Monday, December 5, 2011

New Nobel Prize, new category; Economy Chemist


Capitalism is the economic system where the ownership of the means of production owned by individuals, motivated by the profit generated by the exploitation of labor power. Therefore requires stability on creating additional value from the employee to which accrue, to the capitalists. .  

With the constant need to create wealth and the possibilities of production and consumption of finite, sought new funding system power. This started as soon as new global players occurred since the 1980's.We can blame many in the system, but should recognize its ability to anticipate, adapt and survive (so far).
With the core of the system been blocked in the 70's, Capitalism found the way to transfer the gains in office and even capital gains were not created by him. 
First step, from the 60's, with world gold and valuations. Second step, since 1973 (Nixon presidency) with the possibility to exchange paper (U.S. dollars) in gold. Third step (2000), with derivatives, which were transformed into global gambling.

The system is constantly moving away from its essence, now looks more like a casino. Out of every casino, there is a usurer. With the last to fear that one day could not get the money to the victim, always is trying to deliver some oxygen to the victim to continue on one hand the victim his efforts, on the other hand the usurer his profitability. It is a systemic issue that would say Benny.

So when there was a need for new products (virtual), was discovered a week ago a new one. No, it is not the 119th element of the nature. Look what is it. The new generation ETF, active management, offering vigorously exposures in the stock through short selling of shares. You can sell shares in anticipation of falling and objective is to profit if the stock falls and security risk (hedging). I opened my books and counting an addition increase on global GDP, roughly $4.5 trillion from this virtual product. With a benefit to the management of 3%, well in addition to a profit of 150 billion.Nice.



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