Amerindia US Blog

There is a tendency to paint things as either black or white, meanwhile around the world the Occupy Movement and the 99% struggle to define what the problem is. Clearly capitalism and free markets have their benefits, and have been around from the dawn of human time. Three arrow heads bartered for an animal skin – and everybody goes home happy and better off.

In this simple ‘perfect market’, it works, and works well. But in scaling up, things have not gone so well. As in the video referenced at the end of these comments, industrialization has changed things in a major way. From a hunter-gatherer society, to primarily an agrarian one, the coming of industrialization has since catapulted world nations and markets into something different. Actual necessities are produced by a few, materialism of non-essentials has run rampant, and the ability to find useful work has become extraordinarily problematic. Although the world markets produce more to buy, paradoxically there is struggle to find work that will suffice to purchase even basic necessities. Some (well off) politicians have brushed off the problem as ‘envy’, but increasingly those who had been living, or anticipating an average, middle-class lifestyle, are now be struggling to get basic food and shelter.

There are heated arguments about welfare, socialism, and the role of government in providing basic care needs for its citizens in crisis. The argument has been going toward the direction that those who are not succeeding are just not trying hard enough to embrace capitalism as the total solution and make it work for them. Capitalism, an economic system, has been championed as the solution to social needs by those who profit – or feel that economic failure is universally a personal one. We think this is either ignorance, or self-interest guided thinking.

We in Amerindia feel that capitalism is an economic system – not a moral, political, or social solution by itself. The only thing that is becoming a consistent in this long running discussion is that the problem started about 40 years ago. We had had industrialization before then, but that is when capitalism began to split from being stakeholder capitalism to an unfettered, unmonitored, desocialized shareholder capitalism. At the time it was justified as a ‘trickle down’ benefit, resources began to be ever more concentrated with the few and ironically, Not distributed more equitably, particularly among the workers. Jobs have been outsourced to the cheapest labor available world-wide, eliminated by mechanization, or workers have been cheated out of pay, pensions, or other compensations. The capitalism that has been deified, has become corrupt.

Unfortunately, as in this clip, we do not see a quick or easy solution. However, identifying the true nature of the problem is a start. Capitalism needs to return, or become, a socially responsible capitalism.

Capitalism ‘nothing to do with responsibility’

The Queen of Amerindia

US Fed gives $8 trillion away

We are at a loss as how to comment on this. Not only are we continually astonished at how the US Federal Reserve has become a funnel for US taxpayer money to huge corporate interests, but that it is done behind closed doors to “protect” the US citizens from being worried about it. Just astonished.

The Queen of Amerindia

We worry that Americans are losing their most fundamental right to free speech and the right to non-violent public protest. I does seem that while US politicians criticize other nations for infringements on human rights, free speech, and a right to be heard in a democratic process, they ignore the voice of their own people.

Obama, your main campaign theme was “Change.” True, it’s been difficult given the congress that lobbyists are paying for, but someone needs to see that it’s really what the American people wanted and expected. The frustration with lack of change, with big interests still running the US government, why the people would feel unheard and angry.

I AM NOT MOVING – Short Film – Occupy Wall Street

There has been discussion that perhaps the mourning for Steve Jobs has gone on too long as headline news. We think not. We can’t think of another company leader who would provoke such heartfelt loss from so many around the world.

We think it’s pretty sad that George Washington is denied proper respect by using him as a symbol for selling cars on President’s Day, and we don’t think Benjamin Franklin is fully appreciated by picturing him as a quaint historical figure, albeit an important one. George Washington had the vision to give us a true democracy, and made a remarkable effort to define the concept of a “public servant” by living it every day. Democratic nations, and those who want to be, should dust off his image to see how it’s done.

As for Franklin, he was a capitalist and businessman. But he understood what we seemed to have forgotten – its appropriate limits. When Ben had accumulated enough wealth to live on comfortably, he went on to become the essential civil servant that was needed, and the inventor and scientist that he wanted to be. These he gifted to the society he had helped forge. What he gave back to society, for no personal gain (other than perhaps self satisfaction and a respect he relished), was far more than the monetary gains that kept him in reasonable living.

Steve Jobs had a love of the creative task first, not the profit, and not only gave us truly elegant technical designs that people loved, but some words of wisdom about life and living that we sorely need. Why not grieve a bit longer? In a world where greed, corruption, and self-indulgence seem to know no bounds, Steve was an extraordinary exception, and we do need to hold on to that. We believe that the concepts of capitalism and democracy – as we now practice them – should be cautionary tales as we think long and hard about Steve Jobs, what he stood for, and why he was so special to so many of us.

“Capitalism should go unfettered!” “It will sort everything out in the end!” Really? Come to think of it, capitalism is as old as humankind, not some grand solution recently thought up. If a Neanderthal traded some nice warm hides to a Cro-Magnon (assuming they didn’t kill each other first), for a few arrowheads, that was capitalism. The concept is that if the transaction is transparent, and the values are fairly and equally determined, then the deal is made and everyone goes home happy. Transparency and mutual agreement without deceit, coercion, force, or whatever mayhem is capitalism working for everyone’s benefit in any age. Capitalism is an economic system that hardly needs to be defended. As long as one has bargained transparently and fairly, the fundamentals of capitalism as an economic system work. But it’s not a political system, and it’s not a system that cares for the health of social structure. Political systems oversee social structure – and their economic systems – for better or for worse. Defending unbridled capitalism as a perfect social solution is a specious red herring.

But back to Jobs, and our example of Ben Franklin. Both these men were extraordinary innovators, designers of things that worked, who made outstanding contributions to the “pursuit of happiness” of so many. They made money the capitalist way, enough to live on well – and then kept right on working for the shear joy of it.

In a time that is overrun by greed, deceit, and self-indulgence that seems to have no bounds, we need our heroes, our examples of what gives “capitalism” a good name. Particularly when there are those muddling their metaphors and defending capitalism like it’s defending democracy, we need to think on those who understood what limitations are needed to make systems, political systems like democracy, and economic systems like capitalism, better by how we use and manage them – not how we declare them perfect and allow them to run amok in the hands of those who abuse the rest of society by their manipulation.

George Washington stood back from absolute power; we admire him endless for that. Franklin stood back from unbridled monetary gain and gifted wonderful systems, ideas, inventions and good counsel after he had secured just enough for himself; we admire him endlessly for that. Steve Jobs gave us intuitive technology that let us work and play efficiently and happily. He charged us, but we paid because it was worth it. And then he just kept giving us the most wonderful technical solutions for his joy and ours. We should, indeed, go on endlessly appreciating him for that.

Queen of Amerndia

After the last several years of watching the moves of the US legislative and executive branch, we have decided that we must step back from our diplomatic ties with the US in Washington, in spite of Obama being elected president. Unfortunately, regardless of the good and wise intentions of millions of Americans, too many of its leaders, so many in elected positions, and those in US agencies, are dismantling a once great country. Those who who would speak out against it – privately, in public, and in many important documentaries, have been ignored, punished, or have just not been able to turn the tide of the far Right, the Tea Party types who have co-opted the Republican party.
It seems the Conservative Right will do anything for its own expediency, including lie, misrepresent, or completely cross itself. One idiotic case in point: There was a brief call to make it possible for a non US-born person to qualify for president (when they wanted to run Arnold Schwarzenegger), yet Arizona has just passed a law demanding that to run for president, one must prove birth in the US. Go figure. It’s no longer about what’s good for the nation, or democracy. It’s about what’s expedient to those few who want the last word in political and economic power, and will do anything to serve that self interest. These are fewer laws to assist the citizens or the welfare of the nation. There are moves to “legalize” the illegal – the power grab for the few – a true corruption of the meaning of democratic government.
On the eve of the 150th Anniversary of the US Civil War, it would seem that the war that was lost is being re-fought, and newly won. The issue of slavery has been overcome, but not states rights. It would seem that the large conservative element in the US, complete with biblical rhetoric, is prevailing in both the conservative states, and through its influence in the central government. It seeks no less than a complete break of the social contract with US citizens.
The New Republican Landscape
This is an open warfare, using the US federal budget to first limit funding, as it moves steadily forward by dismantling social safety nets, especially for the poor, health care, education, health care for women especially, and so many other services that provide the “life, liberty, and pursuit of happiness” promised to US citizens. Even the public park system is under siege. Everything is moving toward the private sector, and US parks are more vulnerable than ever to drilling, deforesting, mining, or any other endeavor that will benefit a private profit culture, rather than the public interest and welfare.
Regulatory agencies have been gutted and marginalized. Food and drug safety is bought and paid for by Big Agra and Big Pharma. “FDA approved” is nothing more than a stamp of approval by the company that manufactures it, and the US food production system is protected by ever less inspection and more cover up. Even the educational system has fallen under the influence of this corruption, from science to finance. We in Amerindia feel that the most corrupting educational institutions in the US are Harvard, Yale, and Columbia. There is no room to go into all the detail here, but we feel that Obama’s promise of “Change” has been held back by his time at Harvard (not wherever he was born), and that advice and influence from those educated and connected by these institutions has been a major contributor in the steady march down hill, deregulating and pillaging along the way, for the last 30-40 years, starting with the Saint of Conservatives, Ronald Regan.
Not only has the US messed its own bed, it has been an increasing menace and destabilizing influence around the world. We would recommend these documentaries for an in-depth look at how much damage has been done, how, and why:
Inside Job
It’s interesting to note that not one single person involved in the financial collapsed the global financial world has gone to jail. Quite obviously, there is no intention hold anyone instigating and profiting from this disaster accountable:
Alan Grayson: Is Anyone Minding the Store at the Federal Reserve?
Since the global economic collapse, regulation of financial services has increased in every developed nation except the US, where it continues with the status quo of the years since Ronald Regan. What’s more the banks have actually grown even larger by consolidation, hence, “too big to fail”, and ready to receive another bail out at US taxpayer expense should they run into trouble with their unregulated practices. However, we do note that One person has gone to jail – a would-be home owner who signed a falsified mortgage agreement. Not the bank, the executives, the lender, the agent – but the person who was told “it’s OK, everyone is doing it” – which they were.
As far as the food industry, we recommend Food, Inc. Monsanto and other giant food conglomerates continue to be the driving political force in our food industry, which values profit over the health and welfare of farm animals and crops, and the health of the American food consumer.
Food, Inc.
We feel the US should be prevented from ever going to war anywhere in the world. Its post war disaster in Iraq has destabilized that region and affected the price of oil and food everywhere on the planet. If the US has trouble with Iran, it made it worse by what it’s done in Iraq, and continues not to address there in reconstruction. The history and national heritage of a 7,000 year old nation has been lost, while a people who tentatively appreciated the US for removing a dictator, are now suffering far worse as a lawless nation in shambles, and see refugees leaving without hope of rebuilding a free and democratic society.
We recommend this documentary for the details:
No End In Sight
While we have every admiration for the men and women in uniform of the US, we do not appreciate what they have been asked to do “in defense of their country.” We see instead ignorance, mismanagement, and profit by the ever increasing use of contractors in the military. And we have a deep unease about how much of the US military and civilian top management erodes the very human rights it claims it fights to defend:
Abu Ghraib
Guantanamo Bay
Bradly Manning
US citizens are losing their homes, their jobs, and their social supports. The US now has the distinction of having the widest gap between rich and poor of any developed nation. They are increasingly losing their right to see what is going on, as their society becomes ever less transparent, ever more run by sound bites, misrepresentations, and downright lies. And the most fundamental rights of equality before the law, freedom from cruel and unusual punishment, the right to be held innocent until proven guilty, and the right to a timely trial with proper representation are eroding. At first it was explained away as necessary to deal with “terrorists”, but now it has moved to the treatment of a US citizen. This is explained away as “military” being under a different set of rules than civilian. What’s next?

We highly regret the scenes of perhaps well intentioned, patriotic citizens who cover their hearts and sing US praises in “God Bless America.” But it’s done to interfere with open debate, the fundamental cornerstone, the most essential element of enduring democracy. Do they understand how they are being manipulated, how they are being “had” by those who benefit by the power they give them?

We hereby withdraw our diplomatic relationship with the US central Washington government, although we do welcome and support a relationship with many US representatives and officials, for example, Senator Bernie Sanders of Vermont. We do realize there are many good people and organizations trying to fight an uphill battle with Washington. Also, we will continue to have ambassadors to Seattle, San Francisco, and New England (Massachusetts, New Hampshire, Vermont, Maine, and New York).

We will also continue to respect and continue relations with all indigenous peoples living on reservations or within the US population. We leave this entry with this message from Russell Means:
Russell Means: Welcome to the Reservation

The Queen of Amerindia

What’s wrong with the world economy? A lot of things, many of which we will discuss. But one of the most appalling, and preventable, are the practices of banks – large, international banks in particular. The good old notion of banks lending money, and making their living by charging interest seems to have long gone by the wayside. In its place the banks have gone mad, and we have let them do it, by their descending into what is essentially gambling. Case in point, as we have mentioned in a previous blog entry, derivatives and credit-default-swaps.

No one says it better than an in an excerpt (below) from a NY Times article. Would banks and bankers be so greedy, so depraved as to make a bet that pays them preposterous profits at the expense of destroying an entire country? It seems so.

The Queen of Amerindia

Banks Bet Greece Defaults on Debt They Helped Hide

By NELSON D. SCHWARTZ and ERIC DASH
Published: February 24, 2010, New York Times

Bets by some of the same banks that helped Greece shroud its mounting debts may actually now be pushing the nation closer to the brink of financial ruin.

Echoing the kind of trades that nearly toppled the American International Group, the increasingly popular insurance against the risk of a Greek default is making it harder for Athens to raise the money it needs to pay its bills, according to traders and money managers.

These contracts, known as credit-default swaps, effectively let banks and hedge funds wager on the financial equivalent of a four-alarm fire: a default by a company or, in the case of Greece, an entire country. If Greece reneges on its debts, traders who own these swaps stand to profit.

“It’s like buying fire insurance on your neighbor’s house — you create an incentive to burn down the house,” said Philip Gisdakis, head of credit strategy at UniCredit in Munich.

“We didn’t truly know the dangers of the market, because it was a dark market,” says Brooksley Born, the head of an obscure federal regulatory agency — the Commodity Futures Trading Commission [CFTC] — who not only warned of the potential for economic meltdown in the late 1990s, but also tried to convince the country’s key economic powerbrokers to take actions that could have helped avert the crisis. “They were totally opposed to it,” Born says. “That puzzled me. What was it that was in this market that had to be hidden?”

At the time Brooksley Born was trying to propose regulation it is estimated that 594 Trillion in OTC derivatives were being sold in “black box” markets. “Black box” means no regulation, and actually no recording of who is selling what to whom. There were derivatives, derivatives of derivatives, and derivatives of derivatives of derivatives being sold. And neither the individuals selling, or the buyers, understood what a derivative really was.

A derivative is, as best we can understand, a form of “insurance” that is in essence a form of betting. A simple example is that one could take out insurance on an neighbor’s house, without the owner’s knowledge. And then one could bet against it – sell it short (because of hidden knowledge of its real worth) – in essence, set fire to your neighbor’s house, and then collect the insurance.

Also, derivatives were (are) sold in such secret, that the buyers didn’t (don’t) know how many people have bought the same derivative. So there might be several buyers wanting to collect on a single derivative, while there is only enough to pay one. The complex mathematics of determining a derivative creates a kind of imaginary financial product, with no real money to pay anything.

Derivatives have payed up to 40% profit to the black box buyers. Since the time of Ronald Regan, who elevated Alan Greenspan to Chairman of the Federal Reserve, this market has been growing. Those that got in, sold, and then got out, got the money. The rest of it is a large vacuum with no real money to cover the crisis. Sound like the crash of 1929, with no real money and runs on the bank? We think, yes.

But Brooksley Born knew, warned, tried to stop it, but was defeated by the powers in Washington. Even after this meltdown, the financial lobbyists in Washington are still winning. Regulatory proposals have been written up, but are stalled. The time to move on shutting down further money drain is passing.

US citizens could be asked to poney up yet more money for the unregulated securities and derivative black box deals that go bad, since all this stuff is “too big to fail.” And they will get the apology of having to live in hard times, but not much else. We used to write about and believed that our biggest problem was the players in oil. At least that was one issue that we could see. But the financial games now being played, on a national and worldwide scale that boggles the mind – and brings down whole countries – is what worries us most at this time.

Without transparency and regulation, money that should go to the people who earned it, will continue down the black box hole. How much more financial blood can the average American donate. We are very, very worried to think.

This is a 55 minute program by Frontline of PBS see “The Warning.” After seeing this, we may not understand the mathematics of derivatives, but we do understand the problem. Obama, can you overcome the financial lobbyists and lift up your country?
Frontline: The Warning

The Queen of Amerindia

In the US, and the rest of the world economy it seems, corruption and mismanagement are running rampant. It would be much to cover the entire scope of this topic, but in short, it would seem that there is a fundamental lack of transparency, greed and self interest that knows no bounds, and astonishing little attempt at regulation. The “solution” seems to point out the worst offenders, and hand out fines or punish with an increase in taxes. We Amerindians are quite frankly baffled by this limp slap on the wrist, and surprised that it’s not obvious that the cost of any punitive measure will be passed on to those who are paying too heavy a bill already.

We feel that it might help, even if governments don’t, if people get together with their own solutions. The main idea is to keep money from reaching the pockets of big interests in the first place.

1. One way is to focus on buying locally. Besides cutting the energy footprint of purchases, many middle men payments will be eliminated, as well as the insane super payments to corporate giant leaders.

2. Invest in farm shares or local markets. Or at least patronize them. Again, this eliminates the middle man price increase, and cuts into the control that giants like agra business (ConAgra) have over what we eat, what we know about what we eat, and what we pay for the privilege of ingesting food products that are often less nourishing than the over-packaging that they are delivered in.

3. Social Lending. This can be avoiding large banks (like the ones too big to fail) in favor of small local banks, co-ops, credit unions, and even person to person lending with no banks involved.

We think that of course there are many other ways that could be suggested. But the basic idea is not to punish big corporations, but to think carefully about what we need to buy, where we keep and manage our money – and keep it close. In other words, don’t let it get to the big interests whenever there is another option.

The Queen of Amerindia