{"id":43461,"date":"2018-05-18T03:00:14","date_gmt":"2018-05-18T07:00:14","guid":{"rendered":"http:\/\/quotulatiousness.ca\/blog\/?p=43461"},"modified":"2018-05-16T18:53:36","modified_gmt":"2018-05-16T22:53:36","slug":"missing-the-entire-point-of-the-capitalistic-system","status":"publish","type":"post","link":"https:\/\/quotulatiousness.ca\/blog\/2018\/05\/18\/missing-the-entire-point-of-the-capitalistic-system\/","title":{"rendered":"Missing the entire point of the capitalist system"},"content":{"rendered":"<p>At the <em>Continental Telegraph<\/em>, <a href=\"http:\/\/www.continentaltelegraph.com\/politics\/mps-report-entirely-misses-the-damn-point-about-carillions-collapese\/\" rel=\"noopener\" target=\"_blank\">Tim Worstall<\/a> tried to explain why the UK Commons committee looking into the Carillion collapse appear to misunderstand the current economic system in a big way:<\/p>\n<blockquote><p>Frank Field and his mates on the Commons work and pensions committee really do have some \u2018splainin\u2019 to do here. For they\u2019ve entirely missed the structure of our current society and the reasons why that structure both exists and works. They go on about the greed at Carillion, the corporate vanity, the bad management. Then they complain that it\u2019s gone bust. Finally, that we need a management system to prevent corporate greed and vanity from bankrupting companies.<\/p>\n<p>No you fools, that Carillion went bust is the very point and purpose of the system. This is how we leach corporate vanity and greed out of the system, those who practise it leave the system.<\/p>\n<p>[&#8230;]<\/p>\n<p>What\u2019s being missed is that this is good. Not the greed, obviously, for that\u2019s something ever present in human nature. But what happens to those who act it out, bankruptcy.<\/p>\n<p>[&#8230;]<\/p>\n<p>And haven\u2019t they come up with a likely candidate for making things worse? That a committee of bureaucrats should be making commercial decisions for companies instead of the directors and management. Really, that\u2019ll work wonders, won\u2019t it?<\/p>\n<p>[&#8230;]<\/p>\n<p>People who screw up, for whatever reason, disappear from the economic stage. Which is what we want of course, those who screw up to leave said economic stage. We have actually tried bureaucracy as a method of managing this and as the persistence of the National Coal Board, the very existence of British Leyland, show, that\u2019s a system which doesn\u2019t work. Either of those organisations would have disappeared at least a decade before they did without bureaucratic interference. Indeed, that\u2019s how the bureaucracy\u2019s actions were justified, to \u201csave\u201d them. That is, markets are more ruthless at weeding out failures than bureaucracies are.<\/p>\n<p>What have we here? A complaint that markets weeded out a failure and to stop this we must have bureaucracy?<\/p>\n<p>Carillion going bust is the very point of our having a market based economic system. Sure, they screwed up \u2013 bye bye Carillion. See, it works!<\/p>\n<p>So why the hell are Frank Field and friends complaining? We already have a system which ensures that failures go kablooie \u2013 bankruptcy in our market economy.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>At the Continental Telegraph, Tim Worstall tried to explain why the UK Commons committee looking into the Carillion collapse appear to misunderstand the current economic system in a big way: Frank Field and his mates on the Commons work and pensions committee really do have some \u2018splainin\u2019 to do here. For they\u2019ve entirely missed the [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":35193,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[4,831,25],"tags":[409,156,261,458],"class_list":["post-43461","post","type-post","status-publish","format-standard","hentry","category-britain","category-business","category-economics","tag-corporations","tag-fail","tag-management","tag-parliament"],"jetpack_featured_media_url":"https:\/\/quotulatiousness.ca\/blog\/wp-content\/uploads\/2016\/06\/favicon.png","jetpack_shortlink":"https:\/\/wp.me\/p2hpV6-biZ","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/43461","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/comments?post=43461"}],"version-history":[{"count":2,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/43461\/revisions"}],"predecessor-version":[{"id":43463,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/posts\/43461\/revisions\/43463"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/media\/35193"}],"wp:attachment":[{"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/media?parent=43461"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/categories?post=43461"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quotulatiousness.ca\/blog\/wp-json\/wp\/v2\/tags?post=43461"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}