Well the young people in China have taken to “lying flat”.
This happens to varying levels during most economic crises. Basically it results in contraction of the economy as companies cut expenses, I.e. wages. Usually there is some consolidation so that fewer, stronger firms can survive the downturn.
Then things get better.
Oh, i see you have stumped onto one of the main inconsistencies of capitalism
The working class are a necessity until full automation is possible, at which point we will be genocided with kill bots. (except for the hottest of us who will remain sex slaves.)
There are a infinite amount of reindeer games the 1% can use to keep us floating precariously on the edge until said time… including UBI. The rules are made up, and fiat currency doesn’t matter.
I imagine they’d go under if they rely on the general public as their customer base. Companies that cater to the wealthy would probably grow. Companies are created and go bankrupt all the time, individuals in the owner class will win or lose but that won’t affect the broad distribution of power. If it gets really bad feudalism might come back.
Companies catering to the wealthy is already happening. The richest man in the world, Bernard Arnault, sells luxury goods. It used to be that selling products to the most amount of people was better, Ford, oil barrons, even Wal-Mart. Now money is made selling products to the wealthy. The growth in inequality of the last 50 years shows up in many ways today. Housing sizes are larger because builders need to sell to the wealthy instead of to the masses where margins on modest sized homes are smaller or non-existent.
Make shittier products under shittier conditions to keep slaves barely-alive. Use slaves. Reap shiny.
The first thing that came to mind upon reading the title is the movie Repo Men from 2010.
Plot from the Wikipedia:
In 2025, advancements in medical technology have perfected bio-mechanical organs.
A corporation known as The Union sells these expensive “artiforgs” on credit, and when customers are unable or unwilling to pay for their artiforgs The Union sends “repo men” to locate and forcibly repossess the organ - invariably resulting in the death of the owner.
I thought you were talking about the better, original version “Repo! The Genetic Opera” at first
Zydrate!
I suspect they will graciously provide the necessities in return for your labour and any remaining rights you have.
Take a look at how company stores and scrip worked. As the song goes: Saint Peter don’t you call me 'cause I can’t go/Sold my soul to the company store.
The lyric is “I owe my soul to the company store”. Sold requires a conscious choice, willingly entering into the agreement. Under a company script system children are forced into labor as early as possible to help pay the family debt. In less than a generation teenagers are given the “choice” to go to work or see their families already meager income reduced to cover “their portion” of the family debt.
I stand corrected.
Trickle down shitononics will be taught to get your daily bread and water rations
I’ve seen a sudden upsurge of promoted videos in the last week or two championing trickle-down economics in my youtube suggested video feed. I thought it was odd. They don’t use the term trickle-down economics, but they promote the rich as job creators and use all the Reagan talking points. Based on the comments, lots of people are eating it up as amazing insight.
And this is why they are billionaires and we are not :)
In The Outer Worlds video game it’s the reality - there’s a few megacorporations a people are basically their property.
We work to earn the right to work
The rich capitalists haven’t made money the traditional way for about a generation now. The majority of wealth is made on the real estate and stock market which is based off of speculation and expectations of perceived value that have little to do with actual value.
So they’ll just keep making money off their own money.
A little secret, if you want to see how this works, look into how to make LEAP Options calls on the SPY ETF. Basically you can leverage some money by buying an Options Call on a safe bet like betting on the top 500 US companies via an Exchange Traded Fund. A LEAP just means that bet is LONG term,over the course of years. Unlike Stocks, Options require you to either cash out (exercise) your Options after a certain amount of time (weeks to years) “roll over” your option call by putting down money for more time, essentially doubling down on your bet.
If you place your bet on say , the S&P 500, you bet on the top 500 companies doing well over a certain time period (say the next 3 years). The Options call allows you to acquire say 60% more stock than you could technically afford, but you can only hold it for 3 years. If those 500 companies do well over the next 3 years, you get the returns of those stocks, and you got to leverage 60% more stocks than you could technically afford all because you were willing to make that bet within a certain time limit. Worse case scenario is the US goes into a recession that lasts those 3 years and you either lose your entire investment or you invest some more money (but not as much as the initial bet usually) to extend your Option call out for another period of time.
It’s one of the many ways even the moderately wealthy can earn a hefty profit over legalized gambling. The strategy I’ve just described to you is considered one of the safer bets amongst stock bros I’ve talked with, and it’s a real life Free Money Glitch that works as long as US economy line goes up.
Now imagine the insanity that goes on in actual Wall Street with actual dynamically changing algorithms and people who have devoted their lives to making more money out of existing money, and you start to realize that these rich fucks at the top can basically say fuck all to investing in companies that create actual value, they just need lower level investors to believe that paradigm still exists.
eyup. price to earnings ratio has not been normal since before 2000 and we all know how housing has been. The wealth disparity is so high now that whats left of the middle class and lower make little to no difference relative to the larger money pool. all gains at this point are people putting money in because its the only place to put the money.
Every trade has two sides. Someone has to sell you the options contract. No one is out there selling “free money” contracts. Why wouldn’t they just give you the money and skip the song and dance?
To everyone else: please don’t trade options if you don’t understand them, there is no quicker way to drain your savings.
I agree. I’m not saying its not without it’s risks, Options on individual stocks are pretty risky, but a call Option that follows the S&P500 over the course of 3 years? That’s a pretty safe bet. It takes a multi year US recession to lose that bet, and while certainly not impossible (we’ve obviously had a few of them over the past couple decades), but it’s the safest bet I’ve seen on Options.
I’m not advising people to do this, I’m using this scenario as an illustration to point out how making money on the US stock market is usually based off of mass speculation rather than any actual value made by people actually producing goods and services on the ground floor.
You are encouraging random internet people to do this.
Most of them don’t have enough sense to pull off gambling on a scale like you are talking about, my self included
I just invest in liquidity mutual funds and already made 30 dollars in a month. Way more than what my bank gave me as interests 😅
Don’t be put off by my jargon and in depth explanation. It is actually STUPID simple to do this. Do a SMALL bit of research and then use a Stock Market simulator to simulate a small purchase Call Option on the S&P 500 for 2 or 3 years. Then leave it. Don’t look at it don’t think about it forget about it.
Come back in 2 to 3 years and look at your simulated account. If the US did not go into a recession in the last 2 to 3 years you will have at least doubled your simulated money. After that do it for real.
Or you could be like me and walk away in disgust. It just made me very jaded about US economics and modern capitalism.
Ok so put it on black?
Hey man, the Internet has information, if you’re not able to use it, that’s not the information’s fault
What i dont understand: These gains are calculated into the option premium, so how is this still attractive?
Basically betting the line goes up faster (or earlier) than the seller predicted?Yeah that’s basically how leaps work. In this Calls example, you aren’t really betting that on expiry the stock will be near or slightly above the target price. You’re betting that sometime in the next 3 years, the price will be above the option price, or at least ahead of the expected rate of growth. Then you cash out on the additional extrinsic value at that point in time by selling the option.
This is a better explanation than I gave, thanks.
Use us as cheap labor to produce products intended to be sold overseas, just like China has been doing for the past 40 years or so.
Do you really think the people that made your iPhone will ever be able to afford an iPhone?We’ll circle back to feudalism
We never left it. Capitalism is just thinly veiled feudalism.
I’m a fancy digital serf now, yay
They will target wealthy people.
They will ask central banks to print money so poor people can take loans.
Wait a second…
