What went wrong with capitalism, and who’s to blame? | The News Agents

[@robbieshand6139]

GarysEconomics has a great take on this, he explained that the reason this country is so at the mercy of financial markets is because we sold all our essential resources to the international wealthy, and if we don't want to be at the mercy of financial markets any longer, our plan can no longer be to just rent our resources back. Who is to blame? Thatcher and Reagan instituted the neo-liberal economic strategy we have been living with for the last 40 years, which led to a collapse of the post-war economic consensus and began the ever-widening gap between rich and poor and the slow death of the middle-class. Neo-liberalism is now entering its end-game, where working people can no longer afford to pay rent while some obscenely wealthy individuals own as much as small countries. If this continues, it will lead to either war or revolution. Perhaps that's the ultimate end of all capitalistic societies: it's a mistake to think that capitalism has gone wrong, the system is working as it is intended to. The problem is the capitalists have taken over the political systems of the West as well.

[@MrGavinBoyd]

Protect your resources! Instead the government has sold Royal Mail to a Czech billionaire. Privatisation is a scam. We’ve had Thatcherism since 1979 which serves the interests of the wealthy. The problem with Thatcherism is that you eventually run out of assets like Thames Water to sell to foreign investors so that they can rip off British consumers. 1. Reduce inequality by taxing the asset wealth of the rich. 2. Stop selling British assets and British companies to foreign control.

[@Rob-qn6od]

Exactly.

[@stevedavy2878]

Look no further than Margaret Thatcher

[@SouthendLad600]

If you want yet another perspective have a look for Mark Blyth. Either his lectures on YT or his book Angrnomics.

[@keithdavo]

🎯

[@localshaman]

"What went wrong with capitalism?" - Nothing. It's working exactly as intended (And that's the problem).

[@haakontangvald-pedersen8374]

You're not really listening to this podcast, are you? Capitalism metastasing to giant (private or state) monopolies are no longer capitalism. Free, fair and broad competition is the heart of the 'invisible hand' economics of Adam Smith.

[@Rob-qn6od]

Exactly.

[@originalbadboy32]

​@@haakontangvald-pedersen8374it depends on which way you look at it. Capitalism in its truest form should work . But it doesn't because human beings are idiots and greedy. So technically this is the endgame of capitalism and it always was going to end up like this. And that's the same for communism as well btw. The game isnt the issue , it's the players.

[@Rob-qn6od]

​@@haakontangvald-pedersen8374That's all bs.

[@rickatatastan2695]

@@haakontangvald-pedersen8374 Orwell warned us that monopoly *IS* the inevitability of unfettered capitalism. For the record, since you mention him, Adam Smith also wrote the Theory of Moral Sentiments as well as his "invisible hand" - please don't misrepresent him as those who created an institute in his name do. He would be turning in his grave.

[@Shaggy-839two]

Bailing out the banks was the last straw. A proper capitalist economy would have let the market decide.

[@RoyWhearty]

I was a capitalist, when I was a young man, but then the total destruction of our world, in order to amass more, and the chaotic exploitation of our resources began to make no sense

[@terencefield3204]

So you are an emotional ignoramus. Who knew.

[@liarbrice4772]

The problem with Capitalism is Capitalists eventually run out of resources to steal and sell to each other while bailing one another out with working class wealth creator's money. They never run out of (poor) people to blame for the crises Capitalism creates and exacerbates, however. Here's Paul Johnson of the IFS, an indoctrinated champion of "austerity" (the most deliberately costly and counter-productive misnomer since the wars "on" terror, drugs and poverty) to talk us through it.

[@curtistim]

All those major corporations whose core staff are subsidised by income support

[@jamesscurr571]

What went wrong with Capitalism ?. GREEEEEED.

[@Rob-qn6od]

Crapitalism is greed.

[@laxeystu8096]

Why was growth higher in the 80s and 90s than it is now? I don't understand why we can't return to the economy of those decades which worked better

[@Rob-qn6od]

@laxeystu8096 They didn't. Next!

[@oldschool3670]

We shouldn't profit off anything that is necessary to live

[@benw582]

'Necessary' is very vague though. Who defines what is 'necessary'? Presumably that include food? Housing? Electricity? Water? Travel?

[@strandedstarfish]

@@benw582 If you're incapable of defining it that's OK, there are plenty of adults around that will define it, vague or not. In fact, since you obviously don't want the job, I'll do it, I'll be the standard by which necessary is judged by. There you go. Problem solved. Took less than 10 seconds.

[@benw582]

@@strandedstarfish You seemed to be making the beginning of an interesting point and then finished with a troll. I’m not arguing against the original idea, I’m playing devil’s advocate to try and understand it better.

[@paulembleton1733]

Aside from defining necessary, and indeed profit, who’s going to provide the necessary things if they can not profit from it? Necessary I think could be usefully defined. But it will need constant redefinition and cases where necessary depends on the person. These things are currently accounted for through taxation and benefits and it seems to generally work. Profit is income albeit minus costs. So it’s about defining how much someone can earn. Not practical. And we could apply the necessary issue here: what does it require for a person to successfully run a business or organisation that also makes a living for its workers. Do they need a very big house, or could they manage if they lived on Coronation street?

[@oldschool3670]

@paulembleton1733 what are you doing?

[@GeoffV-k1h]

Borrowing rates for the UK bonds are significantly higher than our European neighbours and have been for some time. Another example of the Brexit Bonus.

[@Shaggy-839two]

You, the media, are to blame. For being co-opted by the big buisness and politicians and not not calling them out. Especially the Tory press.

[@mattyr40]

Not just conservatories media. The left has been obsessed with identity politics rather than really holding this capitalist model to account.

[@p-money33]

We’ve lived through generations of managed decline by those who only care about cashing in on their position of influence no matter the cost. They are fed by a cohort of sycophants who know better but are waiting their turn to fill their boots. Until incentives and taxation are meaningfully changed, we’ll get the same results

[@swarming1092]

It's not decades. Britain was doing pretty well up until the Global Financial Crisis of 2008. Then our economy fell off a cliff and has never recovered, unlike other Western countries.

[@p-money33]

@ I hear you but the GFC was nearly 2 decades ago. But I'd argue it started in the Thatcher era of deregulation and selling off our key nationalised industries

[@mikewallace1723]

And Brexit? Self inflicted harm?

[@BernardMorrey]

Who is to blame? Those politicians who opened the floodgates to an avaricious economic system and then fail to rein it back in even though they all saw the vast majority of their citizens get poorer, in real terms. Those who allowed public taxes to prop up failing private institutions

[@Nomoreanons]

Oooh, nice jumper Lewis!

[@airingcupboard]

Fun analysis, but what about 2008 itself? The main issue was the government didn't come up with a credible plan for getting the bailout money back. Pumping money in and getting negligible growth is dumb, but capitalism failed first in 2008 and now we have mega corporations who pay no tax at all. Likewise, the price of assets has grown hugely, while earnings are hit by inflation. Assets should get taxed more (given they grow) and likewise the massive multinational companies.

[@glostergloster6945]

Yep, Capitalism died in 2008.

[@richardhuckle5715]

Too much concentration of wealth. Countries need to implement tax measures to encourage those holding wealth to release some of it.

[@joycecaruth1645]

Thank you for shedding light and clarity on politics and how to fix some of the mess we're in.x

[@coolhandluke-123]

He is right. The bottom line (and it’s been the bottom line in the UK for 20 years) is the lunacy and madness of our housing market. We need to destroy NIMBYism, scrap stamp duty, reform council taxation, start looking at Land Value taxation, make empty homes illegal, and build millions of new houses. And this all needs doing with emergency measures. It’s desperately urgent.

[@RobertThomson-y4m]

Have we got too many people in the country? Why build over our country? Ecological madness.

[@benw582]

@@RobertThomson-y4m What is your suggestion? Mass deportations? And then what? We have a cap on the maximum number of people allowed to be in the country at any one time? What happens if the birth rate increases and we hit the cap? Does that mean people are no longer allowed to have children? You're asking questions but there isn't anything there in the way of a solution.

[@hg82met]

@@RobertThomson-y4m Who's going to look after the ageing population, for example? The care sector, the hospitality sector, healthcare sector, etc. - they all need people to fill the vacancies

[@geraldbutler5484]

UK’s housing problems are similar in all Western countries. Since Reagan and Thatcher social housing has been downgraded and the consequences are hugely expensive housing and rents. Inequality is rampant and accelerating and will cause social unrest if governments can’t or will not enact radical change.

[@rickatatastan2695]

"make empty homes illegal" sounds fun. How do you determine whether something is a home or, for example an office or a repository or a storage unit? That aside, I like your measures. Ofc building houses will cause issues when the population inevitably declines, but that's something we can look at later. I like house-building because it means economic activity increases, too. I still prefer my idea that nobody should be able to own more houses than the king has official residences. That would really limit (but not end) the landlordism/rentiership that's taken hold.

[@gouledismail1776]

They need to raise revenue, they need to increase taxes on those that can afford it of which there are many!

[@Ste2023]

Private Equity - Greed . Reliance on banking - money laundering = money offshore No investment in regions .

[@charmainepriestman915]

Affordable housing No more bailouts Less government interference Excellent advice!!

[@MrNiuj]

This is THE issue. Keep it up Lewis.

[@chrismoore7700]

Nooo!!! No way!!! Really?? Wow!! How did you guys come to this incredible realisation?!?

[@airlinephoto]

Lewis... that jumper. No brothers, no. Love the show

[@HDY2024]

Well the UK has been dependent on the financial sector and immigration for growth. We didn’t invest in innovation for decades and now the rest of the economy is shrinking faster than immigration and FS can keep up. The decline has been due to easy growth successive governments .

[@sunny96789]

The indian dude talks a lot of sense, time to get rid of all the deadwood in the financial system and get rid of all those deadwood 20% of companies that exist in the market currently. Also prodictivity has to improve through AI. Governements should not agree to bailouts that easily to keep those companies from over spending. Also benefits sadly has to be reduced, the current levels are just not sustainable.

[@JAGRAFX]

"Capitalism" without compassion and/or a sense of citizenship is, or eventually will become, "CRONYISM." The middle class is actually a fairly recent invention; and most would agree that the largest degree of economic sucess of the last one-hundred years has been in India and China; countries who brought billions of people into the middle class. Of late, corporate "citizenship" means how much are we going to give to which candidate and/or special interest group; leaving out subjects like that new basketball court for the local kids and other projects that actually connect the corporate guys to the roots of their community. If you make M&M's or lightbulbs; your product community cohort is pretty broad. Whatever the height or depth of your corporate larger community: start by thinking about caring about those folks and find out who they are. THEY, after all, are the source of your power; not the mistaken idea of owning someone in some legislative body that's going to get you a tax cut. That and many other cuts is not something you would wrought on any neighbor if it were put to that as a daily reminder.

[@smoozerish]

Tories left an irreparable mess behind them that simply can not be fixed. Brexit was the final nail in the coffin.

[@graemethompson3169]

Greed and a post truth society.

[@ErinStephanie-mf2qk]

Marxism before it was anything, was a methodology - historical dialectical materialism - providing a robust foundation to understand social phenomena. It was not an ideology. In fact Marx was scathing of utopian ideas of socialism. Besides Das Kapital, could have easily written as a bourgeoisie treatise, on explaining the inner workings and contradictions of capitalism. In fact, after 2008, experienced an increase in sales, being purchased by redundant city traders, trying to figure out where it all went wrong. So one of the biggest myths pushed by bourgeois journalists and academics, and followed by more naive and less read self declared Marxists, was the Marx was a pure anti capitalist, driven by nothing other than moral outrage and envy. Overlooking he acknowledged capitalism was better than what went before, but like everything before, will be displaced by something else.

[@davidh3205]

Lewis please please please get Gary Stevenson on with regards to this question. He has been right about this every single year since 2008, and that is evidenced by his trading, every single year.

[@damianleah6744]

What went wrong with capitalism? Unadulterated greed.

[@Celestialrob]

Awesome sweater Lewis! Thanks for this as I'm working on a theory that we need a new economic model as the first two (communism and capitalism) have completely failed the people.

[@olibirkett331]

Corporatism. Google for descriptions of the way other than capitalism or communism.

[@tomsmith6882]

This channel, with its pair of big names at the top of the ticket, only getting to 94k followers is very satisfying. They thought reading out other peoples opinions while advice was given to them in an earpiece by a huge team meant they were geniuses. It did not

[@Celestialrob]

Lewis, do you have a website page with recommended books?

[@andrewfanning3280]

Lack of effective governance by the Government to ensure if services are provided by the private sector there are policies in place to measure service delivery.

[@discodave3970]

Capitalism got greedier & greedier such that we ended up with someone in the world that is capable of spending $1,000,000 a day until August 3355 😠

[@Urbane-Legends]

you should speak to Gary Stephenson

[@dunrossfilms]

"Crony capitalism" = "capitalism".

[@MBReader410]

Britain’s path to growth is as a global leader in the knowledge economy. Blair was correct, education, education, education.

[@suhaylkhan8890]

Amazing show as per usual. P.S. Solid jumper. Can you divulge please. 🙏

[@jamesbarry1673]

Greed is always the undoing of these people

[@edcohen5078]

One problem with this analysis is that 18th and 19th century capitalism was extremely unstable. As regards economic growth, although it outstripped the zero growth prior to the existence of capitalism, growth didn't really take off until WW1 and then WW2 and then really exploded during the post-war prosperity (1945-73), and during this time there was more government involvement in the economy. Smaller government will lead to slower growth, if any, and lower standards of living hastening the onset of a new kind of feudalism which is already here in part with the likes of Thiel, Musk, Zuckerberg, Bezos etc being the new aristocracy.

[@alantheinquirer7658]

Like any ideology, capitalism has gone wrong because it was unrestrained. And like every ideology, the ones who prevented it from being restrained and have minimal oversight are the ones at the top who financially benefits from it.

[@gailhill5734]

Interesting conversation. I fear that any govt that does try to address this imbalance inevitably will have to be left if centre but because most big media is controlled by those rich people who would 'lose' out. It becomes almost impossible. Look at tge vitriol cast towards Angela Raynor

[@Shaggy-839two]

What did you think the natural end goal of capitalism was? Capitalism is just a polite term for colonialism. Asimov predicted this with Empire.

[@angussoutter7824]

Capitalism the win win system succeed or fail it matters not, there is no trickle down culture it’s never been such a system viva le revolution

[@allanbarr1975]

Bet producers are going nuts about jumper, merging into background and eliminating depth,

[@paulmarshall4793]

Im curious to know what he thinks gov should do during recession to stop voters starving

[@herbertdaly5190]

17:39 What founders? Who are we talking about? How were their circumstances the same as ours I wonder...

[@Richie3D]

Lewis... please talk to Gary Stevenson some time 🙏

[@Richie3D]

The very very rich make passive income on their interest...then invest that in property, utilities, and much more...we don't TAX them like they should be...This effect drives up rent and costs turning our economy into an oligarchy controlled mess... inequality is the root...Even China doesn't allow for billionaires to behave in this way

[@quantarrow]

Don't simply retire from something; have something to retire to. Start saving, keep saving, and stick to investments. Building wealth involves establishing routines, like consistently setting aside funds at regular intervals for smart investments.

[@IshrakHossain-rt8is]

It’s really heartbreaking to see how inflation and recession impact low-income families. The cost of living keeps rising, and many struggle just to meet basic needs, let alone save or invest. It’s a reminder of the importance of finding ways to create financial opportunities. You've helped me a lot sir Robert! Imagine i invested $50,000 and received $190,500 after 14 days

[@ufuksenol2005]

Absolutely! Profits are possible, especially now, but complex transactions should be handled by experienced market professionals.

[@pbeeby]

Marx figured this out about 160 years ago. Sad that no one read Marx on his on terms as he explains a lot of what is wrong and right with capitalism but mainly what is wrong with

[@willyhill7509]

China is doing ok from Capitalism, grown 350% since 2008, the US by 75% since 2008, not bad but take EU and UK where growth is less than 10% in same time. We decided to become more socialist and things aren't going too well are they.

[@geraldbutler5484]

America is gearing up for a big bust. The mob won’t wear an oligarchy for much longer. Inequality there has gone to extreme levels.

[@decimal1815]

News reporting is partly to blame. It really doesn't help when journalists start shouting that "the pound has CRASHED" (!!). When in reality, it's barely moved at all against most currencies. Except the US dollar. And most other currencies have also dropped in relation to the dollar.

[@JesterEric]

The US Dollar is still currently the reserve currency. All other fiat currencies are valued against it. The UK Pound has dropped more that other comparable currencies

[@decimal1815]

@@JesterEric GBP/USD in Q3 2023: 1.2197. GBP/USD today: 1.2213. EUR/USD in Q3 2023: 1.058. EUR/USD today: 1.0261.

[@RobertThomson-y4m]

Are we on the same path as we were in the 30s???

[@juliahartshorn2473]

This, 'dead wood', would that include small and independent income businesses that people are trying to establish despite the hostile environment they face by government and finance systems? What springs to mind to me is the small independent service repair contractors who provide essential services, such as low cost washing machine repairs - not only do they help keep households afloat, but they help keep our white goods industry recycling. Yet in 2019 Government put a VAT tariff on their income which impacted working capital and has driven many out of business or into the struggling category - you see I would not call such vital community services, dead wood. And what about people who are milking the system for tax breaks? - is that happening in the UK ~ It certainly is in the USA, Donald Trump, now President Elect, has been shown to have falsely stated the value of his property in order to get tax exemption - does that happen here in the UK? 🤔😳Could it be that the whole financial market system is corrupt and untouchable? And aided in establishing as such by repeatedly weak governments! 😮

[@draxenato]

Castro got it right.

[@deegriffiths8132]

Lots to think about there

[@mattwright2964]

The problems go back decades and relate to structural economic factors in the real economy. For us in the UK the 'dials in the cockpit' have been reading low consistently on - public and private investment, R&D, productivity etc. Capitalist democracies succeed when investors put money into entreprenirial activity and innovation. A growing middle class then drive this process and along with the working class, consume goods. However fast forward to today and assets are accumulating in lazy short term earnings that benefit the super rich. We have milked the cow to a standstill. We now have huge inequality and in many ways the destruction of the middle class. Reeves has little room to manoeuvre as the problems have accumulated for decades under right and left. So aspects of the book cited are right but there are also flaws in his analysis. This idea that we can pull on fiscal rules and reduce regulation is overly simplistic and unrealistic. In many ways capitalism grew and innovation flourished when historically we improved social and technological standards. The reason some analysts fail to understand this is because they approach things as economic journalists not innovators or engineers etc

[@flat6croc]

The idea that capitalism has imploded is utterly idiotic. By any sane historical metric, modern capitalist democracies have created the highest living standards, the most effective public health, the most progressive and inclusive political cultures, the most advanced technologies etc etc etc than other other system ever, full stop, period, by a massive margin. That isn't to say we don't have lots of serious problems. It's just that throughout history, humans have faced far worse and more extensive problems. The only exception is anthropogenic climate change, which is a new and very serious problem. Admittedly, that might turn out to be the biggest problem of all. But the current economic problems in the UK are absolutely infinitesimal compared to the awful living standards everywhere else throughout huan history. It's also worth noting that the current "crisis" is peanuts compared to what some western economies experienced in the 70s. Long story short, this isn't about capitalism, it's about the details of governance and economic management. There no easy answers. We don't need a revolution or to ditch capitalism. We just need to get the details right, to run things a bit better. It's slow, boring, detailed work. Anyone who tells you the answer is a major revolution of some kind is either a fool or a liar.

[@francescahamilton6856]

Objective, transitional, food for thort...outside the box...excellent. If you setup a think tank, let me know !!!

[@Tom_murray89]

Musk, Zuckerberg, Bezos ECT I feel want to keep capitalism for themselves

[@paulvsmith]

"Internal contradictions". Isn't this all we need to know?

[@pascal-b8p]

From $37k to $65k that's the minimum rage of profit return every month I think it's not a bad one for me,now I have enough to pay bills and take care of my family ❤️

[@rmzk1783]

Yanis Varoufakis, the former Minister of Finance of Greece believes that we have entered the age of 'technofeudalism'. One of his arguments is that the large multinational corporations such as Apple, Microsoft, Google parent Alphabet, Amazon, Meta Platforms and Tesla pay very little local taxes which leaves govt's short of money to spend on their people.

[@JesterEric]

Needs to be a crackdown on tax haven countries like Ireland and Luxembourg who cater for US Multinationals wanting to offshore profits

[@endintiers]

Australia has far fewer zombie companies and governments can get re-elected. Perhaps the US and UK need to adopt Australian systems of Government and Economics?

[@paulmarshall4793]

This is silly, tons of ancient giant companies disappeared in 08 and 87, maybe just some democratic oversight to how the companies that recieve bail outs operate? Trade unionists n councillors on the board 30:30:40

[@gibbions]

It’s always the, ahem, ‘wrong type of capitalism’…. Hilarious if it wasn’t so desperate at this point in UK history!

[@stevenwilliamson6236]

Border poll: £30bn a year every year.

[@gusleonard9397]

This guy is absolutely spot on. He has verbalised exactly what I have thought and felt about the current economic system. We need deregulation and much less government involvement in the economy.

[@Londonchippie]

All those sweet sweet private equity profits need to come from somewhere!

[@KevinDuggan-l9o]

In a word neoliberalism

[@evolassunglasses4673]

Both Left and Right supported the open borders Globalisation project driven by international finance/ oligarchy.

[@Derek-Trotter]

The top comment praises Garys economics. The clue is in the name.

[@mattyr40]

What capitalism? The risks in big business are public and the profits are private.🤪🤪🤪

[@terencefield3204]

Corporate state is not capitalism. Not many of you. People seem to understand that.

[@AH-te5gs]

Capitalism has never worked, just as socialism never worked. Some people will always try to take advantage of the system and of others.

[@juliahartshorn2473]

No. I do not agree with this speaker. Know why? It is because he has no concept of how a welfare state functions. He Suggests cutting back regulation and government involvement, well that leaves us only the free market model - which may serve markets, but it sure as H doesn't serve communities or living conditions that a nation's population lives under. A government must also be involved in ensuring there are safety nets for the unwealthy who are doing their best to contribute, but who are priced out of things like housing (as he acknowledges), but we also need social security for periods of ill health, for retirement, for new parents, and accessible health care that does not lead us into debt spirals. THAT is a key function of a working democracy. This man has no concept of it if he thinks the answer is small government, deregulation. Regulations are more often than not hard one legal changes to protect people from exploitation and shoddy goods&services. Dumbing down these standards helps only those who would get rich by exploiting others.

[@Skol999]

I was with him till he said more deregulation... not sure that's helped much in the last few decades.

[@christopherclarke2083]

Ever heard of Mark Blyth!

[@mattyr40]

Aaaaaaand again, you guys are saying what Russell Brand has been for the last decade. Get your tin foil hats for the next show.

[@stevenwilliamson6236]

Since the 60s. Wilson was getting a handle on it, though. The moronic electorate ballsed it up though as usual.

[@agritech802]

One word, Brexit

[@evolassunglasses4673]

😂

[@coppershark1973]

Nothing went wrong, it’s working perfectly fine. Just ask Musk.

[@5vete]

pure greed!

[@David-j9h9g]

we have no industries apart from moving other countries monies around!!!!

[@RobertThomson-y4m]

The COVID madness is the nail in the coffin.

[@garyh1572]

No, the madness was not borrowing to invest at very cheap rates in the early 2010s. Blame the Tories.

[@mikewallace1723]

@@garyh1572yes said this to folk. And give pay rises when they are low instead of large ones to catch up years later, when money is tight and more expensive.

[@evolassunglasses4673]

​@@garyh1572 lockdown and mass money printing didn't help

[@johncook691]

Lovely wooly jumper

[@ramstrong1961]

World Affairs in Context - EU Political, Economic & Social Collapse

[@JanHus-e3z]

"What went wrong with capitalism ?" Ask Karl Marx.

[@evolassunglasses4673]

But he has no solutions

[@BugleCoops]

I blame the capitalists...

[@lukey47]

"What went wrong with capitalism?" - Socialism, according to this quack 🦆.

[@RobertThomson-y4m]

What percentage of UK GDP is spent all on the public sector? Over 50%, is it?

[@Shaggy-839two]

Why dont you cover Ivor Caplin. Is it because he is israeli.

[@petestan5186]

I would say this is scripted...😶

[@Shaggy-839two]

Your military threats only arise of your wish to maintain colonialism.

[@zak3744]

Comment.

[@NigelThompson-hb5jg]

What went wrong with capitalism? Cut to advert selling tickets for a private gig by you all. There's the answer.

[@dannyquinn9128]

So people making money is a problem?

[@RobertThomson-y4m]

Is Britain over populated?

[@benhargaden995]

Tax the richest

[@evolassunglasses4673]

We did and they just leave