Kia's World

Before I get started I want to make it clear that this article is not aimed as an attack against the American people, I hope that the American people can take it as it is meant - though I do realise that many people do have strong patriotic feelings and so I can only hope that I do not offend too many.

What follows was inspired by the news I read today that the US Treasury Secretary has announced the Federal Government is to takeover Freddie Mac & Fannie Mae.

Lets do our best to begin at the beginning - the formation of the United States - originally founded as a very liberal country - its foundation inspired by the ideas of great minds such as John Locke, Francis Hutcheson, and (obviously) Thomas Jefferson. It is this liberal idealism which probably inspires most of the patriotism of the American people - and rightly so.
For a while America ticked along quite nicely - they had some wars (both internally and externally) - but they were just another country, not great, but finding their feet.

Then came the wars in Europe - the superpowers of the day - the very wars which stripped European countries of their superpower status. The wars caused great questions to be asked about the ways in which governments should act - both with each other, and with their own citizens.
It was in these post-war days that the American Government shone - inspired by the likes of Friedrich Hayek (The Road to Serfdom) and the many, many others who turned away from the 'collectivist' government style - America pushed forward the strongest Capitalist economy the world had ever seen. The American Government fostered this situation greatly by controlling imports to strengthen the Americas position.
This created the attitude we now see in America - rightly or wrongly it is there - that Capitalism and the 'free market' is the 'American Dream' and that all forms of collectivism are 'Commies' and therefore evil.

So, here we are in modern-day America - Capitalism is king. The down side is that the capitalist economy is founded on exploitation - of both people and resources - this was fine while we had 'limitless' resources and Asia had no economy (fine for the west that is as long as we 'turn a blind eye' to the blatant exploitation of people (including children) working as slaves for the west - but that is for another day). We now find ourselves in a different world - Asia's (specifically India & China) economy is strengthening - and starting to replace America as the world superpower - the seemingly 'limitless' resources are running out - or are in exceedingly volatile places - and America are hitting the point which Europe did 100 years ago - and their first action? The nationalisation of two of their biggest mortgage lenders - a first tentative step on the 'Collectivist' path.

Now, before I blow this out of proportion, I do realise that this is a very small step - and as far as I can tell is being done with the 'best intention' of propping up the capitalist system, but it does set a worrying precedent - and one which will be paid for by the American tax payers.
I hope that as America becomes more disenchanted with their capitalist system of the past that they can move forward to a better way for ALL their American citizens - not just the richest 5%. I hope that they can find a third way - which will enable them (and us all) to move forward, and not back to a centralized, collectivist system.

True to form I am just pointing out the problems without offering a workable solution - but that will be for the American people to decide.

Where to go from here? Answers on a postcard to The President, The White House, USA - or just in the comments here - I am sure Bush will be reading this blog :-p