After reading a book on Marx's Das Capital (not Das Capital itself), Marx states that when there is surplus capital some is returned to the capitalist employing labor and resources, some to the employees, and some invariably gets to middlemen (i.e. the service sector), thus reducing the amount of capital given to workers or reinvested as fixed capital.
And here's is prediction of banks and debt: "Owners of capital will stimulate the working class to buy more and more of expensive goods, houses and technology, pushing them to take more and more expensive credits, until their debt becomes unbearable. The unpaid debt will lead to bankruptcy of banks, which will have to be nationalized, and the State will have to take the road which will eventually lead to communism."
Soros talks about the world being in a 60 year mega cycle. Clearly he believes (whether he admits it or not) the same as Marx. In fact on Bloomberg recently he even goes to say that the financial system is collapsing under his own weight.
Clearly all of this is true about the US. With so little production of anything useful (they make a lot of cars apparently), there's nothing to skim, so it's been running on gas for a while. On the other hand we see China, the worlds factory, to lead the way out of the slump. Interesting times, especially to see Marxists winning versus Keynesians.
Schedule for Week of July 22, 2018
14 hours ago