Monday, November 07, 2016

Now That the Presidential-Election Side Show Is Finally Ending....

Sadly, our self-serving Ruling Elite is only capable of resisting needed transformation by supporting a corrupt, sclerotic status quo.
Though it has been billed as the main event for months, the presidential election has always been a side show--or from one point of view, a freak show.
As I write this on Monday, I have no idea who will win the side show unpopularity contest (i.e. the presidential race)--and it doesn't really matter as much as apoplectic partisans would have us believe.
The reason why it doesn't matter much which unpopular candidate wins is the issues facing the nation are far larger than partisan politics or the corrupt Ruling Elite that is freaking out about the possibility of a Trump presidency disrupting its self-serving skims and scams.
As I described yesterday in America's Ruling Elite Has Failed and Deserves to Be Fired,we are in the midst of a fast-moving Industrial-Digital Revolution that is upending the political, economic and social orders. The global economy's current mode of production is in fits and starts being replaced with a new mode of production that bypasses the Ruling Elite's centralized skims and scams.
Real reform is impossible in the current Status Quo, a dynamic I described in my book Why Our Status Quo Failed and Is Beyond Reform and illustrated with this chart.
The Ruling Elite will never allow real reform because real reform threatens their dominance and wealth. Instead, the Ruling Elite proposes modest policy tweaks that increase their dominance by limiting innovation and competition and transferring the systemic risks and costs of their skims/scams to the non-elites.
If a crisis does threaten their dominance, any meaningful reforms that result from the crisis will be watered down once the storm has passed.
The core problem is the Status Quo and its Ruling Elite rely on centralized hierarchies, regulatory capture and mobile capital to protect their dominance from innovation and competition. This aligned perfectly with the centralized World War II-era state-cartel/ central-bank mode of production that has dominated the economy and society since 1945.
But the Industrial-Digital Revolution is destabilizing these inflexible, centralized hierarchies which cannot compete with decentralized, flexible networks in output, efficiency or cost.
This presents the self-serving Ruling Elites with an impossible choice: either embrace the Industrial-Digital Revolution's efficiencies and watch the foundation of their own dominance and wealth crumble, or defend their bloated, inefficient and increasingly bankrupt centralized hierarchies from innovation and competition--a war they are losing and cannot possibly win.
The Status Quo is not just financially bankrupt--it is morally and intellectually bankrupt as well. The level of insider dealing, self-aggrandizement, collusion and corruption in the Ruling Elite is off the charts, and this is now visible for all to see.
The Status Quo's intellectual grab-bag of narratives and ideologies is devoid of anything remotely aligned with the Industrial-Digital Revolution. The Status Quo's intellectual grab-bag consists of 70-year old cults (the Keynesian Cargo Cult of Paul Krugman et al.) that have visibly failed and tired throwbacks to 1950: if only corporations weren't global, and if only capital wasn't mobile and if only the central state taxed us even more and borrowed and spent more...
These 1945 ideas cannot possibly succeed in the Industrial-Digital Revolution's mode of production. But both political parties, the Ruling Elites and the Establishment they dominate have no idea of how to manage this radically transformative mode of production. They are a clueless herd trampling the non-elites as they rush headlong over the cliff.
No leader can stop the emergence of a new mode of production. All they can do is engineer a crash by clinging to the expiring mode of production. The leadership of the U.S. sees only one path: further centralization that increases the power of the central state-bank-cartel mode of production. This is the road to ruin, akin to protecting the buggy-whip industry and the Whig Party at all costs.
Politicians aren't actually leaders. All they can do is give voice to what the people are willing to support, resist needed transformation by supporting a corrupt, sclerotic status quo or introduce the people to a new narrative.
Sadly, our self-serving Ruling Elite is only capable of resisting needed transformation by supporting a corrupt, sclerotic status quo. A new leadership class that actually understands the new mode of production may eventually emerge, but only after the corrupt, sclerotic status quo has deservedly collapsed under its own weight.


Join me in seeking solutions by becoming a $1/month patron of my work via patreon.com.
My new book is #8 on Kindle short reads -> politics and social science: Why Our Status Quo Failed and Is Beyond Reform ($3.95 Kindle ebook, $8.95 print edition) For more, please visit the book's website.

NOTE: Contributions/subscriptions are acknowledged in the order received. Your name and email remain confidential and will not be given to any other individual, company or agency.
Thank you, Henry D. ($50), for your superbly generous contribution to this site-- I am greatly honored by your support and readership.

Terms of Service

All content on this blog is provided by Trewe LLC for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. The owner will not be liable for any errors or omissions in this information nor for the availability of this information. The owner will not be liable for any losses, injuries, or damages from the display or use of this information. These terms and conditions of use are subject to change at anytime and without notice.


Our Privacy Policy:
Correspondents' email is strictly confidential. The third-party advertising placed by Adsense, Investing Channel and/or other ad networks may collect information for ad targeting. Links for commercial sites are paid advertisements. Blog links on the site are posted at my discretion.


Our Commission Policy:
Though I earn a small commission on Amazon.com books and gift certificates purchased via links on my site, I receive no fees or compensation for any other non-advertising links or content posted on my site.

  © Blogger templates Newspaper III by Ourblogtemplates.com 2008

Back to TOP