Mikhail Gorbachev be out of pocket
On the one hand, the Soviet Union morally perished. On the other hand, this agony was accelerated and made irrevocable by economic bankruptcy. In terms of raw materials, the richest country on Earth was completely depleted by the command economy. Helmut Kohl, the German Chancellor of the reunification, summed it up quite soberly: the Soviet head of state Mikhail Gorbachev had run out of “Bimbes” (bucks). And when Kohl knew it than certainly the CIA did it as well. Because of the state bankruptcy the Soviets had nothing to oppose the German unification process. The Western Allies could play it safe. In the economic system comparison capitalism has won.
Just for the historical truth, as one last desperate act they could have started a nuclear war. And they did not. A heroic merit of Gorbachev and his companions against communist hardliners.
In the USA the capitalism ruled
The free market economy made this country the world’s number one economic power. Capitalism in its pure form is aimed at satisfying people’s needs. Competition for the favor of customers automatically forces companies to offer goods and services that will be taken, could be sold with profit. Under the daily pressure to beat the competitors even qualitative, innovative and affordable products are needed. However, this competitive Darwinism led to a brutal selection process under the entrepreneurs. What remains are the best ones, which even by means of acquisitions transformed the markets into an oligopoly, in some cases almost in a monopoly. A striking example is the aircraft industry, where Boing and Airbus remained. The legislator, for reasons we always do, did not intervene in this spiral of death.
Competition only benefits the customer, not the entrepreneurs
Once at the top, the competition is no longer in the interest of the super-rich. And that is then the certain beginning of the end of one of those economies.
Denise Hearn, the co author of the “The Myth of Capitalism” – monopolies and the death of competition”; is giving a great analysis about the current trends in the American economy, such as increasing concentration and the loss of competition. Ms Hearns’s contribution is more than worth seeing. Because of the still dominant role of the American economy on Earth, it does not help the rest of the world if the USA is sickly. And it is certainly not in the Americans’ interest to lose their locomotive, number one function in the world economy.
Autor: ©Newsleaf
