American capitalism not so popular now


Meet Mr. US Capitalism. He’s going away as we know him. Maybe we can just imagine that he’s going on the “Biggest Loser” TV show to never to be the same again. Yes, Mr. US Capitalism had been all the rage for the past thirty years. Mr. popular, indeed, promising great reward to all those who listened to his principles of free-market economics.

During his time, he did some incredible things. The US had a great and innovative economy driven by the relatively free flow of available capital. Amazingly, he continued to come up with newer and more complex investment instruments that put more and more capital into the market place. Viola, the housing market grew, new ideas were funded. Money seemed to be everywhere. Mr. US Capitalism, you were da’ man!

In fact, the rest of the world needed to benefit from such ingenuity. China, Russia, even some EU countries needed to put all their trust in Mr. US Capitalism’s message. We needed to convert all the unbelievers. After all, the Berlin Wall came down thirty years ago (well, it was November 9, 1989) declaring that the centralist economic system of the communist as nil and void. Mr. US Capitalism seemed to have made it through the Cold War as THE viable economic system.

Yes, those were the good old days. Now, Mr. US Capitalism is under attack. He wasn’t as strong and vibrant as it appeared. The credit market, and now the whole economy, have started to crumble. Ever hear of a Ponzi scheme?

So, now Mr. US government will have to bail out Mr. US Capitalism. Whether he wants to or not, Mr. US government is getting deeper and deeper into the banking business. That can only mean one thing: more and more regulations. The US will move closer to the economic systems of the EU. And right now, China is looking snug at having resisted all of the pressure from the US to take on exotic investments and to open up their financial market. South Koreans are irate at having followed the rhetoric of Mr. US Capitalism so literally. The Europeans? Well, they’re choking to stop from saying “I told you so”.

This is not an obituary column for Mr. US Capitalism. The US economy will move forward and continue to lead the world economy. The US economy will remain capitalistic in principle. However, the concepts of free-markets, deregulations, global economy are being re-evaluated. Even the Republican presidential candidate is advocating stricter Wall Street oversight. For certain, the US government will not be getting out of the banking business any time soon.

America will move forward looking a lot different. Mr. US Capitalism is on a serious diet.