The Bottom Line About the Economy

Now the latest hype about the global economic situation involves the debate about what has caused it rather than what is actually taking place. Working class people must exercise some critical thinking, because this ruse intends to keep them in the dark. Since black folks are linked into the global economy just like anybody else, we need to get our heads out of the soaps and churches and anywhere else that does not help us gain clarity and substance on this issue.

The economists are inventing red herrings like the “global savings glut”. This is nonsense. Who believes that money can be earned thru saving? In terms of working class folks, it makes little sense to save, since inflation eats up savings. The annual 3% inflation rate results in only a 1% yearly savings on your money, if banked. Outside of the industrialized countries, there is no return because inflation is much steeper. If you are a middle class person trying to save, your higher education is not paying off.

Not only that, but the Savings & Loans crisis of the Eighties and Nineties definitely scared the US public away from savings and stampeded them towards more sophisticated types of swindles, such as retirement plans based upon 401k and KEOGHs. Just because an activity is approved by Congress, and filled with volumes of small type that only a lawyer can understand, does not make it honest. No black worker has any business playing the stock market without knowing the dollar value of one point on the DJIA or having $250k to throw away in a money-manager fund. ‘Investment’ means only fools leverage all their assets on a gamble.

So if the economists were discussing stock-based retirement funds as a form of savings, consider that misinformation. The New York Review of Books and PEN World Voices presented a symposium on the world economic crisis at the Metropolitan Museum of Art on April 30. At that time, the idea was proposed that savings had driven down interests rates when, in fact, the Fed and the European Common Bank (ECB) themselves dictate interest rates. Not only that, North America and Europe in no way represent the globe.

It is important to repudiate any notion which dismisses the theory that the ruling class manipulated the financial system for their own benefit. The theory proposed by the symposium flies in the face of every scandal from Enron to Bernie Madoff. It contradicts the events which demanded welfare (bail outs?) for the banks.

Folks must not be duped by the highly esteemed panelists at that event, former senator Bill Bradley, Niall Ferguson, Paul Krugman, Nouriel Roubini, George Soros, and Robin Wells, and Jeff Madrick as moderator. Not one of them has an analysis which serves the interests of the millions of people who form the basis of the US domestic economy; not one of them even speaks the language of every day people.

When the banks pressed the Fed to raise interest rates, this became the primary trigger for the financial meltdown. While most folks think of the banks as finance institutions, the bank is a tool for making money. It is an instrument for concentrating money. Concentrated money becomes capital. Working class people lack capital. They sell their labor for a wage. Capitalists do not earn wages. They make money not thru labor or savings but by skimming value from what labor produces.

If ten laborers in a gold mine work together to extract one ton of gold daily which has a value of $900 per ounce, not one of them makes $900 per day, or even half of that. Even if their combined labor only extracts ten pounds of gold a day, who gets the money? The workers do not earn enuf to save. The value of the gold gets concentrated at the top of the chain, by people who trade paper with a value printed upon it, in exchange for the real value that has been extracted from the mine. This practice prevails thru out the bloodsucking capitalist system, where a few people live exorbitantly upon the backs of five billion working people worldwide.

This paper money has a value assigned to it. This value can be manipulated easier than anything else. After all, the paper has no real value! Today, one dollar may be as strong as yesterday’s ten dollar bill; tomorrow, that same one dollar note may be devalued so that it is only worth five cents. Entire societies remain at risk as a worker in this type of system.

So the monies the panelists claimed were tied up in savings actually were being poured into a volatile market, the stock market, another place ruled by paper tigers. Over the last thirty years, real wages failed to keep pace with inflation and the cost of living. Working people lacked the ability to save. However, amid the fears that Social Security would dry up before they could retire, they put a few hard earned extra dollars into stock-based retirement funds. Human relations managers and other company officials pulled their workers off assembly lines to sell them pyramid and ponzi schemes called a KEOGH or IRA or 401k Plan. These talks sounded something like the average MLM hustle, where the guy at the top of the chain makes all the money and the suckers who bought into it are left holding the bag. That is precisely what happened in instances such as MCI-Worldcom, Tyco, Enron, and others all the way thru the  Madoff scandal. These were all multi-billion dollar scams.

Now, this symposium happened in April. Do not forget, several weeks earlier, pretty much the same crew had called for the goverrnment to nationalize the banks. Their analysis continues shifting, while the causes for this period of voodoo economics involve financial manipulation, pure and simple. Prior to the curveball idea about interest rates being dictated by savings, the pundits said that the financial crunch happened because people were living on debt, another shattered theory.

People were indeed living on debt, yet that is not the reason for the crisis. People were forced to live on debt because wages did not keep pace with rising costs. Remember the old adage: “When creditors enforce collections, that results in market corrections.” So for folks living in debt, their very existence has become manipulated by those who control wages and prices. Stay tuned to the media, because within the next few weeks they will cook up a new rationale for the problems they continue heaping on the backs of poor and working people.

Reparations in the Land of the Giants?

Obama Policy: Imperialism thru Democracy

Black workers, we who sell our labor to make a living, travail under special circumstances in capitalist America. We have the highest rates of unemployment, imprisonment, chronic health issues. On the other hand, we have the lowest rates for home ownership, capital formation, retirement security, and higher education.

The current economic crisis is marked by increasing unemployment, to the tune of 50,000 jobs lost per month. The government giveaway to the financial giants amounts to plus $1.5 trillion over the last three years. This includes “massive liquidity injections” to Wall Street bankers and the European Central Bank since 2006.

Now with all this money floating around, no mention of reparations can be made. No mention of helping the African community get back on its feet. The goliath of Imperialism has stomped the heart out of niggers thru out this country.

Just one point of clarity; before there were African slaves in the Americas, before colonialism and Imperialism, niggers never existed. A nigger is a slave who hopes for a peaceful coexistence within the Imperialist, racist system. If you go the extra mile to justify the racist cause like, maybe, Stanley Crouch or Tarik Nelson, then you’re a bootlicking nigger.

Niggers ought to kno, there is no peaceful coexistence with Imperialism. The Soviet Union was white, and thought Socialism could coexist peacefully in the world alongside Imperialism. That proved to be untrue. And Africans cannot buy into the myth that this racist country will allow them to prosper, to get a piece of the dream, and live in peace with racists next door, down the street, around the corner and on your job. Africans must begin to understand how the system of collaboration diverts our unity with the Caribbean and Africa for a myth no more real than Santa Claus, the Easter Bunny or a white deity which arose to remove your sins. Imperialism forced that nonsense upon black folks’ minds, and mentally weak niggers refuse to remove those mental chains.

So, the last few weeks have presented a somewhat quiescent period despite the growing economic crisis. People seem to yearn for that crummy stimulus check in the mail. It has literally caused most critics to shut their yapping traps. Makes one wonder what kind of check niggers would settle for if we can elevate the whole Reparations issue?

George W Bush gave out stimulus checks as well, in his first term, as a reason to celebrate his presidency. That is like King David giving every man in his kingdom a bottle of wine and a loaf of bread. Then again, David was a giant killer. While the jazz artists call Pittsburgh (my home town) “Land of the Giant Killers,” Bush 43, being from Texas, came from the land of the giants. Which is why he could bogart his way into office and behave as if all us little people need to enjoy our roles as unconscious grist for the mill of Imperialism.

So far, we haven’t seen much separation between Barack Obama and Bush 43. Obama isn’t going to address the Reparations question, and so-called black leaders do not want to rock his presidential boat.

Now the white media, with its ugly, twisted rhetoric, attacks Obama on all fronts. The media did not oppose the Bush war at any juncture in its development. It did not counter the blood thirsty lies spread by Colin Powell, in his role at the United Nations as US Secretary of State. This is not just a matter of interpreting or misinterpreting satellite data, as Powell would have us believe. It involved a campaign of slander and lies aimed at the IAEA, Hans Blix, and other internationally certified authorities on Iraq’s capacity to wage war.

Obama, having made promises he obviously never intended to keep, extended the deadline for withdrawing troops from Iraq. Some will be there indefinitely, locked in step with the Rumsfeld Doctrine, “that we will be there a hundred years, if we have to.”

From the land of the giant killers, the slings are being primed.

One media goliath has have slandered the anti-war establishment as “Democratic voters who ached to see America defeated in ‘Bush’s War’”. The giant killers are not Democratic Party voters.

Besides, the US cannot be defeated in Iraq because of several factors. Superior military force always prevails over any highly disorganized and subjective anti-occupation movement. Religion worked fastidiously against Iraqi nationalism. The Brits instigated sectarian violence between Sunni and Shi’a Muslims by surreptitiously bombing the Golden Mosque. This deflected all efforts away from the occupation, the internecine conflict exacerbated by the CIA/Al Qaida anarchist Abu Musab Al Zarqawi.

Now the weak, neo-colonial micro-state struggles to survive in the face of an eventual pull out. The lessons we take from Iraq apply to this period in history.

In Iraq, the Arab world’s only industrialized nation-state, Imperialism completely shattered that country’s economic infrastructure thru twelve years of genocidal economic sanctions prior to the second US invasion, aka the Third Gulf War. The bloodsucking media has the nerve to imply that those who voted for the Obama policy of Imperialism thru Democracy actually wanted to see the US be militarily defeated in Iraq!

Today, the US economic crisis threatens to shatter the lives, jobs and communities of tens of millions of people. With over one trillion dollars already being doled out to investment banks, the giants are killing us. The black community is suffering its own war, a war where far too few of us have ever fought back, a war where those having sanctions and prisons imposed upon them are all too happy to believe the enemy is the friend.

To say, Iraq survived twelve years of sanctions then suffered another devastating military attack by the US and its allies. Now the US working class must likewise take a hit by the same giant interests, international finance capitalism. The most marginalized players, the black workers will bear the brunt of this “crisis” around the world. So black workers must begin to see themselves as giant killers.

We cannot afford to wait for a US military defeat in Iraq or Afghanistan, while the spineless white left says that plant takeovers and uprisings are “ultra-left”. However, workers cannot remain content with bearing the burden of capitalist economic crises. Black workers, who suffer chronic unemployment, chronic debt and health issues, and all the other baggage that anyone assumes goes with being avowed insurgents, are not maroons, rebels or even passive enemies of Imperialism.

In order to become free, black workers must make the decision to be the conscious enemies of capitalism. Black workers, the little guys, must become giant killers. You want Reparations, my People, STAND UP!! Stand up, People. To hell with Obama, he is no black savior. Only the People united will never be defeated.

A Brief Overview of the Current Crisis

PAIDS, Racism and the Ideological Paradox

This period of capitalism is marked by several key aspects which have been so far discussed and defined, in the main, as challenges which confront the working classes. Summed up in a type of short-hand so as to make for easier understanding, they are as follows:

PAIDS, which is false consciousness amongst the colonized workers
Neo-Colonialism, or the dilution of the concentrated class question
Racism, the Concentrated Class Struggle
The Ideological Paradox: Democracy at work for Neo-Fascist Imperialism
Anti-Imperialism, necessary to downthro Imperialism and birth a new society

To begin with, Politically Acquired Ideological Deficiency Syndrome (PAIDS) means to explain the saturation of false consciousness within the colonized community within the US. However, it can also sufficiently explain all forms of false consciousness within the working classes as well. By false consciousness, PAIDS means any view which identifies with the ruling class and does not help to liberate the oppressed masses. It is marked by either a lack of an anti-imperialist dialectic or outright unity with Imperialism itself.

A seeming paradox posed against false consciousness, racism, as the concentrated class struggle, has simply drawn the greatest volume of discussion and dialog. It seems as tho resistance to a scientific understanding of the class struggle persists. Too many working class people do not seem to grasp that within a class system the class question defines all social relationships.

Neo-colonialism, in all accuracy, does not reflect PAIDS but the dilution of the concentrated class struggle.

To break down racism as an extension of the class question seems to contradict everything that we have been taught about race. Yet people fail to understand that class existed before racial conflict. That is, class societies have existed on every continent on the planet.

They existed prior to capitalism. In slave and feudal societies, caste systems often prevailed. These instance arose when one society conquered another and occupied its territory. The enslaved nationality was subjugated under the yoke of a caste system, its leaders slaughtered and women raped.

Now while this happened under capitalism, and gave the capitalist system its boost and forward momentum, the conquerors no longer occupied neighboring lands. A form of colonialism, they conquered entire continents and transported captives from far away to work the soil. These captives were dramatically different from the conquerors in appearance and culture. So the theory of race evolved.

Having colonized nearly every inch of the Earth, the capitalists codified their domination in laws. In China, the British posted signs stating “No Dogs, and No Chinese Allowed”, as if dogs can read. The US made the transition from slavery to jim crow, having similar strictures. In Rhodesia and South Africa, apartheid was practiced.

The class question became concentrated, focused the way a magnifying glass concentrates the sun, upon the colonized workers. Anyone who says that racism is not the concentrated class struggle has no concept of class, of struggle and of capitalism.

To turn to the economic meltdown, it is just an expression of the Ideological Paradox. People must understand this. The Ideological Paradox is formed from two social phenomenon working in tandem.

Bourgeois Democracy simply allows people to choose their government, then blame them for electing representatives who work against them. Imperialism, international finance capitalism, is the economic system which determines the policy that bourgeois elected leaders must follow. The paradox is that the two are incompatible together, since a dictatorship operated by a small class of financial manipulators ultimately calls all the shots, thereby making democracy an empty ideal.

With the election of a liberal neo-colonial president in the USA, we can define this period as Imperialism thru Democracy. The apparent easing of repressive legislation, the steps and turns to restore a Keynesian economic model, and generally liberalized policies in US society have lifted many fears and apprehensions. However, the policies of previous administrations remain entrenched.

If the crisis in capitalism takes place at the juncture of the class struggle, it bears saying that democracy merely operates as a tool for class domination. Bourgeois democracy simply allows people to choose their oppressor, then blame them for the government they have elected. While the working class continues to comprise the vast majority of people in this country, somehow they have become convinced that the US is a middle class country. More importantly, workers have come to believe they comprise the middle class. This presents more evidence of PAIDS, or false consciousness.

For this reason, they have voted for anti-labor politics over the last thirty years, or Democracy thru Imperialism. Which means spreading democracy thru what appears to be the strength of international finance capitalism. At times, this involves using the military solution to gird strategic interests. Even when democracy appears to spread Imperialism, the military solution never gets taken off the table.

So the anti-imperialist struggle must be waged to counter the parasitic tendency within capitalist society in general, and in the Imperialist system as a whole. While the importance of building workers collectives, cooperatives and communities of resistance (kilombos, palenques and maroon enclaves) must be stressed, other areas of the struggle need be built.

African and other colonized workers must increase the demand for Reparations and working class justice. This takes the form of community control of police, to dilute the power of the ruling class, as well as wealth dilution. This means workers control of plants, businesses, and infrastructure. It means reduction of the banking system and radicalizing a rebuilt union movement. The workers do not have the luxury of allowing the bourgeoisie to define this period. We have to seize the means of production, and exercise power in our own interests.

BLOOD, ON A SHINY PIECE OF DIRT

Return to the Source

For millennia, children laughed and played while adults hunted and fished and farmed a land where shiny pieces of dirt lay on the ground and in riverbeds washed down from mountains and volcanoes thru aeons of geological activity.

People lived there thru out the ages and decorated themselves with these shiny pieces of dirt. These rocks, stones, minerals and ores lay plentiful across the landscape.

People advanced thru different ages from clans of hunter-gatherers thru to bronze-age tribes who domesticated cattle, on to iron-age nation-builders who raised empires and razed older societies.

Then capitalism arrived from the outside. It enslaved people under the banner of colonialism, which attempted to erase their old ways of life. Capitalism carried off millions to another hemisphere, where the people worked and died in mines and on plantations to enrich masters who broke their backs. They built a new society on their backs, a society which despised them even as it lusted for their labor.

Back home, they were made to tear down their own civilization and use the wealth of their land to export to palaces and mansions far away. They could not even dream of how their back-breaking struggles produced exotic luxuries for the bloodsucking pirates, who invented private property and reduced land and power to deeds and writs on mere pieces of paper.

In the land where paper was invented, it had never before been used to oppress people.

Shiny piece of dirt, a diamond. --Image from Wikipedia

"Shiny piece of dirt, a diamond." --Image from Wikipedia

Suddenly, shiny pieces of dirt, which had little intrinsic value, became priceless. The dirt that people walked upon, the dirt where children played, now became important in ways that people had never before imagined. They became enslaved for shiny pieces of dirt; they died mining it, sifting thru common soil to separate out the shiny green or red or blue or clear pieces. After awhile, they were given paper in exchange for the dirt. But for centuries, they only received a few stripes from the lash.

Now, they are given the gun. They are given bullets and machetes in exchange for the shiny pieces of dirt. In the faraway land where their sisters and brothers were kidnapped and enslaved, people wear the shiny pieces of dirt, paid for in blood by relatives in the Motherland. The lost orphans call it bling. But bling is just a shiny piece of dirt that once lay on the ground and while they pay for it with worthless paper, the hole dug for that shiny rock now becomes the grave for six million precious lives lost for the sake of worthless paper, worthless bling, and worthless power.

Economists Call for Nationalization

Neo-Fascism Waiting in the Wings

The word for today, boys and girls, is NATIONALIZE! All thru out the news yesterday, economic pundits called on the government to NATIONALIZE THE BANKS! What does this mean? Leading economists of the capitalist system calling for nationalization can mean several things. But first, we need to define nationalization and society in the age of misinformation.

President Barack Obama made a speech in Arizona, which has the third highest foreclosure rate in the country. Obama wants to help banks restructure mortgages, and refinance some mortgage holders who owe banks for homes no longer worth what they paid. All this is part of his stimulus package.

However, the automakers continue to be in distress and Goodyear lays off workers because slow car sales means less tire manufacturing. The New York Stock Exchange closed down by 300 points. Economic activity is predicted to contract and unemployment is expected to rise. Most experts believe the recession will last at least 24 months if it doesn’t plunge into a depression.

Structural readjustment for the US economy can only lead towards financial disaster. The bloodsucking international banking system proved this in Africa, Asia and Latin America. When economists begin demanding the nationalization of banks, capitalism is in big trouble. Nationalization means a government takeover of a sector or the whole economy. This can happen under a socialist state, which we do not have, or it can happen in a state moving towards fascism, which we appear to have.

While the administration has not broached this subject, since Larry Summers of the White House’s National Economic Council appeared in several interviews and never even hinted at it, business experts and leading economists have begun making powerful cases for nationalizing the banks. To underscore, Timothy Geithner, Treasury Secretary and former head of the New York Fed, has a grounded policy initiative due to a sharp change of course which resulted in tanking markets on Wall Street. The pundits have panned Geithner and made an issue of Obama trying to fix the economy from the White House, citing politics and, paradoxically, George W Bush’s policy of giving the Fed a free hand.

All the leading capitalists, from the president on down, smell like a stinking joke.

But to nationalize the banks? Wow, that is a great leap, and not of the Maoist kind. Because we must ask the inevitable question, how will that happen? Especially after banks continue to receive massive monies from the public coffers. In the age of misinformation, where the neocons have convinced white workers that welfare, national health care reform and Social Security are socialist programs while remaining silent on gov’t giveaways to financial institutions, people must be wary of what it means for certain forces to make the call for nationalization. Because if Obama’s administration emerges from this period looking like the Weimar Republic, it will set the stage for a neoconservative resurgence out for blood.

This is no attempt to solve the Imperialist crisis. Yet a government takeover of the banks musn’t transpire after so much money has been doled out to them, nor without purging the top management of any banks that get seized. No takeover should happen with compensation going to stockholders, either. Altho this contradicts US laws concerning imminent domain, the banks have already received massive liquidity injections of public funds on a periodic basis since July 2006. Whichever banks are insolvent the government has no business acquiring them in any attempt to make them float.

Thus, experts calling for nationalization seem to be pulling the wool over our heads. They have the temerity to defend Bush’s economic policy decisions while criticizing the moves made by the four week old Obama presidency. Business experts Nina Easton, Fred Mishkin, Nuriel Roubini and Mark Zandi appeared on Charlie Rose to form a consensus on nationalization and against having a White House-run national economic group. However, the calls for nationalization have been broader than just theirs, cattle-prodding the black president into a less deliberate response to a crisis that has built up over the life of the entire subprime mortgage era.

Since the Clinton-era “war on crime”, codified in repressive criminal legislation and accompanied by a massive prison boom on the backs of black prisoners that jolted the voodoo economy of his predecessors, plus the passage of NAFTA alongside the unspoken war against Chicanos and other Latino immigrant workers, the United States has become a neo-fascist republic. This trend sharply intensified under two terms of the Bush 43 administration with the so-called “war on terror”, itself a form of terrorism. Combine that with an economic crisis in the making since the S&L scandals of the Eighties thru the DotCom shakeout on to the current subprime mortgage meltdown, if it can be correctly characterized that way.

The effect of these combined scandals and crises has been a huge concentration of liquidity into ever fewer hands. The credit regime arose because liquidity had been squeezed to the extent that people lacked the resources to buy with cash.

So, in making paper tigers from coast to coast, it became necessary for economic growth to rely heavily upon consumer credit spending. And this practice resulted in a more intensified concentration of liquidity. By concentrating cash in so few hands, money became even scarcer for workers, the middle class and small business. Towards the end, statisticians revealed how Americans worked longer and harder than their counterparts in other industrial countries, how production had increased — because of people trying to work themselves out of debt — and folks had less to show for it.

In a country where workers happily settle for $300 tax kickbacks while the government doles out $750 billion to financial institutions, anybody calling for nationalization of banks is either delusional or on a serious mission to turn this country into a fascist state. The steps towards fascism remain firmly in place and Obama, being a part of the ruling class, may not be turning away from that.

Ultimately, we need a workers economy based upon redistribution of wealth. Concentration of wealth must become thoroly diluted so that society will experience no more of these economic crises. The abstract value of paper documents from legal tender to asset-backed commercial paper and other capitalist instruments has to be abolished. The love of one another will overwhelm the love of money if we make it happen. Ubuntu is our only future: We need a society built upon people power instead of crass dollarism.

Black Workers in the Financial Rip Off Game

Bail Out or Hand Out: White Supremacy in Crisis

The basic misconception about the so-called financial meltdown is that an overextended credit regime caused the problem. This simplification dumbs down the public response to what is really taking place. To understand this, we can ask a few questions. Like, why are retail prices on big ticket items such as plasma televisions, Cadillacs, etc. falling? In a crisis, prices are expected to rise due to inflation, yet the dollar has become stronger. Then, why are the banks, the highest level of business organization, claiming to be in trouble, when we see financial institutions all over the country either buying up assets or being bought. What is happening to the labor movement, and why hasn’t it taken the offensive defending the interests of working people?

To comprehend the “financial meltdown”, we must understand the history of those who engineered it. While the so-called crisis began in the Eighties, the tone for its demolishing effects was set in the Bush 43 administration. This trend was set with the rewarding of no-bid contracts to defense industry specialists, and a Washington political clique run by cronyism and the Texas mafia.

People must accept the view there is no real “bail out” of the finance industry. It is a government hand out so that the big capitalists can concentrate liquidity and thereby control the world economy. By concentrating liquidity, (remember, “Cash is king”) they strengthen the dollar’s purchasing power because it has become scarce. This has a weakening effect on other currencies. If there were a financial meltdown, inflation would have hit the dollar bill. But the American consumer is not being afflicted by inflation. In fact, prices on many consumer goods have plummeted. The dollar has become very strong in the wake of the so-called meltdown. So we can dismiss the idea of a crisis deriving from “overextended credit” as a culprit. So the economists and other financial experts who discuss the problem as deriving from a stressed out credit regime are deceiving the masses.

The extensive credit regime emerged because a process was needed to give workers the illusion of having attained middle class status. This went hand-in-hand with a strategy to weaken the labor movement, which had made the working class strong and kept the neo-conservative trend a marginal, at best, political movement.

Credit permitted people who had only dreamt of ever owning a home the ability to finally have that aspiration within their grasp. It allowed poor people to buy cars; credit extended folks an opportunity to buy furniture, education, electronics and other comforts of life. Credit also invented a new redline. The redline was originally the line drawn up during redistricting, which political parties had used to gerrymander black districts, thereby diluting black political power. Another form of the gerrymander was at-large elections that did not recognize districts. These practices effectively prevented black representation in public office. Redlining also became a practice, outlawed during the Seventies yet rarely enforced, which the banks used to deny loans to blacks and other colonized workers.

The adjustable rate mortgage (ARM) became the new redline. The ARM is a piece of work used to rip off consumers in the housing market. When credit rates hovered between 4.5% and 5.5%, black folks who had been shut out of the housing market due to any number of circumstances, did not have access to normal credit instruments. The ARM appeared to be a turning point in creating a friendly relationship between banks and the black community. However, the problem with the ARM is that after a period of time, say four to seven years, a prevailing high interest rate would lock in and become the defining feature of the mortgage package. So an ARM originally purchased at 5.5% in 1995 may rise to an 11% rate in 2000. That jeopardized many homeowners.

One historical and fundamental reason why Africans, why we black folks, had been shut out of the housing market was because a racist government agency known as Housing and Urban Development (HUD) tied up houses in black neighborhoods and refused to sell them for forty years. This effectively prevented a positive trend from transpiring, as the numerous community residents who had tried to buy those houses and rehab their own neighborhoods over that period were stopped cold. When the housing bubble hit, HUD sold these houses to deep pocket developers. So the government counterinsurgency against the black community collaborated with finance in a Sixties Era agency, reputedly formed to assist urban areas, to set up this current situation. These practices guaranteed than unemployment, drugs, health issues, crime and other problems would remain concentrated in the black community. So without government acquiescence in this and other areas, the credit regime could not have been imposed.

During this self-same forty year period, illegal redlining simultaneously prevailed without effective enforcement. However, a few other points must be stressed to give a more complete picture of the role credit has played. This has been explained in previous essays. The pundits have lied about credit having been overextended, thereby causing the so-called financial meltdown. Credit became a trend following the Savings and Loans scandals of the Eighties and early Nineties. Today, many banks supposedly are surviving thru drug money laundering and other illegal activities. Yet that was the cause of the S&L crisis, wherein over 600 institutions went out of business and the FDIC covered their savings. Not one person was prosecuted. No major investigations were started, revealing another case of government collaboration with the finance sector. What did happen, a huge amount of liquidity (cash) became concentrated in the hands of movers and shakers in the financial sector. Remember, concentration of wealth for private ownership and control is the major feature of capitalism.

Following the S&L scandals, another scam arose to rob the working classes. This was the stock-based retirement plan. Now, investment portfolios are not made for the working class. They do not exist for the middle class, for the most part. Anyone watching a PGA tournament can get an idea what investment capital looks like: $250k to spend in the money market. Otherwise don’t pick up the phone.

But to get their hands on lots of easy money to build million dollar portfolios, investment bankers brought in human resource managers and other people to sell workers on stock-based retirement plans. These plans, conveniently packaged in the form of 401ks, KEOGHs and IRAs, might be worth $50 to $200 per month per worker. Hence, multiply that by the number of workers who bit, and it became a tidy bit of change. Add to that retirement packages put together by unions, guilds and other bodies, and the financiers were getting totals in the tens of millions every month. So when organizations like Enron, MCI-Worldcom, Tyco, and others went under, they dragged all those stock-based retirement plans with them. For instance, the Pennsylvania Teachers Retirement Fund lost $55 million in Enron alone.

Workers’ money placed in stock-based plans is money taken out of circulation. That is money which a worker will never see, will never spend, and amounts to nothing more than a gift to the rich. That money is not being used on anything which benefits the working class; in fact, that money is being concentrated in the hands of a class at war with the working class. Since cash had begun to dry up, it became necessary to extend credit to further concentrate ever more liquidity into the hands of the bourgeoisie. The credit system was expanded so that all Americans had access to credit who wanted it. This forced people in hoc to the bank to work at a pace that actually deprived them of the very things which makes life worth living; statistically, people in this country work harder at longer hours and for more days in the year than in any other industrialized nation. The people who value freedom so preciously have given it up to the credit system.

The analysis of the nation’s economic “pundits” seems to be the prevailing opinion without any significant challenge from either the Left or the unions, even while unemployment rises and wages are being cut. We have to challenge the notion that a financial meltdown has hit the banks. We have to show how the financial institutions have created one scenario after another to concentrate greater amounts of capital in their hands. It is important to expose that the dollar is strong because the financiers have hoarded it; they have locked up liquidity and made it tough for the masses of people. Yet they are not suffering, and the system of credit is just another regime imposed upon a duped working class.

We also have to break white working collaboration with the ruling class. The white worker no longer has any stake in the concentrated class question, aka racism. When the white worker commits national suicide and unites with the workers of the world, that will bring about the end of capitalism. Yet black and Latino workers in the US do not have time to wait for that break thru. We have to deepen our solidarity, work together to build an internationalist movement, and fight against Imperialism. Say no the the bail outs! Defend the rights of our African and Latino communities! Power to the People!

Whose “Malcolm X” are we talking about?

https://i1.wp.com/www.eminemitalia.it/images/hiphoptimeline/malcolm_x.jpg

The Umpteenth Assassination of Malcolm X

Just a few words on Omowale Malcolm X and the two media hacks who recently broached the subject. Stanley Crouch and Tariq Nelson are totally wrong about Malcolm, who spent his life fighting racism. The two repudiate Malcolm’s life (Crouch crab) with typical white supremacist boilerplate. In fact, they kowtow to the Klan idol erected for them by the likes of arch neocon Pat Buchanan (see Parasite) and others.

Malcolm X grew up in a household where his Garveyite father was lynched by the KKK, and his mother starved out by racist society. A Jim Crow social services agency broke up his family. Malcolm’s brilliance in the public school system was thwarted by the segregationist educators themselves. When Malcolm grasped the vision that his father had left for him, his energy and commitment awakened a brand new era of struggle for the black community. Were it not for his contribution, black middle class mobility would be thirty years behind; yet had Malcolm’s efforts succeeded, the masses of African people would also be moving forward on their own. Adversity builds character and principle, something notoriously absent from all Crouch’s writing.

The scenario painted by Crouch and Nelson, and I say “they” because Tariq Nelson seconds Crouch’s neo-colonialist dogma, echo FBI and John Birch views of circumstances surrounding Malcolm’s death. Plus, the counterinsurgency that killed Panthers like John Huggins and Bunchy Carter had nothing to do with fratricide anymore than Crouch and Nelson have any fraternal relations with black liberation. Their character assassinations of black revolutionaries lacks even the most remote fraternal sentiments. And that is the framework that we must use for those who gunned down Malcolm X, and other black liberation proponents.

Stanley Crouch’s alienation from black power and even the civil rights movement puts him out of touch with history, with the black community and with reality. The counterinsurgency that slaughtered Patrice Lumumba, Amilcar Cabral, Eduardo Mondlane, Walter Rodney, Maurice Bishop, and numerous others was part of a broad international effort to stop African progress. This included the FBI, CIA, NATO, MI6, the SADF, the Special Branch, the Flechas, Renamo, Mobutu Sese Seko, Jonas Savimbi’s UNITA, Buthalezi’s Inkatha, US organization, USAID. Then Crouch and Nelson will want to lament the violence and crime and unemployment in the black community and the crisis in the Congo, by blaming guess who? Black people!

Africa’s revolutionary patriots were at times killed by forces claiming membership in the liberation movement. Crouch’s a-historical idiot logic may characterize that as fratricide, too. But Crouch does a grave disservice to the entire history of black liberation from the first Africans who fought colonialism or made any form of resistance to those of us who carry on the struggle today. His words deface the valiant freedom work by Mother Harriet Tubman, who personally rescued over 300 people from chattel slavery.  They dismiss the entire history of black freedom fighting for a job sitting at a desk selling newspapers, or for a party hack in the White House just for skin colorism. While Crouch and Nelson apply Occam’s razon on behalf of Imperialism, their poot butt silouettes will eventually be obscured by the giant legacy cast by black freedom.

===============================

On Obama, Powell, Rice and ‘House Negroes’

A. Peter Bailey wrote a great article, if only because we don’t have enuf discussion around Omowale Malcolm X these days. As many people kno, the Black Panther Party for Self-Defense was rightly considered “the angry children of Malcolm X”. If any group carried on that giant man’s legacy of anti-racist polemics and principled ideological struggle, it was the Panthers.

I say that to remind Bailey that where he apparently agrees with statements issued by CIA agent Al Zawahiri (in order to spark this discussion), this is problematic! Al Qaida is a CIA terrorist organization. Al Qaida uses all the tactics of violence from the colonial era, tactics used by the Portuguese flechas in Mozambique, Guinea-Bissau and Angola. Al Qaida uses the same type violence deployed by Tipu Tib, and by King Leopold’s forces in the Congo and Central Africa. These same bloodthirsty tactics used by apartheid Rhodesia and South Africa had been defeated during Africa’s epic anti-colonial struggles. Only a neo-colonial force would use the methods of suicidal violence, sectarian anarchism and brainwashing adopted by Al Qaida, taught to them by the White House’s CIA corps from the time of Jimmy Carter. Thus, I don’t think Malcolm X would have been flattered that the Al Qaida pigs have used his turn of words to describe anybody, except themselves.

Moving on, about the house negro controversy Bailey states:

If Brother Malcolm was still with us today, I believe he would use it to describe those “Negroes” who are constantly called upon by white television and radio talk show hosts, journalists and academicians who are looking for a “house Negro” to attack black folks whom they consider insufficiently grateful for “all the good whites have done for them.”

We have to remember, Malcolm X himself popularized the term “Black” and gave it a political context. It is as different from “Negro” as a revolution is from reform. Which means that lots of people genuinely might never kno the difference. The last four paragraphs of Bailey’s article places in perspective the very ideological meaning of the word as christened — to use that term for lack of a better one — by Malcolm. Yet we are jumping ahead of ourselves.

Bailey goes on to mention his disapproval inasmuch that:

…such “house Negroes” are Ward Connerly, Jesse Lee Peterson, Clarence Thomas and their cohorts in the political, journalistic and academic arenas.

Bailey is dead on the point tho he hesitates to make a complete sweep, as Malcolm most likely would have done. In not finishing the job with style, A. Peter Bailey leaves the barn door open and a few jackasses have escaped.

Here are the ones too stupid to bolt: Connerly, for those who do not kno, is president of the California Board of Regents, appointed responsibility for striking down quotas for black students and other minorities. Rev. Jesse Lee Paterson makes his living lambasting critics of the white power system on behalf of the neoconservative right. Of course, Clarence Thomas is the underqualified Supreme Court lackey who lacks any understanding of democracy and votes with his bosses 100% of the time.

Now why does Bailey believe Malcolm X may have approved of Barack Obama, Condoleeza Rice and Colin Powell? For a hint, we quote his own words…

One doesn’t often see white power propagandists such as Sean Hannity, for instance, calling on them when they want to launch an attack on a black person whom they want to put in his or her place.

C’mon, brother Bailey, that’s a weak argument with even weaker logic! Hannity isn’t any great expert. If he were, the petty job of interviewing traitors, sell outs and other stooges would be beneath him. You must remember, the neocons need to cultivate the most abysmal failures amongst the oppressed nation because the neocons themselves feel threatened by widely recognized and thoro black intellectuals who can challenge their idiot logic and duplicity. People like Na’im Akbar, Abdul Alkalimat, Angela Davis. If Hannity cannot hold his ground with them, he cannot possibly have an intelligent conversation with a secretary of state even if they have the same basic ideological views.

While Obama, Rice and Powell may not have made their careers off the defeat of the black liberation movement (PSYCHE!) they made their careers from getting white people to not think of them as black?! Notice the difference when you split those hairs? And Bailey neglects the crucial, bootlicking appearance Powell put in for US imperialism at the 2001 World Conference Against Racism. There, Powell deliberately tried to derail the entire conference by insisting that zionism is not racism. Then the pig walked out. Somebody left that barn door open again, my brother.

How can Bailey legitimize Sean Hannity’s choice of flunkies, who just cannot even remotely relate to Powell and Rice on a mental level. Hannity cannot discuss international affairs or any serious area of the State Department for his viewers because Hannity is a media hack. A spin doctor. A yellow journalist and nobody worth citing except to use his own words against him.

Should Hannity interview Connerly or Thomas, themselves nothing more than paid shills for the most racist segment of mainstream American politics — so inept at holding real jobs that they have minimal qualification for the positions they do hold — what does that say about Hannity and US democratic standards. It suggests the old boy network means more to capitalism than quality personnel, which is why capitalism is a failure. What does this say about the racist class system and the notion of enforcing quotas on the bourgeoisie for us as Africans rather than building the liberation movement.

Furthermore, we must say that Malcolm’s analogy of the house and field negroes was nothing except a homily on class. Much to his credit, Bailey hasn’t taken Malcolm’s example to introduce us to the absurd concept of the house negro as hero, muddling the idea that Malcolm X sought to convey. That is not what Malcolm X meant. He did not mean it to talk about differences in skin color amongst black people in America, either. The black (see “Negro”) middle class has taken on the job of obscuring what our Shining Prince intended by dulling the discussion of class by grinding off the edges. Malcolm meant this comparison as an introduction to class stratification in our community; the relationship of one class to both the oppressors and the oppressed creates opportunities for that class based upon their strategic role in society.

Because of the black liberation struggle, the middle class (house negroes) were given accelerated mobility within the capitalist system in exchange for turning their backs on democratic standards. In other words, when the government crackdown on black liberation forces occurred, the black middle class looked the other way. Today, this historic role has made the colonized middle class of all nationalities fit to assist the anti-democratic standards of the United States. It explains why former Attorney General Alberto Gonzales so willingly pressed to erode constitutional guarantees. It shows how city governments in predominantly black cities like Atlanta can make such ridiculous laws like those prohibiting sags. Facilitating repression has been the trade off for colonized advancement and mobility.

Indeed, Bailey cites some great words by Malcolm X at the end of his article. The four paragraphs talking about black nationalism is what revolutionaries today consider self-determination, something which on paper that Obama, Rice and Powell will never touch with a ten-foot pole even if a blue-eyed Jesus Christ himself guided their shoe shining paws. Which is perplexing, because Bailey makes a train wreck of his own argument by not following the logic or applying a dialectical method to his own premise. One thing Bailey did accomplish, was inserting Malcolm back into the discussion as it concerns blacks in America, and for that he deserves his props. Here is the piece he quotes on self-determination:

“The organization of Afro-American Unity will organize the Afro-American community block by block to make the community aware of its power and potential; we will start immediately a voter-registration drive to make every unregistered voter in the Afro-American community an independent voter; we propose to support and/or organize political clubs, to run independent candidates for office, and to support any Afro-American already in office who answers to and is responsible to the Afro-American community….

“And in this manner, the organizations will increase in number and in quantity and in quality, and by August, it is then our intention to have a black nationalist convention which will consist of delegates from all over the country who are interested in the political, economic and social philosophy of black nationalism. After these delegates convene, we will listen to everyone. We want to hear new ideas and new solutions and new answers….

“We must establish all over the country schools of our own to train our children to become scientists and mathematicians. We must realize the need for adult education and for job retraining programs that will emphasize a changing society in which automation plays the key role. We intend to use the tools of education to help raise our people to an unprecedented level of excellence and self-respect through their own efforts.

“The political philosophy of black nationalism means the black man should control the politics and the politicians in his own community; no more. The black man in the black community has to be re-educated into the science of politics so he will know what politics is supposed to bring in him in return. Don’t be throwing out any ballots. A ballot is like a bullet. You don’t throw your ballots until you see a target, and if that target is not within your reach, keep your ballot in your pocket….’’

So while Malcolm X introduced the concept of house and field negroes to begin the discussion of class, I don’t think he honestly would have confined it to that level. Malcolm X introduced class that way in order to develop our understanding of class forces at work in society. Malcolm X was a revolutionary. He waged a polemical battle against racism and Imperialism, and for that he was killed. Long live Malcolm. Power to the People!