Corvid-19 is actually eating the world

Corvid-19 is actually eating the world 150 150 CloudGovCo

There’s a phrase that software is eating the world but #Corvid19 has shown its financialisation that is killing us. Back in the day the morning business news used to report on jobs in the real economy but soon after deregulation of financial markets in the late 1970s the morning news started featuring the stock market. Media stopped reporting on employment and job figures.

The idea was that the West would shift to designing products and the East would make them. This was nonsense at the time because it was obvious that design expertise would eventually follow manufacturing, so now the West is generally de-industrialized and dependent on financial services. Mostly, we don’t know how to make stuff anymore.

Deregulation was led by UK Margaret Thatcher and USA Ronald Reagan. The neoliberal idea was that by freeing money from monetary controls global wealth would increase at the top and trickle down. Money was free to move around the world but workers were not. So jobs outsourced to the cheapest producing countries and, yes, the rich became the 1% like Michael Bloomberg with his insane accumulated wealth of more than $64 billion.

And now Corvid-19 is actually eating the world. It is exposing the financial bubbles and magical thinking that drive the stock market and cap the real opportunities and wages of workers trapped in a gig economy.

Here are a few ideas of what is needed to restore a healthy economy:

  • Ban short selling, which is purely speculative.
  • Ban automatic machine trades which artificially create chaos.
  • Restrict stock buy-backs by executives.
  • Tax large financial transactions.
  • Tax wealth at the source.
  • Provide a universal minimum income to transfer wealth from the 1%.
  • Provide universal health care.
  • Stop corporate welfare.
  • Develop industrial policies so manufacturing is restored.
  • Stop privatization of public goods and public-private projects.
  • Ban the use of economic sanctions