The state should represent the public interest

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The risk managers turned out to be the risk creators! The goat pretended to be the gardener! Corporatists turn private risks into public risks and put the cart in front of the horse and wonder at the destruction!

Bernie could set us free from the horse-sparrow theory (John Kenneth Galbraith) where the horse must be fed so the sparrow can live.

The state should represent the “public interest” but private interests are increasingly in the drivers seat – through privatization, tax subsidies, revolving doors, tax competition etc. The Miami Marlins are building a new $2-billion baseball stadium with public money. Wal-Mart hides $76 billion in profits in the Cayman Islands tax haven and Apple shifts tens of billions of profits to dummy Irish shell companies like AOS – Apple Overseas Services. Amazon, Google, GE, Citigroup, Boeing and most large corporations shift billions to tax havens so state, local and federal budgets are strapped. In the 1960s, corporations covered 40% of federal revenue and now they cover 8% or 9%. Housing should be a human right but is subverted by the right of speculation. The keys to affordable housing are low-interest long-term loans and the creation of a cooperative or non-profit sector.

Trillions were given to Wall Street banks when they cried “Too big to fail.” Private risks were made into public risks. A transactions tax could raise billions for revenue-strapped state, local and federal budgets. The financial sector must be re-coupled to the real economy. Taxes on capital gains should not be taxed lower than work incomes. Tax havens like the Cayman Islands, Switzerland and Delaware hide $21-$32 trillion in corporate profits. Bernie Sanders as president would be like everyone enjoying an extra week of vacation since the economy would run for the 99%. We could make the transition from exploding inequality and corporate feudalism to a social contract with shared responsibilities.

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