The more likely root cause of our economy's problems? (updated)

[Deja Q]

:popcorn: :tinfoilhat:

Addendum: Don't look now: Here comes the recession

[yella_dawg]

1. Our economic system is a ponzi scheme.

It's beginning to show.

[bemildred]

4. Ditto that, Dawg. Right on the button.

Our economy is being driven forward by a series of "investment" bubbles.

[sendero]

5. It is a ponzi scheme that works ..

.. pretty well as long as it is carefully managed.

"Carefully managed" is the exact opposite of what has happened the last 7 years. The reality of what we are facing is just beginning to soak into the heads of the folks who run things, and it hasn't begun to trickle down to the average American yet. Once it FINALLY does, things are going to REALLY get interesting.

[begin_within]

2. Greed

Fear and greed are the only forces in our economic system.

[EV_Ares]

3. The root cause is CEOs and Wall Street, energy certainly has an

effect as well. However, with CEOs running the companies the way they do, paying themselves millions and the greed and corruption at Wall Street, a lot of those issues are beginning to take effect. When I say running the companies the way they do, incompetence, for example, look at the Merrill Lynch CEO, cost the company billions and gets rewarded milliions as he goes out the door, how many times have you seen that play out, the same with the Home Depot CEO, got millions for his incompetence, Enron, etc. Outsourcing jobs, NAFTA, fall of the dollar, it all plays a part and last but not least, 8 years of the Bush Administration.

I will be interested in Omaha Steve's take on this.

[TheFarseer]

6. both, but more offshoring

offshoring is just part of the poor/shortsighted economic planning plaguing our country. Offshoring also hurts our ability to balance the budget. people making $30,000 at a temp job contribute one hell of alot less to the tax base and suck more out of the budget in social services compared to someone in manufacturing or IT making $60,000 or more. Really, I think the budget deficit is as big of a problem also. With good economic planning, we would be prepared for high energy prices, but no one is looking further ahead than the end of the quarter.

[baldguy]

7. Corporate personhood.

Off shoring and exclusive reliance on one source of energy are SYMPTOMS of the dominance of corporate power in our government & economy.

[The Velveteen Ocelot]

8. Privatization, outsourcing, offshoring, the destruction of the unions

and the collapse of the middle class -- all of which are the means to the intended goal of the corporatists: cheap labor, resulting in vast profits for a few and shit for the rest of us.

[Tierra_y_Libertad]

9. Capitalism. Them durn furriners are better at it than we are.

The irony is that we promoted capitalism and they became better at it than the teacher.