Most people agree that the present "crisis" has still to unfold, we are only at the stage of birth pains, the real "crisis" has still to be born. All the harsh austerity cuts, (raiding the public purse) are just a frenzied attempt by the financial Mafia to stop the unstoppable. The beautiful palace of consumerism built with bubbles of imagined money is about to go POP. The fools that thought creating imaginary money out of nothing was real wealth, are about to experience a very rude awakening. 2013 will be a year of dramatic changes as the world economic system of greed disintegrates and social structures rupture beyond repair. It could be a golden opportunity to refashion the society we wish to live in, a society of communities based on mutual aid and co-operation, a society that sees to the needs of all our people. Or it could be a re-birth of more of the same or worse, it could descend into a world of brutal warlordism. It all depends on the re-action of the people to the struggle that lies ahead.
Continue READING:Unsold goods pile up as crash takes its toll
In the wake of the Olympics, countless millions of pairs of trainers lie unsold in warehouses. Thousands of Chinese companies from property developers to car manufacturers sit atop mountains of products surplus to a hoped-for demand that never materialised. China became the low-wage manufacturing centre of choice for corporations during the credit-induced 30-year frenzy of growth that preceded the crash. The belief that its burgeoning internal market would absorb an ever increasing volume of production added multiple stories to the house of cards that now lies in ruins.With the global slump worsening and austerity economics stalking the globe, real incomes are dropping fast, so few are spending and consumers are hard to find. The unsold mountains of electronics and white goods are Himalayan in scale. Earlier this month, China’s main retailers descended into a competitive price war, when online trader 360buy.com announced that it would sell home appliances at a zero profit margin. For capitalist companies zero profit is the end of the line. Clearly only the strongest will survive.
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