39 reads until Sept 9, 2018

There was no pure socialism and capitalism at all

        Frank Li July 28, 2018 in Waterloo, On. Ca.

        http://www.kwcg.ca/bbs/home.php?mod=space&uid=61910&do=blog&id=6913  

      

     This topic is a continuation of my July 28, 2018 article The influence of socialism and capitalism on the shaping of human quality, in which I once said that generally, Socialism meant that planned economy under one party dictatorship, Capitalism meant that market economy under multiparty democracy.

     In fact, that views Socialism as that of planned economy under one party dictatorship and Capitalism as that of market economy under multiparty democracy were not exactly correct.

     Because of during 1930s in last century; the US President Rutherford saved economy from the Great Depression by government intervenes in the economy, which was typical planned economy and the basic building block of socialism.   

     In fact, before 1930, the British economist Keynes had proposed some initial idea of the government intervene in the economy.

     In 1924 in Monetary Reform he advocated the Government to control the economy by currency, which was through suitable inflation to stabilize prices and production levels. 

     In 1926 he published The end of laissez-faire to have publicly rejected the Laissez-faire principle for the free market. His view should be considered as theoretical foundation of New Deal in some extent, especially ideological preparation.

     In 1929 he suggested British Liberal Party to run the election campaign by advocating the government-run public works (such as, roads, residential construction, the implementation of electrification, land reclamation, etc.) to overcome the problem in unemployment.

     In 1930, in Treatise on money he proposed to control the economy by regulating the interest rates.  

     In 1936, Keynes issued article The General Theory of Employment, Interest and Money to have clearly and systematically indicated methods for government intervene in the economy. Since then, the capitalist countries began to implement the means of planned economy to boost economy, such as, government investment in infrastructure projects, monetary easing, 2% inflation rate, etc.

     Having said that, it is necessary to point out, in last century; due to the pressure of Great Depression, in most Capitalist countries, governments acquired large amount private owned businesses to be nationalized as a part of Socialism. Although, later some of them were privatized again, but until to today, many capitalist countries still have certain amount of state-owned enterprises, that is, those capitalist countries are still socialism mixed.

     Such as, France, Italy, there are still certain state-owned enterprises with endlessly arguing how to run them better, with the component of socialism, the France and Italy is not pure capitalism at all.

     The most ridiculous belongs to the United Kingdom, the home county of Keynes, it has suffered the processes from original private ownership to be nationalized, and then from state-owned ownership to be privatized again. As a veteran of the capitalist countries, although, in the stage of nationalized, the United Kingdom should belong to the socialist country, however, it seemed no one to doubt its nature of capitalism until today.

     The process of Britain re-privatized was difficult.

     Nov. 1, 2016, I once wrote article, Margaret Thatcher Changed The UK Forever By Defeating Unions: “There were reports that Britain will soon be developed as fourth large economy in world, for such a achievement, the first contributor should be Me. Margaret Thatcher, it was she defeated Unions under a rational sense that Unions were attempting to substitute the rule of the mob for the rule of law, they are using violence and intimidation to impose their will on others who do not want it; so that British government rationally beats Unions and thereby revived productivity in Britain.”

       

     Photo source: https://blogs.spectator.co.uk/2013/04/margaret-thatcher-in-quotes/

           

           

 

     Now, in Britain, the goods making is much cheaper than in Canada.

     Dec. 5, 2015, in article The Strategic Vision for Trudeau Government of Canada, I indicate that: In the Era of agricultural economy, the geographic space is the living space. In the Era of market economy, the market space is the living space, without competitive products; a country will lose living space.

     Obviously, rational Ms. Margaret Thatcher hardly created foundation for Britons to strive for living space. 

     Compared with the rational practice of Ms. Margaret Thatcher, on this world, there vast majority of democratic players are ignorance in eagerly campaigning for  enjoying psychological satisfaction that brings by political privilege, without a essential sense for that how to properly accomplish their duties. 

     Now, I reproduced the remarks of Margaret Thatcher, in which she pointed out the uggly nature of the Unions and decisively defeated it.

     1984 May 30 , Remarks on Orgreave picketing ("attempt to substitute the rule of the mob for the rule of law")

     You saw the scenes that went on in television last night. I must tell you that what we have got is an attempt to substitute the rule of the mob for the rule of law, and it must not succeed. It must not succeed.

     There are those who are using violence and intimidation to impose their will on others who do not want it. They are failing because of two things.

     First, because of the magnificent police force well trained for carrying out their duties bravely and impartially (loud cheers).

     And secondly, because the overwhelming majority of people in this country are honourable, decent and law abiding and want the law to be upheld and will not be intimidated, and I pay tribute to the courage of those who have gone into work through these picket lines, to the courage of those at Ravenscraig and Scunthorpe for not going to be intimidated out of their jobs and out of their future. Ladies and Gentlemen we need the support of everyone in this battle which goes to the very heart of our society. The rule of law must prevail over the rule of the mob.