The Augusta Chronicle editorial “Giving capitalism a bad name” (Oct. 20) shows how ignorant the writer is.
In free-market capitalism, the investments made by entities that lose money suffer loss of their capital. If the losses are large enough, the entity goes away (bankruptcy). Not only did the mega-financial institutions (Goldman Sachs, J.P. Morgan Chase, bank of America, etc.) suffer gigantic bankrupting losses, they were bailed out of their losses in 2008 by the Federal Reserve Bank and the U.S. Treasury Department. The bailout bill was given to the taxpaying citizens of the United States.
But worst is that the worthless derivative investments these financial institutions sold as “AAA”-rated around the world – through which they made hundreds of billions of dollars – was criminal.
Since big banks own our government, the U.S. Justice Department has neither prosecuted nor imprisoned even one CEO from these financial institutions. Capitalism can operate only where the rules of law and justice are enforced.
Today the U.S. economic system is not free-market capitalism, but fascist-market capitalism. Fascist-market capitalism economies have formed a symbiotic government/corporatist relationship, enabling both to be enriched at the expense of its citizens.
So we as citizens are now rapidly becoming poorer; our government/banking/corporation heads are becoming richer; and they are wielding ever more power – and allowing less freedom – over U.S. citizens.
The Occupy Wall Street protesters are living in reality a lot more than the editors of The Augusta Chronicle.