The Economic Crash So Far: A Look At The Real Numbers

By Brandon Smith

Source: Alt-Market.com

There are many problems when attempting to track a faltering economy. For one, the people in government generally do not want the public to know when the system is in decline because this looks bad for them. They prefer to rig statistical indicators as much as possible and hope that no one notices. When the crash occurs, they then claim that “no one saw it coming” and the disaster “came out of nowhere”, so how could they be to blame?

I have even heard it argued that political leaders, including the president, have a “duty” to lie about the state of the economy because once they admit to the decline they will cause a panic and perpetuate the crisis. This is stupidity. If an economic system is in disrepair and is built on a faulty foundation, then the problems should be identified and fixed immediately. The weak businesses should be culled, not bailed out. The wasteful government spending should be cut, not increased. The downturn should not be hidden and prolonged for years or decades. In most cases, this only makes the inevitable crash far worse and more damaging.

Another factor, which some people might call “conspiracy theory” – but it has been proven time and time again in history – is that the money elites have a tendency to engineer economic disasters while deliberately hiding the real statistics from the public. Why? Well, if the real data was widely disseminated, then a crash would not be much of a surprise and the populace could be prepared for it. I suspect the elites hide the data because they WANT the crash to be a surprise. The bigger the shock, the bigger the psychological effect on the masses. This fear and confusion allows them to make changes in the power structure of a nation or of the entire world that they would not be able to accomplish otherwise.

The most rigged statistics tend to be the least important overall in analysis, but this does not stop the mainstream media and investors from hyper focusing on them. How many times have you told friends and family about the collapse in manufacturing or the explosion in consumer and corporate debt, only to hear them say, “But the stock market is at all-time highs!” Yes, even though stock markets are a meaningless trailing indicator, even though GDP stats are a complete fallacy, and even though jobless numbers do not include tens of millions of people out of work, these are the stats that the average person takes mental note of when consuming their standard 15 minutes of news per day.

While the issue of rigged statistics makes analysis of a crash difficult, a willfully ignorant citizenry makes reporting on the real data almost impossible. It’s sad to say, but a large number of people do not want to hear about negative information. They want to believe that all is well, and will delude themselves with fantasies of blind optimism and endless summers. Like the tale of “The Ant And The Grasshopper”, they are grasshoppers and they see anyone who focuses on the negative as “chicken littles” and “doom mongers”. In their minds they have all the time in the world, until they freeze and starve when winter comes.

When I encounter people who actually believe the manipulated numbers or buy into the stock market farce or simply don’t want to accept that a crash could happen in their lifetime, I always ask them to consider these questions: If the global economy is not on the verge of collapse, then why did central banks keep propping it up for the past ten years? And if central banks have been propping up the system, how much longer do you think they can do this? How much longer do you think they want to do it? What if one day they decide to let the entire house of cards tumble? What if such an event actually benefits them?

We’ve seen that a broken economy can be technically held together for a decade, but under the surface, the structure continues to rot. The bottom line is that even if the elites wanted to keep the system going for another ten years, and even if politicians continued to help them by pumping out false statistics, there is no way to hide the effects of crumbling fundamentals. We saw this during the crash of 2008, and now we’re seeing it again.

After nearly ten years of stimulus inflated the largest financial bubble in history (the Everything Bubble), the Federal Reserve and other central banks halted stimulus measures and tightened global liquidity. By the end of 2018, a new crash began, the implosion of the Everything Bubble had been triggered. All of this is still just an extension of the crash of 2008, which never really subsided; it was only slowed down through tens of trillions of dollars in central bank intervention. Now, the central banks have started an avalanche that cannot be stopped. But the fact of the matter is, they don’t really want to stop it.

Here are the indicators so far that prove a crash is happening in the U.S. while a majority of the public is oblivious:

GDP numbers are completely manipulated. Government spending of taxpayer dollars on a number of inflated programs, including continued spending on Obamacare, is added to GDP calculations. Without this fancy accounting, U.S. GDP growth would actually be negative, according to ShadowStats. But even with the juiced data, official GDP growth is still in decline, falling to 1.9% and well below the 3% growth we were supposed to see this year.

Official unemployment stats remain at all-time lows, which is commonly cited by the mainstream media, Donald Trump (he used to argue the opposite three years ago), and even the Federal Reserve in reference to the health and stability of the economy. What they do not mention much is the 95 million people not in the labor force and not counted because they have been unemployed for so long. When the media does mention this fact, they claim the number is “misleading”, that most of these people are students or retired, that the retirement age is decreasing and Baby Boomers are leaving the workforce sooner, and that the people who don’t have jobs are simply “not interested” in working. None of this is true.

The retirement age is increasing in the U.S., not decreasing, according the SS Administration. Current average retirement age is now 67, up from 65, almost the same as it was during the Great Depression.

Baby Boomers are not retiring at rates similar to ten years ago, and are in fact attempting to stay in the workforce due to the poor economy. Many of them are trying to come OUT of retirement just to make ends meet.

The labor participation rate remains near record lows.

Interestingly, the Bureau of Labor Statistics (BLS) house survey that is used to determine if people “want a job” assumes that if you are near retirement age and do not have a job, you are simply not interested in a job, and they count you as “non-participating”. However, if you DO have a job and you are near retirement age, they count you as participating. It’s a rather convenient assumption on the government’s part to claim that just because an unemployed person is near retirement age, that means they “don’t want a job”.

While there is surely a small percentage of the 95 million people not counted in the labor force that do not want a job, if unemployment stats counted U-6 measurements as they used to, the unemployment rate would be closer to 20%.

Another problem is the quality of jobs being created. U.S. manufacturing jobs, as well as higher wage jobs, are in steep decline. They have been replaced with low paying jobs in the service sector.

Real wages in the U.S. have not kept up with inflation. The average worker is now losing money overall as prices rise beyond the pace of their incomes.

As more and more Millennials say they cannot afford to buy a home, rental prices have skyrocketed in the past several years. The home ownership rate plunged starting in 2006 and has not recovered since.

U.S. manufacturing has fallen to levels not seen since the crash of 2008. U.S. factory orders have slumped in 2019.

U.S. Services PMI continues to falter since spring of this year. Job growth is now slowing and over 8,500 retail stores have been closed down already in 2019. Web-based retail is not picking up the slack, as online sellers like Amazon are suffering from falling profits.

Corporate profits overall have tumbled this year and projected future profits have been drastically adjusted to the downside.

Corporate debt, consumer debt and national debt are all at historic highs. Corporate cash flow is so tight that Federal Reserve repo purchases continue to run into high demand. This debt signal is one we saw in 2007, just before the credit crisis.

U.S. trucking and railroad freight continue to log steep declines in traffic and goods. This tells us what we already know: Even though consumer spending has increased recently, this does not mean people are buying more stuff or have more disposable income. What is really happening is inflation, or stagflation. Cost of living is going up. Debt payments are going up. Consumers are spending more on the same amount of stuff, or less stuff, and have less expendable income. U.S. consumers are being bled dry.

All of these factors and more show an economy in recession or depression (depending on what historic standards you use). In the darker corners of the investment world, the great hope is that the central banks will return to pumping trillions into the banking sector ($16 trillion during the TARP bailout dwarfs the $250 billion the Fed has recently pumped out in their repo markets). They hope that this will free up even more credit. Meaning, they believe only more debt will save the system from suffering.

I say, time is up on the debt party. More stimulus will not stall the crash that is already happening, and the Fed does not appear poised to print anywhere near what it did during the credit crisis, at least not in time to change the trend. The can has been kicked for the last time. The grasshopper mentality will not save people from the clear reality. Only preparation and planning will.

A New Aesthetic

By Damaris Zehner

Source: Resilience

There are all these good ideas – intensive agriculture, organic farming, permaculture, the local food movement. But why is most food still not grown this way, if it really is better? Why don’t farmers switch to sustainable land use methods? It seems to me there are at least four reasons.

First is the conservative nature of farming. Any activity that involves a large and long investment for an uncertain outcome is going to be conservative; no one wants to experiment when a year’s income is riding on the results. Farmers tend to stick to what has seemed to work. The psychology of previous investment plays a part in their choices as well. Once you’ve bought the huge combine, well, you have to use it.

Even when things don’t work so well, farmers will keep doing them if there are financial incentives to do so. This is the second reason. Government programs have tended to encourage big agribusinesses and have been less friendly to smaller, more varied farms.

Third, farmers love their machines. All Americans do. We fall every time for the promise that new technology will make our lives easier, more fun, more productive, and more sophisticated, and people with outdated technology, whether cell phones or tractors, get made fun of. Many people don’t have the time or the patience for more manual ways of working. I knew of a horse farmer who recently complained that he wouldn’t hire young men on his farm because they got impatient with the horses and, as he put it, just wanted to be roaring off with an internal combustion engine. (His workers were young women). These young men have become habituated to the speed and power made possible by fossil fuels and get rattled when asked to move more slowly.

Finally, there is an unconscious but still powerful motivation why farmers don’t want to stop spraying and switch to more natural methods of food production. It is a mistaken aesthetic that dictates how people see and judge the land around them, that tells us what looks beautiful and productive and “American” – that is, efficient, high-tech, and gleaming with the promise of the future. Perfect, undisturbed expanses of commodity crops, synchronized lines of combines churning through thousand-acre wheat fields, shiny factories, and brightly colored grocery stores are our proof that we are not a third-world nation, or Amish, or hippies – that we are still orthodox worshipers of the god of progress.

I don’t dispute the attraction of the aesthetic. Honestly, the land around here looks pretty good. Or at least it looks pretty. But the cost of those perfect fields and vast expanses of monoculture may be more than we can pay. Our aesthetics are as damaging to the environment as our greed or carelessness. So we need to move toward a new aesthetic.

Before we can do so, we need to ask ourselves: how much of the world are we responsible for tidying up? Nature is messy by our standards. A patch of disturbed earth becomes populated with a swirling mob of what we’d call weeds – dock, plantain, dandelion, mulberry, crabgrass, lamb’s quarters, and a hundred plants I don’t have a name for. And that bothers us. We spray, mow, and weed, in the process disturbing the natural succession of plants. We say that keeping our lawns, gardens, and fields as pure monoculture is more efficient and attractive. I drove with farmers past fields of soybeans shortly after the introduction of Round-Up herbicide, and they talked about how beautiful the thick carpet of identical plants is. They’re not wrong. The lush uniformity is beautiful. But I’m not sure we have the right to expect the same sort of beauty from nature that we can create within our houses. Should a farm field look like wall-to-wall carpeting? Should every molehill be leveled, every fence row scorched, whatever t cost, just because we think it looks nicer?

We have neighbors down the road whose property has been described as a doll’s house because of its detailed perfection. It’s a good description – they treat their two acres as if it were as entirely under their control as a doll’s house. The fences have lines of brown under them where the mower can’t reach and herbicide has been sprayed. Their lawn is grass only, no violets or dandelions. Their mature hardwood trees are all pollarded to be a matching height. It’s pretty, I suppose. It’s also horrifying as an illustration of their attitude toward natural beauty. To speak in hyperbolic terms, those friendly neighbors are conducting an all-out war on nature, with policies of scorched earth and ethnic cleansing, and the result is extreme totalitarianism. This stands in striking contrast to the permaculture sites I’ve visited, which look like a hodgepodge of annuals, perennials, weeds, and small creatures and don’t involve any mowing. I suspect that everyone’s first reaction to seeing permaculture in action is, in fact, “Why don’t they mow?” They have their reasons, and they have a different aesthetic.

I admit I like the cleanliness and order that humans impose. I’m all right with keeping my house clean, but I have to decide how far my household extends. If I find insects on my kitchen counter, I kill them. But should I kill the insects in my yard? All the insects in the world? Because if farmers adopt a policy of insect genocide, as most do, it’s going to have costs to the surroundings – which include me. When the summer crop-dusting airplanes fly overhead carpet-bombing bugs and weeds, I have to run to bring the laundry inside and shut the windows if it’s windy, which it usually is, because – call me a crazy tree-hugger – I prefer my sheets and towels to smell of fresh air and not the toxin du jour. That’s where my aesthetic differs from the farmers’.

Farmers around here will tell you that they are aiming for efficiency, and I do appreciate that harvesting crops is easier when the equipment is not clogged with morning glory vines and ragweed stalks. I also understand that weeds and other plants compete with the crops and lower farmers’ yields, so there is a financial as well as an aesthetic motivation for them to keep their fields clean. But there’s no question that these farmers are also driven by the false aesthetic of human-imposed purity. I watch while they grub out a small patch of trees that they had no problem maneuvering around, just so the field looks “clean.”

It’s a competitive aesthetic, too. People in this small community will gossip about and criticize landowners whose fields aren’t clean – I hear them every year talking about whose land isn’t yet sprayed, tilled, or ditched. People from out of our area have asked me when they’ve come over to visit, “Whose land is that down the road? It looks bad.” What they mean when they say that farmers are not keeping their land “clean” is that farmers are not leaving a toe-hold for nature on their property. Rabbits and deer have no right to a corridor of shelter; killdeer and quail have to keep packing up and moving as their surroundings are cut down; coyotes are shot. And once we’ve expunged the aborigines, we can live the mindless imperialist lifestyle we like.

I have some sympathy, I guess. I don’t want coyotes eating my goats or rabbits ruining my garden. But I have to ask the question again: how much of the natural world do we have the right to control at the same level that we control our houses and yards? If we are going to live in a better balance with nature than we do now, we have to change not only our acquisitiveness and our focus on profit and exploitation; we also have to learn to see beauty in what we now consider messiness.

The 5-Step CEO pay scam

Grossly widening inequalities of income and wealth cannot be separated from grossly widening inequalities of political power in America. This corruption must end.

By Robert Reich

Source: Nation of Change

Average CEO pay at big corporations topped 14.5 million dollars in 2018. That’s after an increase of 5.2 million dollars per CEO over the past decade, while the average worker’s pay has increased just 7,858 dollars over the decade. 

Just to catch up to what their CEO made in 2018 alone, it would take the typical worker 158 years.

This explosion in CEO pay relative to the pay of average workers isn’t because CEOs have become so much more valuable than before. It’s not due to the so-called “free market.”

It’s due to CEOs gaming the stock market and playing politics.

How did CEOs pull this off? They followed these five steps:

First: They made sure their companies began paying their executives in shares of stock.

Second: They directed their companies to lobby Congress for giant corporate tax cuts and regulatory rollbacks.

Third: They used most of the savings from these tax cuts and rollbacks not to raise worker pay or to invest in the future, but to buy back the corporation’s outstanding shares of stock.

Fourth: This automatically drove up the price of the remaining shares of stock.

Fifth and finally: Since CEOs are paid mainly in shares of stock, CEO pay soared while typical workers were left in the dust.

How to stop this scandal? Five ways:

1. Ban stock buybacks. They were banned before 1982 when the Securities and Exchange Commission viewed them as vehicles for stock manipulation and fraudThen Ronald Reagan’s SEC removed the restrictions. We should ban buybacks again.

2. Stop corporations from deducting executive pay in excess of 1 million dollars from their taxable income – even if the pay is tied to so-called company performance. There’s no reason other taxpayers ought to be subsidizing humongous CEO pay.

3. Stop corporations from receiving any tax deduction for executive pay unless the percent raise received by top executives matches the percent raise received by average employees.

4. Increase taxes on corporations whose CEOs make more than 100 times their average employees.

5. Finally, and most basically: Stop CEOs from corrupting American politics with big money. Get big money out of our democracy. Fight for campaign finance reform.

Grossly widening inequalities of income and wealth cannot be separated from grossly widening inequalities of political power in America. This corruption must end.

What globalism did was to transfer the US economy to China

By Paul Craig Roberts

Source: Intrepid Report

The main problem with the US economy is that globalism has been deconstructing it. The offshoring of US jobs has reduced US manufacturing and industrial capability and associated innovation, research, development, supply chains, consumer purchasing power, and tax base of state and local governments. Corporations have increased short-term profits at the expense of these long-term costs. In effect, the US economy is being moved out of the First World into the Third World.

Tariffs are not a solution. The Trump administration says that the tariffs are paid by China, but unless Apple, Nike, Levi, and all of the offshoring companies got an exemption from the tariffs, the tariffs fall on the offshored production of US firms that are sold to US consumers. The tariffs will either reduce the profits of the US firms or be paid by US purchasers of the products in higher prices. The tariffs will hurt China only by reducing Chinese employment in the production of US goods for US markets.

The financial media is full of dire predictions of the consequences of a US/China “trade war.” There is no trade war. A trade war is when countries try to protect their industries by placing tariff barriers on the import of cheaper products from foreign countries. But half or more of the imports from China are imports from US companies. Trump’s tariffs, or a large part of them, fall on US corporations or US consumers.

One has to wonder that there is not a single economist anywhere in the Trump administration, the Federal Reserve, or anywhere else in Washington capable of comprehending the situation and conveying an understanding to President Trump.

One consequence of Washington’s universal economic ignorance is that the financial media has concocted the story that “Trump’s tariffs” are not only driving Americans into recession but also the entire world. Somehow tariffs on Apple computers and iPhones, Nike footwear, and Levi jeans are sending the world into recession or worse. This is an extraordinary economic conclusion, but the capacity for thought has pretty much disappeared in the United States.

In the financial media the question is: Will the Trump tariffs cause a US/world recession that costs Trump his reelection? This is a very stupid question. The US has been in a recession for two or more decades as its manufacturing/industrial/engineering capability has been transferred abroad. The US recession has been very good for the Asian part of the world. Indeed, China owes its faster than expected rise as a world power to the transfer of American jobs, capital, technology, and business know-how to China simply in order that US shareholders could receive capital gains and US executives could receive bonus pay for producing them by lowering labor costs.

Apparently, neoliberal economists, an oxymoron, cannot comprehend that if US corporations produce the goods and services offshore that they market to Americans, it is the offshore locations that benefit from the economic activity.

Offshore production started in earnest with the Soviet collapse as India and China opened their economies to the West. Globalism means that US corporations can make more money by abandoning their American work force. But what is true for the individual company is not true for the aggregate. Why? The answer is that when many corporations move their production for US markets offshore, Americans, unemployed or employed in lower paying jobs, lose the power to purchase the offshored goods.

I have reported for years that US jobs are no longer middle-class jobs. The jobs have been declining for years in terms of value-added and pay. With this decline, aggregate demand declines. We have proof of this in the fact that for years US corporations have been using their profits not for investment in new plant and equipment, but to buy back their own shares. Any economist worthy of the name should instantly recognize that when corporations repurchase their shares rather than invest, they see no demand for increased output. Therefore, they loot their corporations for bonuses, decapitalizing the companies in the process. There is perfect knowledge that this is what is going on, and it is totally inconsistent with a growing economy.

As is the labor force participation rate. Normally, economic growth results in a rising labor force participation rate as people enter the work force to take advantage of the jobs. But throughout the alleged economic boom, the participation rate has been falling, because there are no jobs to be had.

In the 21st century, the US has been decapitalized and living standards have declined. For a while the process was kept going by the expansion of debt, but consumer income has not kept place and consumer debt expansion has reached its limits.

The Fed/Treasury “plunge protection team” can keep the stock market up by purchasing S&P futures. The Fed can pump out more money to drive up financial asset prices. But the money doesn’t drive up production, because the jobs and the economic activity that jobs represent have been sent abroad. What globalism did was to transfer the US economy to China.

Real statistical analysis, as contrasted with the official propaganda, shows that the happy picture of a booming economy is an illusion created by statistical deception. Inflation is undermeasured, so when nominal GDP is deflated, the result is to count higher prices as an increase in real output, that is, inflation becomes real economic growth. Unemployment is not counted. If you have not searched for a job in the past 4 weeks, you are officially not a part of the work force and your unemployment is not counted. The way the government counts unemployment is so extraordinary that I am surpised the US does not have a zero rate of unemployment.

How does a country recover when it has given its economy away to a foreign country that it now demonizes as an enemy? What better example is there of a ruling class that is totally incompetent than one that gives its economy bound and gagged to an enemy so that its corporate friends can pocket short-term riches?

We can’t blame this on Trump. He inherited the problem, and he has no advisers who can help him understand the problem and find a solution. No such advisers exist among neoliberal economists. I can only think of four economists who could help Trump, and one of them is a Russian.

The conclusion is that the United States is locked on a path that leads directly to the Third World of 60 years ago. President Trump is helpless to do anything about it.

Jeffrey Epstein Out in the Open

By Jon Rappoport

Source: NoMoreFakeNews.com

NOTE: This article concerns the reporting of Vicky Ward. I’m not automatically assuming her key point is factual, especially since it relies on an unnamed source, who is telling her about a private meeting which the source apparently did not attend. If, however, we assume the key point is accurate…

In my previous piece on Epstein, I cited two articles outside the mainstream, which make a case for Epstein acting as an agent for intelligence services—Mossad/CIA. Obviously, his work would have involved gathering blackmail evidence on powerful men, who had sex with his underage girls. The value of this evidence, to Epstein’s handlers, would be enormous as a means of controlling those men…

I realize many people aren’t satisfied unless they see something in print from a more mainstream source. So let’s try the Daily Beast (7/9/19) and writer Vicky Ward, who has had an extensive career as a reporter and editor (Vanity Fair, NY Post, HuffPost, etc.)

In her Daily Beast article, “Jeffrey Epstein’s Sick Story Played Out for Years in Plain Sight,” Ward attempts to shed light on a moment in time when a strange twist occurred in the Epstein saga. It involved Alexander Acosta.

Alexander Acosta served as Trump’s Labor Secretary from April 28, 2017, to July 19, 2019, when he resigned. In his former job, as US Attorney for the Southern District of Florida, Acosta made the shocking 2007-2008 sweetheart plea deal with Epstein, canceling any effort to convict him for sex trafficking of minors, and reducing the charge to solicitation of a 14-year-old girl. Epstein pled guilty and received a mild slap on the wrist.

Vicky Ward writes: “Epstein’s name, I was told, had been raised by the Trump transition team when Alexander Acosta, the former U.S. attorney in Miami who’d infamously cut Epstein a non-prosecution plea deal back in 2007, was being interviewed for the job of labor secretary…”

“’Is the Epstein case going to cause a problem [for confirmation hearings]?’ Acosta had been asked. Acosta had explained, breezily, apparently, that back in the day he’d had just one meeting on the Epstein case. He’d cut the non-prosecution deal with one of Epstein’s attorneys because he had ‘been told’ to back off, that Epstein was above his pay grade. ‘I was told Epstein “belonged to intelligence” and to leave it alone,’ he told his interviewers in the Trump transition, who evidently thought that was a sufficient answer and went ahead and hired Acosta. (The Labor Department had no comment when asked about this.)”

If all this is true, the word came down the line: Epstein had protection coming from intelligence agency players; and he, Acosta, dutifully knuckled under and made the phony plea deal with Epstein. In a blockbuster federal case for widespread sex trafficking. A case that was receiving wall to wall press coverage. But none of that mattered to Acosta, the hell with blowback, contrasted against the intelligence agency clout shielding Jeffrey Epstein.

If Vicky Ward’s source on this is correct, it’s quite possible it wasn’t just Acosta who was cowed and played ball with the higher power. The Trump transition team, who blithely accepted Acosta’s astonishing comment, also could have been following the same marching orders. The Trump team purposely chose Acosta for his new shiny job, as Labor Secretary, because they were told to reward him for his “outstanding work” in the Epstein case.

The transition team could have easily made a list of 20 people who could fill the role of Labor Secretary. But they picked out the man who gave astounding cover to Epstein.

 

‘Deaths of despair’ soaring among Gen Z & millennials: ‘It’s the economy, stupid’

By Helen Buyniski

Source: RT.com

Young Americans are killing themselves in record numbers, the victims of a confluence of economic and sociological factors that have singled them out – even above a nationwide surge in so-called “deaths of despair.”

Suicide rates among teens and young adults aged 15 to 24 – the older end of “Generation Z” – spiked in 2017, reaching their highest point since 2000, according to a study published Tuesday in the Journal of the American Medical Association (JAMA). They’ve risen 51 percent in the past 10 years, buoyed by rising rates of anxiety and depression along with social media and drug use, and the figures may be even higher, since some intentional overdoses are not counted as suicides.

Young men saw the steepest rise in deaths, according to the JAMA study, though women are catching up to them at an alarming pace. Teens and young adults report higher rates of anxiety and depression than previous generations, and multiple studies in recent years have shown that social media use exacerbates both conditions, creating a self-perpetuating feedback loop that can have tragic consequences.

But Generation Z is simply following in the footsteps of its predecessors. The much-maligned millennial generation, defined by the Census Bureau as those born between 1982 and 2000 (meaning some are included in the JAMA study), are also killing themselves in record numbers. Drug-related deaths among ages 18 to 34 have increased 108 percent since 2007, while alcohol-related deaths are up 69 percent and suicides are up 35 percent, according to a report published last week by Trust for America’s Health. While millennials have long been written off as entitled, spoiled snowflakes, the media and society are belatedly realizing that they aren’t just layabouts unmotivated to exit their parents’ basement – this “despair” has a cause, and it’s primarily economic.

The rise of millennial and Gen Z “deaths of despair” can be traced to the yawning gap between reality and expectations. Raised on the myths of the American Dream, these are the first Americans to experience a markedly lower standard of living than their parents, the Baby Boomers who grew prosperous on the fruits of the postwar economic boom. The national debt has ballooned, driven by two decades of an unwinnable war whose cost is poised to top $6 trillion, and the Pentagon’s budget has swollen to an unprecedented size even as cuts to social services have decimated what little social safety net Americans could once count on. Multiple rounds of tax cuts for the wealthy and corporations destroyed the government’s revenue base, and perhaps unsurprisingly, economic inequality has grown to exceed even the rates seen during the Great Depression.

And even these concerns are beside the point for a generation that left college already shackled with student loan debt that can run into the hundreds of thousands of dollars and cannot be canceled even by declaring bankruptcy. Millennials who graduated in the aftermath of the 2008 crash entered the “real world” to find no jobs waiting for them. Lucky if they could find an unpaid internship or a waitressing gig, they were forced to retreat back into their parents’ basements, a crushing blow for anyone but particularly for a generation told since birth that they were special, that they could do anything they wanted, that the world was their oyster.

The US, perhaps uniquely in the developed world, views poverty as a sin, and many millennials suffer in silence, believing they are the only ones in their peer group to “flunk out” of the “real world.” Instead of finding support from friends and family, they take advantage of the ready availability of alcohol and opioids, a factor that has caused the number of “deaths of despair” to skyrocket. Some economically-depressed states, like West Virginia, have seen drug overdoses increase more than fivefold in the last 12 years, according to a report published earlier this month by the Commonwealth Fund, and many more have seen their number double and triple. That pharmaceutical companies flooded the market with opioids at the same time the rise of social media devastated the quality and complexity of human relationships is a particularly deadly coincidence.

Since 1996, the average net worth of “consumers” under 35 has declined 35 percent, according to management consultancy Deloitte. Advertisers are starting to realize that targeting this group, while it may seem like a savvy marketing decision – they constitute a quarter of the US population, after all – doesn’t make sense, since they can’t afford to buy anything. Student debt is up 160 percent since 2004 for the under-30 population, and the home-ownership rate for millennials is only 37 percent – fully eight percentage points lower than their parents. Fully 89 percent would like to own a home, according to a survey conducted last year, but nearly half have zero dollars in savings – let alone the 20 percent most mortgages require for a down payment.

Young people aren’t the only ones afflicted by the “deaths of despair” phenomenon. Life expectancy nationwide is down for the third year in a row, and a report from Trust for America’s Health published last year projects that this “epidemic” – which they define as drug and alcohol deaths plus suicide – is on track to kill more than 1.6 million people by 2025 if it continues to grow at its current rate. As the Baby Boomers start to retire only to find they cannot live on their meager savings – assuming they still have any – they, too, are killing themselves more often, with suicide rates up 40 percent from 2007 to 2015.

This is not only a young people’s problem, nor is it an easy one to solve, but acknowledging the systemic poverty afflicting the “richest country in the world” – where two-thirds of the population doesn’t have enough saved to cover a $500 crisis – is a good place to start.

Jeff Bezos’s Corporate Takeover of Our Lives

Illustration by Mike Faille

How Amazon’s relentless pursuit of profit is squeezing us all—and what we can do about it

By David Dayen

Source: In These Times

AMAZON IS AN ONLINE RETAILER. It also runs a marketplace for other online retailers. It’s also a shipper for those sellers, and a lender to them, and a warehouse, an advertiser, a data manager and a search engine. It also runs brick-and-mortar bookstores. And grocery stores.

There are over 100 million Amazon Prime subscribers in the United States—more than half of all U.S. households. Amazon makes 45 percent of all e-commerce sales. Amazon is also a product manufacturer; its Alexa controls two-thirds of the digital assistant market, and the Kindle represents 84 percentof all e-readers. Amazon created its own holiday, Prime Day, and the surge in demand for Prime Day discounts, followed by a drop afterward, skewed the nation’s retail sales figures with a 1.8% bump in July 2017.

Oh, it’s also a major television and film studio. Its CEO owns a national newspaper. And it runs a streaming video game company called Twitch. And its cloud computing business, Amazon Web Services, runs an astonishing portion of the Internet and U.S. financial infrastructure. And it wants to be a logistics company. And a furniture seller. It’s angling to become one of the nation’s largest online fashion designers. It recently picked up an online pharmacy and partnered with JPMorgan Chase CEO Jamie Dimon and Warren Buffett to create a healthcare company. And at the same time, it’s competing with JPMorgan, pushing Amazon Pay as a digital-based alternative to credit cards and Amazon Lending as a source of capital for its small business marketplace partners.

To quote Liberty Media chair John Malone, himself a billionaire titan of industry, Amazon is a “Death Star” moving its super-laser “into striking range of every industry on the planet.” If you are engaging in any economic activity, Amazon wants in, and its position in the market can distort and shape you in vital ways.

Elizabeth Warren’s proposal to break up Amazon, along with the FTC’s new oversight and investigation, has spurred a conversation on the Left about its overwhelming power. No entity has held the potential for this kind of dominance since the railroad tycoons of the first Gilded Age were brought to heel. Whether you share concerns about Amazon’s economic and political power or you just like getting free shipping on cheap toilet paper, you should at least know the implications of living in Amazon’s world—so you can assess whether it’s the world you want, and how it could be different.

BOOKSELLERS WERE THE FIRST TO FIND THEMSELVES AT THE TIP OF AMAZON’S SPEAR, at the company’s founding in 1994. Years of Amazon peddling books below cost shuttered thousands of bookstores. Today, Amazon sells 42 percent of all books in America.

With such a large share of the market, Amazon determines what ideas reach readers. It ruthlessly squeezes publishers on wholesale costs; in 2014, it deliberately slowed down deliveries of books published by Hachette during a pricing dispute. By stocking best-sellers over independents and backlist copies, and giving publishers less money to work with, Amazon homogenizes the market. Publishers can’t afford to take a chance on a book that Amazon won’t keep in its inventory. “The core belief of bookselling is that we need to have the ideas out there so we can discuss them,” says Seattle independent bookseller Robert Sindelar. “You don’t want one company deciding, only based on profitability, what choice we have.”

These issues in just the book sector are a microcosm of Amazon’s effect on commerce.

The term “retail apocalypse” took hold in 2017 amid bankruptcies of established chains like The Limited, RadioShack, Payless ShoeSource and Toys “R” Us. According to frequent Amazon critic Stacy Mitchell, “more people lost jobs in general-merchandise stores than the total number of workers in the coal industry” in 2017.

Amazon isn’t the only cause; private equity looting must share much of the blame, and a shift to e-commerce was always going to hurt brick-and-mortar stores. But Amazon transformed a diverse collection of website sales into one mammoth business with the logistical power to perform rapid delivery of millions of products and a strategy to underprice everyone. That transformation accelerated a decline going back to the Great Recession (and much earlier for booksellers). Analysts at Swiss bank UBS estimate that every percentage point e-commerce takes from brick-and-mortar translates into 8,000 store closures, and right now e-commerce only has a 16 percent market share.

Take Harry Copeland (or, as he calls himself, “Crazy Harry”) of Harry’s Famous Flowers in Orlando, Fla., at one time a 40-employee retail/wholesale business. Revenue at his operation has shrunk by half since 2008, equal to millions of dollars in gross sales. “The internet … killed us,” Harry says. “I was in a Kroger, this guy walks up and says, ‘I want to apologize. It’s so easy to go on the internet.’ I said, ‘I did your wedding, I did flowers for your babies, and you’re buying [flowers] on the internet?’ ” Even Harry’s own employees receive Amazon packages at the shop every day. In January, tired of the fight, Harry sold his shop after 36 years in business.

Amazon was particularly deadly to the original “everything stores,” the department stores like Sears and J.C. Penney that anchor malls. When the anchor stores shut down, foot traffic slows and smaller shops struggle. Retailers are planning to close more than 4,000 stores in 2019; the 41,201 retail job losses in the first two months of this year were the highest since the Great Recession.

Dead malls trigger not only blight but also property tax losses. The broader shift to online shopping also transfers economic activity from local businesses to corporate coffers, like Amazon’s headquarters in Seattle.

Some of these failed retail spaces have been scooped up, ironically, by Amazon’s suite of physical stores, such as Whole Foods. Amazon also skillfully pits cities against one another and wins tax breaks for its warehouse and data center facilities, starving local budgets even more.

Amazon, of course, argues it is the best friend small business ever had. Jeff Bezos’ 2019 annual letter indicated that 58% of all sales on the website are made by over 2 million independent third-party sellers, who are mostly small in size. In this rendering, Amazon is just a mall, opening its doors for the little guy to access billions of potential customers. “Third-party sellers are kicking our first-party butt,” Bezos exclaimed.

It was a line I repeated to several merchants, mostly to snickers. Take Crazy Harry. In late 2017, Amazon reached out with the opportunity for Harry’s Famous Flowers to sell through its website. Sales representatives promised instant success. “We went live in November,” he says. “I made three transactions, [including] one on Valentine’s Day and one on Christmas.” The closest delivery to his shop was 34 miles away. By the time Harry paid his $39.99 monthly subscription fee for selling on Amazon and a 15% cut of sales, his check came to $6.92. “The gas was $50,” he says.

It wasn’t hard to find the source of the trouble: When Harry searched on Amazon under “flowers in Orlando,” his shop didn’t come up. Without including his name in the search, there was no way for customers to find him. Before long, Harry closed his Amazon account.

Crazy Harry’s troubles could be a function of Amazon running a platform that’s too big to manage. Two million Americans, close to 1% of the U.S. population, sell goods on Amazon. “There’s so much at stake for these sellers,” says Chris McCabe, a former Amazon employee who now runs the consulting site eCommerceChris.com. “They’ve left jobs [to sell on Amazon]. They are supporting themselves and their families.”

Third-party sellers have been a great deal for Amazon—unsurprisingly, since Amazon sets the terms. Sellers pay a flat subscription fee and a percentage of sales, and an extra fee for “Fulfillment by Amazon,” for which Amazon handles customer service, storage and shipping through its vast logistics network. Fee revenue grew to nearly $43 billion in 2018, equal to more than one out of every four dollars that third-party sellers earned.

In other words, Amazon is collecting rent on every sale on its website. This strategy increases selection and convenience for customers, but the sellers, who have nowhere else to go, can get squeezed in the process. Once on the website, sellers are at the mercy of Amazon’s algorithmic placement in search results. They must also navigate rivals’ dirty tricks (like fake one-star reviews that sink sellers in search results) and counterfeit products. And if you get past all that, you must fight the boss level: Amazon, which has 138 house brands. Armed with all the data on sellers’ businesses, Amazon can easily figure out what’s hot and what can be cheaply produced, and then out-compete its own sellers with lower prices and prioritized search results.

Any failure to follow Amazon’s always-changing rules of the road can get a seller suspended, and in that case, Amazon not only stops all future sales, but refuses to release funds from prior sales. And all sellers must sign mandatory arbitration agreements that prevent them from suing Amazon. Several consultants I interviewed talked of sellers crying on the phone, finding themselves trapped after upending their lives to sell on Amazon.

WHILE RETAIL WORKERS LOSE JOBS, AMAZON PICKS UP SOME OF THE UNEMPLOYMENT SLACK, hiring personnel to assemble its packages, make its electronics, and deliver its goods, with a U.S. workforce of more than 200,000, and another 100,000 seasonal workers—though 2018 research from the Conference Board confirmed the jobs created by e-commerce companies like Amazon do not make up for the loss of millions of retail jobs.

Plus, the experience of being a cog in Amazon’s great machine is, shall we say, unhealthy. We know much about the horrors of being an Amazon warehouse worker in the United States. These workplaces are aggressively anti-union. Amazon sets quotas for how many orders are fulfilled, monitoring a worker’s every move. Poor performers may be fired, typically over email. The daily monotony and pressure to perform has pushed workers to suicidal despair. A Daily Beast investigation found 189 instances between October 2013 and October 2018 of 911 calls summoning assistance to deal with suicide attempts or other mental-health emergencies at Amazon warehouses. And even these grunt jobs are insecure; Amazon had to reassure people this year that it wouldn’t turn over all warehouse jobs to robots, even as it rolled out machines that box orders.

Amazon’s other jobs, while less scrutinized than the warehouse workers, can be just as brutal. Thousands of delivery drivers wear Amazon uniforms, use Amazon equipment and work out of Amazon facilities. But they are not technically Amazon employees; they work for outside contractors called delivery service partners. These workers do not qualify for the guaranteed $15 minimum wage Bezos announced to much fanfare last year.

Contracting work out lets Amazon dodge liability for poor labor practices, a trick used by many corporations. At one such contractor in the mid-Atlantic, TL Transportation, one former employee (who requested anonymity) described the work as “running, running, running, rushing. There was no break time.” According to pay stubs, TL built two hours of overtime into its base rate, which is illegal under U.S. labor law. Other workers reported they always worked longer than the time on their pay stubs. Driver Tyhee Hickman of Pennsylvania testified to having to urinate into bottles to maintain the schedule.

Amazon runs plenty of air freight these days as well, through an “Amazon Air” fleet of planes branded with the Amazon logo—but these are also contracted out. At Atlas Air, one of three cargo carriers with Amazon business, pilots have been working without a new union contract since 2011. Atlas pays pilots 30% to 60% below the industry standard, according to Captain Daniel Wells, an Atlas Air pilot and president of the Airline Professionals Association Teamsters Local 1224. Planes are understaffed. “We’ve been critically short of crews,” Wells says. “Everyone is scrambling to keep operations going.”

The go-go-go schedule leaves little time for mechanics; planes go out with stickers indicating deferred maintenance. One Atlas Air flight carrying Amazon packages crashed in Texas in February, killing three workers.

EVEN WHILE DRIVING WORKERS AT A FRENETIC PACE, Amazon doesn’t always deliver on its promise of convenience and efficiency. Many products no longer arrive in 48 hours under Prime’s guaranteed two-day shipping. It’s so challenging to reach customer service that Amazon sells a book on its website about how to do that. Whole Foods shoppers who have groceries delivered get bizarre food substitutions without warning.

Even as two-day shipping is creaking, Amazon has announced a move to one-day shipping, which will strain its systems even further while forcing competitors to adjust. Amazon’s one-day shipping announcement alone caused retail stocks to plummet on April 26, before any changes were implemented.

This feedback effect reveals how Amazon is not merely riding the wave of online retail’s convenience; only a company with ambitions as vast as Amazon’s could influence Fortune 500 business models across America.

Some retailers have given in. Walmart quickly announced its own next-day shipping. Kohl’s sells Amazon Echo devices. Target has bought up competitors to compete with Amazon on a larger scale. Call it concentration creep; one giant business triggers the need for others to get big, too. Corporate America is at once terrified of Amazon and reshaping itself to imitate it.

Take Amazon’s ever more sophisticated ploys to modify consumer behavior. With “personalized pricing,” Amazon uses the data of what someone has paid in the past to test what that person is willing to pay. The price of an item featured in the “buy” box on Amazon’s website may change multiple times per day, and can be tailored to individual shoppers. Amazon has charged more for Kindles based on a buyer’s location, and has steered people to higher-priced products where it makes a greater profit, rather than cheaper versions from outside sellers.

Now, even big-box stores have electronic price tags that retailers can “surge price” when demand increases. Amazon’s Whole Foods stores have become a testing ground for advancing this technique. Prices shown on electronic tags are tested, combined with discounts for Prime members, and relentlessly tweaked.

The potential damage to society from personalized pricing is significant, notes Maurice Stucke, a professor at the University of Tennessee. “It’s not just price discrimination, but also behavioral discrimination,” he says. “Getting people to buy things they might not have otherwise purchased, at the highest price they’re willing to pay.”

Amazon has plenty of options for this behavioral nudging, from listing a fake higher price and crossing it out to make it look like the customer is getting a deal, to its work on a facial recognition system using phone or computer cameras to authenticate purchases. With this tool, Amazon could theoretically read faces and increase prices when someone shows excitement about a product. Amazon has already licensed facial recognition software to local police units for criminal investigations, to outcry from privacy groups.

Then there’s Alexa, Amazon’s digital assistant, a powerful tool for manipulation. Alexa was designed to “be like the Star Trek computer,” said Paul Cutsinger, Amazon’s head of voice design education, at a developer conference earlier this year. Users can ask Alexa to play music and podcasts, answer questions, run health and wellness programs, set appointments, make purchases, even raise the temperature in the shower.

Psychologist Robert Epstein, who has pioneered research into search engine manipulation, has done preliminary studies on Alexa. “It looks like you can very easily impact the thinking and decision-making and purchases of people who are undecided,” Epstein says. “That unfortunately gives a small number of companies tremendous power to influence people without them being aware.” For example, Alexa can suggest a wine to go with the pizza you just ordered. It can also encourage you to set up a recurring purchase, the price of which may then go up based on Amazon’s list price.

The influence only increases as Alexa takes in more data. We know that Alexa is constantly watching and listening to users, transcribing what it hears and even transmitting some of that data back to a team of human listeners at Amazon, who “refine” the machine’s comprehension. The surveillance doesn’t only happen on Alexa, but in the smart home devices it integrates with, and on the website where Amazon tracks search and purchase activity. Amazon even has a Ring doorbell and in-home monitor, which sends information back to Amazon. There is no escape. “Devices all around us are watching everything we do, talking to each other, sharing data,” Epstein says. “We’re embedded in a surveillance network.”

EVEN AS IT’S INFLUENCING OUR BEHAVIOR, Amazon is transforming our physical world. José Holguín-Veras, a logistics and urban freight expert at Rensselaer Polytechnic Institute, estimates that in 2009, there was one daily internet-derived delivery for every 25 people. By 2017, he calculates, this had tripled. “The number of deliveries to households is now larger than the number of deliveries to commercial establishments,” Holguín-Veras says. “In skyscrapers in New York City where 5,000 people live, it’s 750 deliveries a day.”

Think of the difference between one trip to the grocery store for the week, and five or ten trips from the warehouse to your house. Our streets are too narrow and our traffic too plentiful to handle that additional traffic without crippling congestion. Plus, every idling car, and every extra delivery truck on the road, spews more carbon into the atmosphere. Our cities are not designed for the level of freight that instant delivery demands.

More deliveries also means more people staying indoors. “One thing I think about is how much we overlook the community and democracy value of running errands,” says Stacy Mitchell of the Institute for Local Self-Reliance. “These exchanges—chatting with someone in line, bumping into a neighbor on the street, talking with the store owner—may not be all that significant personally. But this kind of interaction pays off for us collectively in ways we don’t think about or measure or account for in policy-making.”

In These Times asked Frank McAndrew of Knox College, who has researched social isolation, whether Amazon’s perfect efficiency could be alienating. He wasn’t ready to make a definitive statement but did see some red flags. “I do think we’re sort of wired to interact with real people in face-to-face situations,” McAndrew says. “When most of our interactions take place virtually, or with Alexa, it’s not going to be satisfying.”

FOR MOST OF OUR HISTORY, Americans didn’t require a personal digital assistant to answer our every whim. Why are we now reordering our social and economic lives, so one man can accumulate more money than anyone in the history of the planet?

One answer is that Amazon has paid as much attention to capturing government as it has to captivating customers. Amazon’s lobbying spending is among the highest of any company in America. After winning a nationwide procurement contract, over 1,500 cities and states can buy office items through the Amazon Business portal; a federal procurement platform is on the way. Amazon Web Services has the inside track on a $10 billion cloud contract to manage sensitive data for the Pentagon, something it already does for the CIA. That’s part of the reason why Amazon moved its second headquarters (after an absurd, game show-style bidding war that gave the company access to valuable data on hundreds of cities’ planning decisions) to a suburb of Washington, D.C., the seat of national power.

Making the directors of the regulatory state dependent on your services is a genius move. What political figure would dare crack down on the behavior of a trusted partner like Amazon?

In fact, Amazon has relied on government largesse since day one. No sales taxes for online purchases gave it a pricing advantage over other sellers (while a 2018 Supreme Court ruling changed that, the damage had been done). No carbon taxes helped Amazon build energy-intensive businesses dependent on fossil fuels for transportation and server farms. A lack of antitrust enforcement created a path for Amazon to super-size into an e-commerce monopoly. Weak federal labor rules let Amazon stamp out collective bargaining and rely on independent contractors. Mandatory arbitration locked third-party sellers inside Amazon’s private appeals process. Favorable tax law allowed Amazon to apply annual losses in previous years to its past two tax returns, paying no federal taxes on billions in income.

Of course, these rules helped all corporate giants and made executives filthy rich, often at the expense of workers. But Amazon tests the laissez-faire system in unique ways. In a future where Amazon broadens its control over our lives such that citizens have nowhere else to shop, businesses have nowhere else to sell, workers have nowhere else to toil, and governments have no other way to function, then who actually holds the power in our society? Avoiding that dark future requires leaders with the political will to stop it.

Elizabeth Warren’s plan to break up Amazon would rein in what she sees as unfair competition by preventing Amazon from selling products while hosting a website platform for other sellers. Warren also suggests splitting off Whole Foods and the online retailer Zappos, which Amazon bought in 2017 and 2009, respectively.

Fostering competition is a good start, but regulation must also prevent Amazon from bullying suppliers and partners. Lawmakers must force Amazon to pay for the externalities associated with its carbon-intensive delivery network. The company must pay a living wage to its workers, including its so-called independent contractors. It must be accountable to the legal system rather than a corporate-friendly arbitration process. It must not profit from spying on its customers.

If Amazon has caused this much upheaval today, when online shopping is still only 16 percent of retail sales, the future is limitless and grim. We have time to reverse this transfer of power and make it our world instead of Amazon’s. It’s an opportunity we cannot afford to squander.

Bezos Reveals His Ugly Vision For The World He’s Trying To Rule

By Caitlin Johnstone

Source: CaitlinJohnstone.com

“Guess what the best planet is in this solar system?” asked Amazon CEO Jeff Bezos at a recent media event on his Blue Origin space program.

“It’s easy to know the answer to that question,” he continued. “We’ve sent robotic probes like this one to all of the planets in our solar system. Now, some of them have been fly-bys, but we’ve examined them all. Earth is the best planet. It is not close. This one is really good.”

Bezos then went on to discuss his plan to ship humans off of the best planet in the solar system and send them to live in floating cylinders in space.

Bezos claimed that the growing human population and growing energy consumption will force us to make a choice between “stasis and rationing” and “dynamism and growth”, and claimed that the latter item in his dichotomy is possible only by moving humans off the planet.

“If we’re out in the solar system, we can have a trillion humans in the solar system, which means we’d have a thousand Mozarts and a thousand Einsteins,” Bezos said. “This would be an incredible civilization. What would this future look like? Where would a trillion humans live? Well it’s very interesting, someone named Gerry O’Neill, a physics professor, looked at this question very carefully and he asked a very precise question that nobody had ever asked before, and it was, ‘Is a planetary surface the best place for humans to expand into the solar system?’ And he and his students set to work on answering that question, and they came to a very surprising–for them–counterintuitive answer: No.”

Bezos went on to describe how the limited surface areas, distance, and gravitational forces of the other planets in our solar system make settling on those planets impractical and cost-prohibitive, while constructing giant space cylinders closer to Earth which can hold a million people is far more practical. These cylinders would spin to replicate Earth’s gravitational pull with centrifugal force.

Here are some illustrations Bezos used in his presentation to show us what these “O’Neill colonies” might look like:

“These are really pleasant places to live,” Bezos said. “Some of these O’Neill colonies might choose to replicate Earth cities. They might pick historical cities and mimic them in some way. There’d be whole new types of architecture. These are ideal climates. These are short-sleeve environments. This is Maui on its best day, no rain, no storms, no earthquakes.”

No rain? No weather? Just big, spinning cylinders floating monotonously in space? A trillion divided by a million is one million, which means that the best idea the richest man in the world can come up with for the future of our species is to fill our solar system with a million of these floating homogenized space malls.

“If we build this vision, these O’Neill colonies, where does it take us? What does it mean for Earth?” Bezos asked. “Earth ends up zoned, residential, and light industry. It’ll be a beautiful place to live, it’ll be a beautiful place to visit, it’ll be a beautiful place to go to college, and to do some light industry. But heavy industry, polluting industry, all the things that are damaging our planet, those will be done off Earth. We get to have both. We get to keep this unique gem of a planet, which is completely irreplaceable–there is no Plan B. We have to save this planet. And we shouldn’t give up a future of our grandchildren’s grandchildren of dynamism and growth. We can have both.”

Now, if you look at the behavior of Jeff Bezos, who exploits his employees and destroys his competitors, and who some experts say is trying to take over the underlying infrastructure of our entire economy, you can feel reasonably confident that this man has no intention of leaving “this unique gem of a planet”, nor of having the heirs to his empire leave either. When you see this Pentagon advisory board member and CIA contractor planning to ship humans off the Earth’s surface so the planet can thrive, you may be certain that he’s talking about other humans. The unworthy ones. The ones who weren’t sociopathic enough to climb the capitalist ladder by stepping on the backs of everyone else.

And make no mistake, when Bezos talks about saving the planet for “our grandchildren’s grandchildren”, he’s not just talking about his heirs, he’s talking about himself. Bezos has invested large amounts of wealth in biotech aimed at reversing the aging process and cracking the secret of immortality.

This is the sort of guiding wisdom that is controlling the fate of our species, everyone. The world’s most ambitious plutocrat envisions a world in which, rather than evolving beyond our destructive tendencies and learning to live in collaboration with each other and our environment, we are simply shipped off into space so that he can stretch out and enjoy our beautiful planet. That’s his best idea.

Our plutocratic overlords aren’t just sociopaths. They’re morons.

Bezos’ incredibly shallow vision for humanity reminds me of something Julian Assange said at a 2017 London festival via video link about the way Silicon Valley plutocrats are trying to become immortal by finding a way to upload their brains onto computers.

“I know from our sources deep inside those Silicon Valley institutions, they genuinely believe that they are going to produce artificial intelligences that are so powerful, relatively soon, that people will have their brains digitized, uploaded on these artificial intelligences, and live forever in a simulation, therefore will have eternal life,” Assange said. “It’s a religion for atheists. They’ll have eternal life, and given that you’re in a simulation, why not program the simulation to have endless drug and sex orgy parties all around you. It’s like the 72 virgins, but it’s like the Silicon Valley equivalent.”

I mean, damn. First of all, how stupid do you have to be to overlook the fact that science has virtually no understanding of consciousness and doesn’t even really know what it is? Even if these idiots find a way to upload their neurological patternings onto some AI’s virtual simulation, it’s not like they’d be there to experience it. It would just be a bunch of data running in a computer somewhere, mimicking the personality of a dead person and experienced by no one. People who believe that all there is to them is their dopey mental patterns have not spent any time whatsoever exploring what they are, and have no idea what it is to be human. The fact that anyone would think they could become immortal by digitizing their churning, repetitive personality patterns is crazy, and the fact that they’d want to is even crazier.

People who think this way should shut up and learn about life, not rule the world in a plutocratic system where money translates directly to political influence. People who think that humans can be happily unplugged from the ecosystemic context in which they evolved, the ecosystemic context of which they are an inseparable part, and people who think they can become immortal by uploading their wanky personalities onto a computer should shut the fuck up, spend some time alone with themselves, maybe try some psilocybin mushrooms, and learn a bit about what it means to be human. They certainly shouldn’t be calling the shots.

Earth is our home. It’s what we’re made for. The earth went through a lot to give you life. Sparks had to catch, oceans had to freeze, billions of cells had to survive endless disease, all of these amazing things had to happen just right to give you life. You belong here. You are as much a creation of the earth as the air you breathe. You may feel like a singular organism but you’re actually as much a singular organism as one of the many billions of organisms that make up your body. You and earth are one. And because you evolved on earth, you are perfectly adapted to earth and it is perfectly adapted to you. It yearns for your breath as you yearn for its breeze on your face.

We absolutely have the ability to transcend our unhealthy tendencies as a species which, when you really look at them, are merely creations of a mind that feels alone and separate and like it is in a constant fight for its life. If we just put down our mental swords for a hot second and learned to channel our creativity into the thriving of our society and our ecosystem instead of into killing and out-competing one another then we will be okay. The way out of this is the way towards health. For example, once women have been given back even the most basic rights of sexual sovereignty such as birth control and access to terminations as they have in most western countries, birth rates fall below replication levels. Women’s own internal bodily wisdom makes the problem of overpopulation moot if given half a chance just to make decisions on behalf of her own body.

Another example. People lament the lack of jobs due to AI and automation but we actually desperately need people to do less. We need a whole lot of people doing nothing, not using the roads every morning and evening, not producing widgets that no one needs and creating advertising campaigns to brainwash people into buying them anyway, just to have them end up in the ocean or leaching heavy metals into the earth. Having a whole lot of people doing nothing for more of their week would take the strain off of our health systems as the single biggest factor in disease is stress. Studies show that stress also shrinks your brain and lessens your creativity and innovation too, so all the punitive-minded libertarians out there who are worried that we won’t progress as a species if we start sharing resources around to people who aren’t doing things that traditionally made money because we’ll be too relaxed can chill too. We don’t need to crack the whip to get people to make beautiful innovations. Humans are at their best when feeling playful and relaxed. Nearly all the technological advances of the past came from people who had a lot of leisure time due to their privileged status. Releasing humans from 9 to 5 slavery would be the fastest way to slow our resource consumption and take pressure off of all our systems and would have the added benefit of making us smarter, funnier, more creative and more innovative too.

And for that matter, having every idea and innovation be required to make money is also killing us. We need the ability to fund things that will not make profit. How many times have you been in a conversation and someone’s come up with an idea that will solve a major environmental, energy or health problem and no one’s got excited because it will never get off the ground because it will never make money? Fully disappearing a problem never made anyone any money. Healthy people, for example, never spend a dime at the doctors. The way out of this is detaching human innovation from money and allowing solutions to flourish without the imposition of also having to turn a profit.

These are merely three things I can think of that will dramatically improve our collective ability to reverse this extinction event and all we have to do is get saner, stop punishing each other, start sharing and start collaborating. The only issue we have as humans is that a handful of highly competitive, highly sociopathic and yet incredibly mediocre people have all the power to build our future for us with virtually no input from anyone else. Because all the power in the form of all the money has been allowed to pool into the hands of those most willing to do whatever it takes to get it, we have just a few ruthless yet surprisingly dumb individuals calling the shots on the future of all living beings. The competitive mindset that gave rise to Jeff Bezos is the exact opposite of the kind of collaborative, harmonious mindset we’ll need if we’re going to overcome the challenges we face on the horizon.