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Larry Kudlow struggles to characterize the new blend of capitalism that has the government...

Larry Kudlow struggles to characterize the new blend of capitalism that has the government asserting regulatory control over key sectors of the economy. State capitalism? Crony capitalism? One thing's for sure: it ain't a free market.
Comments (8)
  • Anwar Bhamla
    , contributor
    Comments (96) | Send Message
     
    Larry Kudlow is nothing more than a right wing shill. Why are his thoughts on an economics/business site?
    22 Apr 2009, 12:12 PM Reply Like
  • User 318149
    , contributor
    Comment (1) | Send Message
     
    Perhaps call it 'Corporate Capitalism,' currently run by the Goldman board?...
    22 Apr 2009, 12:21 PM Reply Like
  • Wemyss
    , contributor
    Comments (17) | Send Message
     
    Im an enormous Kudlow fan but on this point Larry needs to be fair if it werent for the enormous failures that caused systemic securitization shutdown and credit disasters from LEH and BS going under last year, the Govt wouldnt have to be as involved. Its my opinion they dont want to be involved any more than they have to and I expect to see them tap the brakes on this direction where they can.
    22 Apr 2009, 12:26 PM Reply Like
  • bricki
    , contributor
    Comments (1099) | Send Message
     
    Need to be a bit more precise on the definition of capitalism here. Capitalism = private ownership of means of production. It really doesn't require free markets, however it does work best if the markets are as free as possible.

     

    Free Market = property rights are voluntarily exchanged at a price arranged solely by the mutual consent of sellers and buyers. The opposite is a "Command Economy".

     

    Now if you were going to complain about government bailouts and resulting owning a stake in the company being bailed out not being capitalism then I'd be 100% in agreement that this is socialism. Very bad because it is government doing capital allocation, which it stinks at.

     

    So we are getting BOTH Socialism and a Command Economy. That old pendulum has swung so far over to the left I can't see it any more.

     

    22 Apr 2009, 12:27 PM Reply Like
  • Jake Huneycutt
    , contributor
    Comments (1359) | Send Message
     
    Neo-mercantilism.

     

    No one wants to use the term because mercantilistic philosophies were protectionist and people are under the illusion that the "free trade" of today is analogous to the "free trade" of the 18th Century. In reality, however, the American government has simply shifted to a new form of protectionism.

     

    Free trade didn't benefit the 18th and 19th Century industrialists in America and Europe because they wanted to be able to build up their businesses while having a readymade domestic demand source for their goods. Tariffs created this environment at the time.

     

    The situation is very different now. The big companies have already established themselves; they simply want to cut their costs in order to be more competitive. "Free trade" allows them to exploit the massive wage disparities between the Western world and developing nations and hence, lower their prices and increase demand for their goods. Hence, modern "free trade" agreements have been protectionist, as well --- just in a different fashion.

     

    The key characterist of mercantilism is that government and big business act in concert with one another. That's exactly what we have now. It might look like a widgeon instead of a mallard, but it's still a duck. This is an abandonment of Smith's Liberalism and a reversion back to the "state capitalism" of mercantilism.
    22 Apr 2009, 12:40 PM Reply Like
  • Storm Cat
    , contributor
    Comments (96) | Send Message
     
    ... and you Sir fail to understand the importance of objectively reading and debating the writings of those who do not walk in lockstep with your beliefs. Your post would be far more powerful if you critiqued Kudlow's article based on the merits of his argument rather than posting a knee-jerk comment that paints you as a left wing elitist (which you may or may not be) and prompts many of us to dismiss you outright.

     

    On Apr 22 12:12 PM Anwar Bhamla wrote:

     

    > Larry Kudlow is nothing more than a right wing shill. Why are his
    > thoughts on an economics/business site?
    22 Apr 2009, 12:43 PM Reply Like
  • William Cowie
    , contributor
    Comments (405) | Send Message
     
    The free market died with John D. Rockefeller and the ferocious monopolists. Since then, government has taken the role of protecting the voters from the excess of corporate greed. Unfortunately, in the last few years, they've turned on us and joined the greedy bunch. It doesn't matter which party they claim to be, it's not us who they care for, it's Wall Street.
    Goldman = 100 cents on the dollar.
    GM: lucky if they get 20.

     

    23 Apr 2009, 12:51 AM Reply Like
  • trotsky
    , contributor
    Comments (3) | Send Message
     
    By yet again forcing the actual progressive, Kucinich, to suffer a huge defeat in the Primary, the corporateDemocrat rulers gave us 4x more years of so-called representation whose claim that they stand up for the working poor strains credulity, surely. To wit: Larry Summers, who is among the most to blame for dismantling Glass-Stegal near the end of ClintonGore, which caused the meltdown.
    If anyone thinks the media isnt rediculously slanted to serve the Right (gee let's see.. megaconglomerate media corporations are run by and for the rich, last I checked?).. consider that the following economics analysis was heard over a Pacifica station, of which there are 5, which one could compare to the Limbaugh jive network, weighing in at 5000 or so.

     

    Econ Professor MIchael Hudson, who drafted the Kucinich economic plan, appearing again this week on KPFA Berkeley:
    (a MUST-hear)
    kpfa.org/archive/id/50059

     

    And for a very entertaining nightly take on issues of the day which has been thoroughly banned from mass-distribution due to its being genuinely left-ish, stream or tune via SiriusXM (or a terrestrial station, if youre among the very lucky few in range of one)
    The Mike Malloy Show, which you can find by clicking mikemalloy.com
    (he takes call-ins, so be ready to argue your case to us all, live on radio.)

     

    Prosper!

     

    "Fascism should more properly be called corporatism because it is the merger of state and corporate power." - Benito Mussolini.
    (source= www.informationclearin... aka "It's the Corporate State, Stupid" )
    23 Apr 2009, 05:57 PM Reply Like
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