Saturday, 21 January 2017

Trump and the promised land


Subject: Trump and the promised land.


And so it happened, there was no thunderclap or lightening strike, no sign from on high, no post script from the almighty just a moment when the handover takes place, not just of power but according to President Trump, it was a hand over of power from the Establishment to the People.
Unusually for a presidential hand over the speech it was a speech of someone still on the stump laying our his vision. It was more a speech that could have been given by either a socialist or an isolationist, it promised to hand back some of the riches of the country to the people and to draw back from spending abroad.
It's been a unique phenomenon since the end of the Second World War that America took on the job of financing the world in the hope of creating and sustaining markets in which it would be a beneficiary. It was the old adage you have to invest to create the opportunity and since the world was largely broken America had to create that market place to sell its goods and recycle its 'lease lend' money. It had to create alliances and create the umbrella where those alliances could prosper without fear of being attacked.
It became the godfather of the capitalistic system with Wall Street and Washington the two most important centres of commerce and politics.
Trump seems set to reverse much of that. The piggy bank is empty he says, countries must learn to stand on their own feet and we are going to reinvent the machinery that made America such a powerhouse. Buy American, made in America, by Americans.
It's a powerful call and one bringing so much hope to those who have been left behind by globalisation.
The internet and real time communication has meant that the factory could be anywhere and so why not where wages were a fraction of the ones back home. From a business man's point of view it was a no brainier. The resultant desperation left in cities across the country were not the business of the corporate officer, he didn't have to worry about the loss of a home market since the same internet bubble allowed him to trade everywhere.
It was a win win situation and many became billionaires on the back of this new world order of boarder less opportunity. In full connivance with the economics the politician lent their weight in convincing their electorate that expanded markets, along with expanded credit would trickle down and square the circle. The deprivation which occurred was the result of unemployment and poor education but somehow the poorly educated unemployed were to blame. Television Programs were made to display how gross these people were, alcohol and drugs were highlighted as a cause rather than the blighted lives and people taking to stimulants to get them through the futureless day.
Of course I am talking about America but one could chose any western country, including our own, to see this scenario played out. The disenchantment with Capitalism in the form of globalisation is rampant in Europe and we in this country having gone along for an easy ride in the European bandwagon will now have to reinvent ourselves as Trump promises America will do but we, of course have a much weaker economic engine to drive us to the promised land.   

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