Paul Krugman on Goldman's bonuses

Paul Krugman put it much more eloquently than I did in my last post (via NY Times). And was also put better than I (and more vitriolically) in this Rolling Stones piece.

I think my attitude has fallen to the wayside as pure cynicism. My experiences over the years here in the United States is that the will and desire to make change has evapourated. Maybe there was some spark and glimmer of said change when Obama took office but at the end of the day, he's still a politician. Anyone that would try to really fight for social change and economic change that truly benefits the people is labeled a radical and ridiculed to the point where their impact on politics is reduced to zero.

The small hope I do have is within the realm of technology. Much in the way that the financial industry has gained control of this country; technology can move it in a different direction. The principle in my mind is the same.
That in a political system, the easiest message is the one that gets voted on and debated. All others slip through the cracks.

Technology, like finance, has the ability to make more efficient the growth of the state. Also like finance, the workings of the technology are very difficult to understand without an in-depth knowledge of the rules and procedures that govern it. With technology, we can virally introduce concepts that undermine the finance industry, such as transparency. So a small change like www.citability.org can create a technological framework and a political framework that makes transparent the rules in which this political system is based.

It could also be used in more nefarious ways to such end as well. For example, we could have a police state in which all transactions are tracked and monitored by the government, so Goldman Sachs only paying 1% in corporate taxes would be monitored and funds automatically seized and placed into government coffers.

Or we could be subtle, such that rogue financial systems with peer to peer lending and financing aggregate to have the same impact on raising capital and borrowing against futures on an individual level so you don't just have institutional investment, when someone owns part of your company, they are a Facebook profile and not some faceless shareholder to be duped or cheated.

I'm reminded of the book by Thomas Friedman, the Lexus & the Olive Tree. The olive tree is a representation of us and our pride in our homes & homeland. One of the consequences of this rampant economic growth & increased wealth is that we're becoming a globalized people without the pride of being an earthling. It's easy to not care about things like oil piracy since it happens in some other country. I'd like to think that our global financiers are also global citizens but it's hardly the case.

I think that while the purse strings of the world are controlled by people are without care for their fellow human, we're only going to continue along this same course of development. Maybe Bladerunner is going to come true after all.