Capital on Strike?

  • Posted by a hidden member.
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    Jul 18, 2010 3:51 PM GMT
    Capital, that thing that is used by corporations and individuals to create goods or services, has been accused of being on strike.

    Should Obama lock the bums up? And if so, does that include you and your use of your capital or should it only include those with over $1BB of capital?

    If we "lock up" those who hold capital on strike do we pretend we live in a democracy where freedom means individual determination/choice of how property is used or have we slipped into a totalitarian state?
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    Jul 18, 2010 6:31 PM GMT
    Capital isn't on strike. Capital is hesitant to enter the water, due to the 'sharks' known as 'unforeseeable business costs'.

    Capital is sitting on the side-lines, waiting for the next round of business-bashing to commence.
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    Jul 18, 2010 9:41 PM GMT
    Does money belong to the private sector or is it a public utility we're allowed to use?

    The reason capital is "on strike" is because businesses and individuals are insecure in the current economy. Having large amounts of capital in reserve is security. Why was Ford the only one of the "big 3" that didn't take government handouts? Because Ford had enough reserve.

    As an individual, I've made a few choices as a result of the economy. I want a new computer, an iPod, and to purchase a house. All three purchases are budgeted to occur this year. I've decided to wait on all of them because I prefer to have the money in reserve. What if I lose my job? With the threat of cap and trade hanging over the nation, the economy in my town could easily be destroyed if it passed. The result would be the school would need fewer teachers and housing prices would plummet.

    In a few years when I feel more secure, I will spend and so will businesses and other individuals. If the government starts forcing me or businesses to spend capital, what we will see is a lot of money actually leave the country. I'm too minor to do much, but the wealthy and the businesses are fully capable of doing it and they will.

    My own personal hope is that this recession might lead to a more responsible use of money. Irresponsibility with money was actually a big part of what led us to the recession in the first place.