Economic Update

This week's updates are divided into two parts.  Part A: the special dimensions and qualities of the US labor movement's current dynamism, Piketty shows capitalism generates widening wealth and income gaps leading to crashes or else simmering, divisive, domestic resentments. The system itself becomes destabilized. It can then lurch to the left as happened via The New Deal in the USA or right as in Nazi Germany, Italy and Spain (fascism). Both movements advocated gov 't intervention to stabilize capitalism: one left, one right. The left worked via massive supports to working people (minimum wages, gov't jobs, social security, etc.). The right went to try forced labor, anti-immigrant efforts, demonizing immigrants to support employers. Turns right have their parallels now: Brexit, Trump, Milei (Argentina) and Miloni in Italy. The big question: since all the rightward moves failed and sent Germany, Italy and Spain over into social democracy." Will their behavior be equalled again?"