Volatility

March 20, 2009

Globalization Brief

Filed under: Corporatism, Globalization — Tags: , , , — Russ @ 9:16 am

What does it mean when we are told globalization is good for “the economy”?

Globalization is about, among other things, the convergence of all wages to the subsistence minimum, and as often as possible even below this. It has driven down real wages everywhere, including in the ostensible “high-wage” places like America. This is part of the nefarious “race to the bottom” which is the nihilistic core of globalism.

The real point of globalism is to eradicate nation-based capitalism and replace it with an international neo-feudalist rentier racket, where this small elite would not only maximize profits but monopolize all real assets, while the people everywhere are reduced to serfdom.

This has to be the real end goal since “consumerism” is clearly not sustainable, especially as you systematically impoverish your customer base. If as Walmart you come into a vicinity and destroy x middle class jobs but “create” x + y non-living wage “greeter associate” jobs (and this is precisely what globalist cadres mean when they claim globalism creates job growth), well, how long can this process continue? Walmart has lower prices, but it drives down consumer wages. It’s another downward spiral which can’t be sustained. Another contradiction of capitalism.

The process is most advanced in the non-industrial countries, but is also advancing everywhere else. 

Globalization does not benefit any aggregate, and it does not benefit any nation.

The fact is, there is no such thing as a “nation”. There is no such thing as America, for example. Of course, TPTB want people to believe in such fraudulent mirages, since this is how they obscure the reality of class struggle.

But the fact is, this struggle is the only socioeconomic reality. A large country is by definition a free-fire zone of conflicting interests. While I won’t go here into whether or not the struggle necessarily has to be zero-sum under conditions of economic growth and resource plenty, it is indisputable that in our brave new world of resource constraint and the end of growth, where everywhere we now run up against Malthusian limits, the fight will now be over a shrinking pie, and from here on to the end of history it can never be anything other than zero sum class war.

The globalists understand this perfectly. As always, the elite has class consciousness, the people mostly do not. That’s always been the secret of their success. That’s why over the past several decades they’ve orchestrated this world-historical shift from conventional capitalism to a rentier economy of corporatism, financialization, neo-feudalism, and asset monopoly (land, oil, infrastructure). The process is now in its endgame.

(For anyone who doubts this, who believes in the good faith of globalists, here’s a question. If they were ever really serious about “comparative advantage”, which concept of course incorporates regional inefficiencies which allegedly add up to a more efficient whole, then why wasn’t this ever enshrined in practice? In practice, no one ever wanted to allow anyone a comparative advantage where it was possible for the handful of multinationals to seek absolute advantage.

At least in practice globalization has been literally totalitarian in seeking the hegemony of rentier finance and multinational corporatism, through the mechanisms of the dollar as reserve currency, what is basically the thuggery of the World Bank and the IMF, and the “race to the bottom”.)

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