY THIN ICE...