Wednesday, April 15, 2009

How,when and why people became debt slaves and who benefitted ???

I have been told of a time when people could buy things and pay cash! Yes, apparently this is true. People could buy cars and pay cash. They didn't have to take out loans. They could buy houses and often times save the money to buy that house, yes save the money. (This could not have made the banks very happy.) Paying cash for a house or a car, unheard of at this time.

This magical time I am told was right after WW2 until about the late '70's. One earner and a slew of kids, how was this possible?

Fast Forward to now... different story completely!
How many earners per household, how many jobs held, to still be drowning in debt??

I heard this interview on Global Research News Hour, this man Richard Wolff, is an economics professor at the University of Massachusetts. He has a brief video available which demonstrates quite nicely how and why this happened. How people went from being able to comfortably earn a living wage to being worked to the bone just to get by.

And, who benefited from this?

This deprivation of living wages by business to the working class served to enrich and empower the big banks. Give a listen to this little talk on the economic crisis , the power of the banks and the lunacy of the "market".

Guns and Butter - April 8, 2009 at 1:00pm

Click to listen (or download)

I liked the coal miners dilemma-

A young girl asks her father, "Why is it so cold in the house?"

"We don't have any coal", he says.

"But why is there no coal?", she wants to know.

"Because I lost my job", he replies.

Still unsatisfied, she asks one more time—"And why did you lose your job?"

To which he answers, "Because there is too much coal".

It is alot of info, I know. What I like about all this info is the different perspectives presented.
This is what we need to hear, different points of views, different ideas.


  1. It's all very simple really. Comfortable people don't fight and die in needless wars. Poor desperate people do.

  2. Try US chemical spraying manitoba 1953, it aint rocket science

  3. hey silverfish, well that is true, the desperate are more willing to fight, and i think from what I have seen reported that is why more people have been signing up for the military in the US as of late.

    But the biggest benefactor has been the banks.

    Second big business.

    and ty, I was trying a number of things and did not try that one.

    stuff like mkulatra manitoba, the guy from the university, the university name, and was coming up with not to much.

  4. I recall visiting the states in the early seventies when the old man had a brief posting. We were all staggered by the size of people's homes and how everyone had a new car, two sometimes. Back then, we didn't know anybody who had a new car except for my Grandfather who'd bought his Holden in 1959.

    The Americans were keen to tell us that they'd done all this with credit. We shook our heads. Getting into debt was crazy, everyone knew that. We'd never done it, nor knew anyone who had.

    Ha! So much for that! Now Australians all have absurdly large houses, new cars and debt up the wazoo.

    It seems that between simple common sense and TV advertising, the TV wins.

  5. When you posted this I immediately thought of the Monty Python song "money".

    But really isn't money at all - in fact what we have isn't money - its debt notes. Money makes labour portable, money gives us the possibility of specializations in our livelihoods and gets us out of the mud and cold caves.

    Money lets some people build great things, what would happen if the movers and shakers went on strike ? Who is John Galt ?

    Its the secrecy the killed us. We allowed our governments to operate in secret. If not changing money into debt notes they would have found another way to oppress us, perhaps through religion.

  6. What I meant was this: Money is not the root of evil, secrecy is. The big secret now that is being exposed is that our money isn't real money - its debt notes. Secrecy is the darkness that is enveloping the planet.

    John Galt is a character in Ayn Rands "Atlas Shrugged". That book gives real insight into the ruling class mindset. All the characters are members of the ruling class.

  7. exactly doug:

    it isn't money, it is debt, the little video shows how wages, real wages stagnated around the late '70's so to live people took on first t more jobs, when that didn't work, they took on debt, lots of it.

    Hubby was talking to some older tradespeople, ones who are set to retire, so they are early to mid '60's they note that in that time frame they could buy a brand new car every couple of years and pay cash.
    Not so now on a tradesmans wage.
    The video shows at that time when business stop paying wages, productivity also rose, and the results was massive profits for them.
    Which lead into the 80's greed is good, era of acquisition.
    For corporations yes, but not for workers, workers took on more jobs and more debt. They could not buy a car, without a loan,

    The talk from Guns and Butter speaks of the way the "markets" are out of wack with what people actually need and the coal miners riddle explains that perfectly.

    I was listening to someone the other day and they said, when you pay off loans, mortgages etc., the "money" disappears for the banks.
    They hate that.
    They want you indebted.
    I said to my hubby, now that makes sense.

    If you are not indebt the "money" dries up, because the money is not based on what you actually have, it is based on what you owe.

    brilliant for banks and big business because you and I are the slaves (not literally)