X

Vital cause of deeper downturn in US economy

Financial scientists trained in a money-and-money-only way all over the world have been searching causes behind the latest financial crisis affecting US and world economy. But they are puzzled. The US Administration, the chief proponent of free market economy, has shown its readiness even to nationalize several bankrupt banks. The question looks appealing for the champions of privatization and market ideology.

Mainstream US media have highlighted the existing US financial crisis as a deeper economic downturn not only for the US but also for the developing countries dependent on US and European loan and grant packages.

 

It is true that share market gets blows in such a situation because human psychology flutters when fear chemicals in the gray matter become active. 

In a state of fear, investors hesitate to invest. Less investment means less speed in economic activities. Low economic activities result in lower income generation as well as employment rates.

This earth is not anybody’s private property. Yet, why are some business tycoons developing their vulpine greed to engulf it?

But the solution does not lie there in the financial statistics and formulae. When things work, so do statistics and formulae. When things do not work, one needs to look even beyond the professional format.

 

 

Theories definitely provide certain tracks for financial players. Unfortunately, this is not enough.

The responsibility of coping with the deepening financial crisis in the US and the rest of the world does not solely lie with the financial sector. Indeed, it is a multiple responsibility. Especially, political scientists and financial scientists need to sit together and travel into human psychology for at least smelling the root behind the existing financial crisis.

Despite the possibility of many secondary factors, the primary cause of the current financial crisis must be human greed.

When mountains of money go into individual pockets, institutions become poor.

Greed generates greed. Maddened greed can even criminalize thoughts and behaviors. No need to say more. Just look at the starving world and a few billionaires. Look at the political and socio-economic disparity and the ever-dominant ruling forces that specialize in war and robbery business in the name of democracy and human rights.

Can one measure the size and weight of the piles of money spent on advocacy instead of enabling people to be self-footed?

 

Why are certain richest commercial institutions shown bankrupt after a certain period? Why do institutions become empty while the individuals running them become some of the richest?

 

 

 

Some topics to consider: Don’t make politics a tool of profiteers. Dedicate it to people’s overall wellbeing. Let business be part of public life. Use people-oriented laws to control criminal greed for money.

 

 

Justin A: Learn more about me here:



http://www.google.com/profiles/auciello
Related Post