imc indymedia

Los Angeles Indymedia : Activist News

white themeblack themered themetheme help
About Us Contact Us Subscribe Calendar Publish RSS
Tell the NSA: StopWatching.US

Features
latest news
best of news
syndication
commentary


KILLRADIO

VozMob

CopWatch LA

ABCF LA

A-Infos Radio

Indymedia On Air

Dope-X-Resistance-LA List

LAAMN List





IMC Network: www.indymedia.org africa: ambazonia canarias estrecho / madiaq kenya nigeria south africa canada: hamilton london, ontario maritimes montreal ontario ottawa quebec thunder bay vancouver victoria windsor winnipeg east asia: burma jakarta japan korea manila qc europe: abruzzo alacant andorra antwerpen armenia athens austria barcelona belarus belgium belgrade bristol brussels bulgaria calabria croatia cyprus emilia-romagna estrecho / madiaq euskal herria galiza germany grenoble hungary ireland istanbul italy la plana liege liguria lille linksunten lombardia london madrid malta marseille nantes napoli netherlands nice northern england norway oost-vlaanderen paris/Île-de-france patras piemonte poland portugal roma romania russia saint-petersburg scotland sverige switzerland thessaloniki torun toscana toulouse ukraine united kingdom valencia latin america: argentina bolivia chiapas chile chile sur cmi brasil colombia ecuador mexico peru puerto rico qollasuyu rosario santiago tijuana uruguay valparaiso venezuela venezuela oceania: adelaide aotearoa brisbane burma darwin jakarta manila melbourne perth qc sydney south asia: india mumbai united states: arizona arkansas asheville atlanta austin baltimore big muddy binghamton boston buffalo charlottesville chicago cleveland colorado columbus dc hawaii houston hudson mohawk kansas city la madison maine miami michigan milwaukee minneapolis/st. paul new hampshire new jersey new mexico new orleans north carolina north texas nyc oklahoma philadelphia pittsburgh portland richmond rochester rogue valley saint louis san diego san francisco san francisco bay area santa barbara santa cruz, ca sarasota seattle tampa bay tennessee urbana-champaign vermont western mass worcester west asia: armenia beirut israel palestine process: fbi/legal updates mailing lists process & imc docs tech volunteer projects: print radio satellite tv video regions: oceania united states topics: biotech
printable version - json version - email this article - view hidden posts - tags and related articles
link:

"We need a new economic balance"

by Democracy Think Tank in Germany Saturday, Mar. 02, 2013 at 6:21 PM
marc1seed@yahoo.com

If the US removed the cap on social security taxes, public spirit and generational fairness would return to the states. At present, there is a cap at $106K. If you make $4 million, you only pay social security tax on the first $106K.

“WE NEED A NEW ECONOMIC BALANCE”

Discussion paper for the conference “Tomorrow's Prosperity. Ways to a Sustainable Economic Model,” February 14, 2013

by Democracy Think Tank in Germany

[This discussion paper published in February 2013 is translated from the German on the Internet, http://www.blaetter.de/archiv/jahrgaenge/dokumente.]

Germany is thriving economically – if one only looks at two numbers. Measured by the “gross domestic product” and the “number of employed persons,” we obviously are living in the Golden Age. However an analysis limited to these two facts is short-sighted. The classical indicators of statistics tell us little about the social reality and quality of life in this land. They veil growing injustice and discontent and give little information about the future friendliness or viability of our economy. Often they serve as reasons for short-sighted decisions and plans that contradict the principle of economic, ecological and social sustainability.

A more exact analysis shows: our economy is out of balance in many regards.

The extremely unequal distribution of income and assets endangers the macro-economic equilibrium. The social balance of our society is lost. For a long while,. Education chances and work were not distributed fairly. Our economic mode threatens our natural foundations of life.

Unbroken Finance Capitalism. The dominance of financial management with its false models, wrong incentives and short-term profit interests over against the real economy is not broken. Up to today, there has not been a real financial participation of the financial sector in the high public costs of crisis management.

Europe out of Balance. In many countries, management of the burdens of the financial crisis – on account of the policy of the German government – is carried out on the backs of employees and the weak. The economic imbalances between the countries is a persistent risk for economic stability. Germany is too dependent on the world economy.

Climate Change and Destruction of the Environment. Our present growth path is not sustainable or future-friendly in a world of increasing prosperity and growing population. We need greater efforts from politics, the economy and society for the energy turn, reduction of harmful emissions and increased resource productivity. A responsible macro-economic analysis must consider the costs through environmental- and climate damage, the loss in biodiversity and natural landscapes, as the Stern Report did on the economic costs of climate change.

Good Work – But Not for Everyone. We have set a record in gainful employment, fortified long-term unemployment and the high share of precarious working conditions. Women do not have the same chances as men on the labor market. 25 percent of women and 15 percent of men work for a wage of less than 8.50 euro an hour. Strain and pressure increase for many employees in secure working conditions which appear in the increased mental illnesses.

For Many, There is no Prosperity. The promise of the social market economy of creating “prosperity for everyone” is not valid any more. The gap between poor and rich widens. The German government also recognizes: “Private assets in Germany are distributed very unequally. Households in the bottom half of distribution only have one percent of the total net assets while the richest ten percent of households have half of the total net assets. Private net assets rose 1.4 trillion between 2007 and 2012 (draft of the Poverty and Wealth Report). On the other side, income poverty climbed to 15 percent. The “income of the middle class” shriveled (according to a study of the Bertelsmann foundation and DIW) since the middle of the 1990s from 65 to 58 percent. While corporate profits, manager salaries and private assets rose, real private investments in Germany lag behind this development.

Private Riches and Public Poverty. The high public indebtedness is the expression of an under-financing of the state. The draft of the Poverty and Wealth Report explains: “While the net assets of the German state decreased about 800 billion euros between 1992 and 2012, the net assets of private households (including private organizations without commercial objectives) more than doubled from 4.6 to around 10 trillion euros.” While private assets grow, the community lacks funds for child care, schools and public infrastructure. The German league of cities and communities recently decried an investment backlog of 100 billion euros.

Rule of Markets Instead of Democracy. The dominance of the “markets” over democracy deplored by considerable parts of the population weakens the cohesion and trust in the political possibilities of the future. Europe is seen as a bureaucratic machine. Instead of political leadership, people witness more and more the powerlessness of politics before the real challenges of the world. Poor voter turnout and political extremism are manifestations of these tendencies and alarming signs for democracy.

These imbalances negatively amplify one another. We have not exhausted our potential for an innovative, socially just and ecologically sustainable economic model. We lag far behind our possibilities.

All these serious structural imbalances are not reflected in the code numbers of the GDP. Therefore there is increasing awareness in politics, academia and society that the gross domestic product alone cannot define “prosperity.” International and national groundwork for new and better “prosperity indicators” can be reviewed. The Enquete commission “Growth, Prosperity and Quality of Life” of the German Bundestag has worked out proposals for new indicators.

We need a change of course in economic policy. We need a public consciousness that economic policy must be committed to economic, social and ecological goals. Therefore we plead for setting the goals of economic policy in the sense of a new balance.

According to the model of the traditional “magical square” of the 1960s (growth, employment, price stability and foreign trade balance), we want to define a new “magical square” that does justice to the challenges of the 21st century.

Sustainability of State Activity and State Finances: Necessary state expenditures must be financed through adequate revenue. The public debt burden must be reduced without neglecting necessary future expenditures.

Material Prosperity and Economic Sustainability: An efficient national economy that strives for full employment and shows a balanced balance of payments.

Social Sustainability: Reduction of poverty, good work, a more just income distribution and better education chances.

Ecological Sustainability: Uncoupling growth and resource consumption, reduction of greenhouse gas emissions and higher resource productivity.

A future German government should establish these goals of a new “magical square.” Replacing the outdated Stability and Growth law of 1967 with a “Prosperity and Sustainability law” is conceivable.

3, Including the extensive preparations of new indicators for a new “prosperity” measurement, the German government should report on progress in realizing this goal to the German Bundestag and the general public. An “annual prosperity report” should be presented that combines the different individual reports (including the annual economic report, the Poverty and Wealth Report, Progress report on sustainability strategy for Germany).

These democratically-defined goals of prosperity and sustainability are the guard rails for politics, the economy and civil society.

The Democracy think tank will work on this concept together with experts and present a position paper in the spring.

Yasmin Fahimi, Michael Guggemos, Steffi Lemke, Andrea Nahles, directors of the Democracy think tank
Report this post as:
Share on: Twitter, Facebook, Google+

add your comments


Local News

Water in California - info proliferated now is dubious J28 5:04PM

Pacifica clearly endangered. Reposting info here: J28 2:34PM

Video: Occupy Love (2013), 1 hr 19 min J28 4:43AM

Who declares themselves to be the ultimate-only-valid-authority here on current wars elsew J27 11:11AM

MDRC's Rent Reform Assault: Section 8 tenants vs. affordable housing industry J24 12:24AM

Obama at LA Trade Tech J23 3:23PM

Los Angeles Joins World Wide Protest Against Israeli Aggression J22 6:33PM

Los Angeles Joins World Wide Protest Against Israeli Aggression J22 5:48PM

Los Angeles Joins World Wide Protest Against Israeli Aggression J22 5:28PM

Protest Israeli Shelling of Gaza J21 1:58AM

#SaveTheInternet Rally J20 11:24AM

PACIFICA is shify-ing more J18 8:55PM

Radical Women Study Group J16 4:43PM

KIDS REPLANT WILSHIRE FRUIT TREES UPROOTED BY VANDALS J16 2:34PM

Emails Needed by Thursday, July 17 to Save the South Central Farm (Again) J15 4:40PM

Is AFT Pres Weingarten On The Take? J12 7:45AM

LA Living in Vehicle Law Found UnConstitutional J11 12:22PM

KPFK News covers the Che Cafe struggle J10 9:33PM

Public Comment on South Central Farm Site J07 10:44PM

Successful Protest at new Burbank Hobby Lobby on 4th J06 5:17PM

Protesters Violently Arrested in Murietta J05 12:44AM

Gallery Opening Highlights Journalist’s Creativity, Insights, and Passions J03 11:52AM

Indymedia On Air - Che Cafe show J02 10:27AM

Save the Che: Letter from Zack de la Rocha J29 8:47PM

Political Thriller Citizen Koch Premieres in Los Angeles J28 2:35AM

Veteran and Families of Military hold Press Conference J18 7:36AM

Furious Homeowners Occupy Lobby of Fannie Mae in Pasadena J16 4:15AM

Change Links Revival J12 12:09PM

More Local News...

Other/Breaking News

Our Land, Our Business J29 4:40PM

Argentina Braces For Default J29 12:09PM

Back To School Fair J29 11:43AM

Dirt Dog J29 11:19AM

Christian Zionism: The Heresy that Undermines Middle East Peace J29 7:53AM

Memorandum 2014 J29 4:01AM

Paraphysique de la violence J28 9:49AM

Philippine President told: Re-energize the campaign for reforms J28 3:23AM

Panthers in the Hole: French Angola 3 Book Illustrates US Prison Crisis J27 12:13PM

¡Abajo las nuevas exacciones criminales de Israel! J27 11:41AM

looks ok to me... J27 10:32AM

Down with the latest criminal abuses by the Israeli State! J27 10:21AM

THE BOOK OF JOSHUA | ZIONAZIS J26 9:52PM

Video: Left Forum on Thomas Paine 1 hr, 23 min J26 4:21PM

Surpopulation et paupérisation J26 9:13AM

AVAAZ_GAZA_war crimes J26 8:07AM

Israeli-Palestinian Science Organization (IPSO) Struggles for Peace J26 8:02AM

Snake Valley Festival in Baker NV fights SNWA ‘Water Grab’ J26 6:59AM

Nuclear Bomb LA 1983, Revelations tortured Witness Recovers from 14 year coma J25 7:52PM

The Shortwave Report 07/25/14 Listen Globally! J24 5:00PM

Come for the education, Stay for the fun at the OC Health & Wellness Fair J23 10:59PM

Philippine president signs law requiring tobacco companies to put graphic health warnings J23 3:55AM

Rockets found in Gaza school J22 10:57PM

Statement on the Gaza Genocide J22 8:32PM

Capitalism and War: Pope Francis J22 4:18AM

Geekouts Link's for June and July 2014 J22 1:14AM

ADI holds Week of Action Against Circus Suffering J21 11:41AM

phantom protests J21 7:35AM

More Breaking News...
© 2000-2003 Los Angeles Independent Media Center. Unless otherwise stated by the author, all content is free for non-commercial reuse, reprint, and rebroadcast, on the net and elsewhere. Opinions are those of the contributors and are not necessarily endorsed by the Los Angeles Independent Media Center. Running sf-active v0.9.4 Disclaimer | Privacy