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Cake day: June 13th, 2023

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  • Growth isn’t a problem when it’s sustainable. However, there are natural limits to how far and how fast technological development and resource extraction will allow us to grow the economy.

    Additionally, competition within capitalism forces the wealthy to seek out any and all means of growth. If they do not they actually risk all of their wealth becoming devalued. This drives innovation but it also is the driver of imperialism, exploitation, environmental degradation, all of which grow the economy.

    When growth because less attainable due to various natural constrains, the wealthy start to cannibalize the systems that keep society stable. Again, they can’t help themselves. If they don’t their class position is threatened as some other capital owner beats them to the limited profits that come from privatization and austerity.

    This usually results in mass unrest across all the various classes in society. That includes some of the middle classes who also rely on exploitation to maintain their standard of living. In response to threat of social unrest, the wealthy usually align themselves with right wing authoritarians that claim to be able to bring order to the chaos and renew growth through imperial expansion. This kind of politics is often supported by some of the downwardly mobile middle classes. That’s how we get fascism.


  • At some point people do not actually become happier from additional wealth. If you create a system where people are allowed more than that you are just giving them power over vast quantities of resources for no particular reason. It becomes an incentive only for those whose lust for more cannot be satiated and is anti democratic by it’s very nature.



  • I don’t think China is in such a bind. That’s not to say they don’t face any challenges. However, their interests just aren’t as contradictory as this article suggests.

    China can undermine US power and attract US investors by continuing its rapid economic growth. That of course is not easy. They need to transition away from an economy based on large scale infrastructure development towards growth sectors such as green energy and high tech. They also need to develop better trade relationships with their international suppliers. As of right now it’s clear they’re trying to do both of those things and there are early signs of success.

    That said, the US is aware that a more economically powerful China threatens the unique advantages US investors currently enjoy on the international stage. That’s why the US is specifically trying to undermine China’s trade relationships and sanction its high growth sectors.

    Honestly though, I think the US is taking a huge risk here that could easily backfire. While sanctioning Chinese high tech might slow China’s growth in the short term, China developing its own independent supply chains may allow it to come back with a vengeance. Additionally, trying to cut China out of international trade deals may cause China to pursue more advantageous relationships that cut out the US entirely.