Michael Hudson is back, and telling us — as usual — that the emperor has no clothes. Not with Orlov yet in his recognition of the industrial fallacy of what Mark Jones called “radical technological optimism,” but he can spot the spin on finance from a mile away. For the record, and without any hesitation, we can aim these analyses at the Obama “rescue package” — a bureacratic-technocratic clusterfuck of compromises, half-measures, and outright capitulations that would make Woodrow Wilson blush — and predict with absolute assurance that the plan will be the most expensive policy failure in history. They can blame it on Bush (a lie in itself — neoliberalism as embodied by the undead Clinton administration turned the last signficant corner down this path), and when that wears thin, they’ll have Afghanstan to blame (since that will be a bigger foreign policy failure than Iraq — which at least limited its destabilizations and mass death to non-nulcear states). The empire strikes out. The sooner we dispense with our denial, and abandon hope that there is a state solution to this stormy new epoch, the better.
How is it that Alan Greenspan, free-market lobbyist for Wall Street, recently announced that he favored nationalization of America’s banks – and indeed, mainly the biggest and most powerful? Has the old disciple of Ayn Rand gone Red in the night? Surely not.
The answer is that the rhetoric of “free markets,” “nationalization” and even “socialism” (as in “socializing the losses”) has been turned into the language of deception to help the financial sector mobilize government power to support its own special privileges. Having undermined the economy at large, Wall Street’s public relations think tanks are now dismantling the language itself….