Month: August 2015

Post #36 – Why We Should Ban Credit Derivatives

I think we should ban credit derivates. In fact, on one occasion they nearly got me killed. But just what are derivates, and why are they so bad? Well… I’ll get to that in a minute.

To keep this post as deriveting (ha!) as possible, I’m going to adopt at least one more bad pun and pop culture references to illustrate my point. I believe there are six major reasons we need to ban credit derivates – and those points are as follows:

  1. The first is the obvious detriment of counter-party risks.
  2. The second is that they are a sneaky way to hide credit risks from the markets.
  3. The third argument will revolve around regulation being good-for-nothing.
  4. The forth will be an examination of morals (i.e. that thing bankers don’t have) and how credit derivatives play to our worst characteristics.
  5. My fifth point will focus on how these ‘weapons of mass destruction’ as Warren Buffett refers to them – play a major role in the financialisation of labour and the further commodification of the working class.
  6. Last but not least… payback. The conglomerates involved in credit derivatives, and let’s look at the big picture here – there are only a few major players in the game – refused. (more…)

Post #35 – The Language Used to Sell us the TPP and Other Shitty ‘Free Trade’ Agreements

The famous American philosopher and essayist Ralph Waldo Emerson once said that…

Language is a city to the building of which every human being brought a stone

That was in 1876. Today, I reckon Ralph might agree with me that large multinational corporations are on the brink of buying up all those ‘stones’. You see, language is no longer simply a form of communication between us common folk – it is a tool. As with any tool, it can be used for good… or evil. Contemporary ‘free-trade’ agreements, such as the Trans-Pacific Partnership (TPP) demonstrate the latter.

From his self-imposed refuge inside the Ecuadorian Embassy in London, the whistle-blowing Wikileaks founder Julian Assange recently railed against this new global ‘free-trade’ agreement by calling it out for what it is. He proclaimed in succinct and somber terms that…

if you read, write, publish, think, listen, dance, sing or invent; if you farm or consume food; if you’re ill now or might one day be ill, the TPP has you in its crosshairs

With Abbott and Co. close to signing an agreement that you and I have no control over (or that most Aussies have never heard of), but that the largest corporations in the world were brought to the negotiating table for – you have to ask yourself, ‘how’d they get away with it?’. It’s nothing to worry about according to Tony Abbott, we’re just ‘open for business!‘ –  but what does this phrase, and others like it, really mean?
(more…)