The problem of sustainability rests in modern capitalism itself. Since 1990 atleast one region of the world has been in recession or economic downturn. This is the cause of the market forces placing increasing financial pressure on middle class, working class, students, public workers, and in essence any member of society who are not members of the economic and political elite. These are the owners of banks which are “too large to fail“, receiving billions in bail outs and billions of cheap loans from the Federal Reserve’s measures like quantative easing.
All of this is occurring while governments in the EU and the United States are initatiating cruel austerity measures including pension and salary cuts as well as cutbacks on public services such as healthcare, education and transportation. In the USA the Congress will meet a dilemma from the fiscal cliff, when the bush era tax cuts expire and income as well as payroll tax will increase substantially, while also cutting social security funds. In my view, if capitol will not alleviate the effects of the fiscal cliff it will cause the end of capitalism as we know it.
Instead of a wall street and capital based capitalism in which the economic and politcal elite are deeply intertwined we will see a liberalisation of politics and an increasingly egalitarian and democratic market structure in which trade unions and workers have larger influences over the economic structure than at the present structure. An economy based on production not financial transactions, where the economy is democratically organized by workers, engineers and managers through enterprises; not through top-down power based corporations where the largest shareholder have the most power resulting in economic oligarchy and centralization. We need a decentralized economy and decentralized politcal system in which communities provide social services and determine tax rates, not the federal state who has less of an idea of the local needs.
Freer and fairer trade must also be assured, markets should not be restricted by Reagenite protectionism which is harming global growth and development in the regions with the greatest need in freer and fairer trade. Not a free trade based on WTO, IMF or WB in which the region’s sovreignity and local needs are rejecied. These organizations are opting for an unethical neo-liberal strategy improving the economic imperialism of the protectionist west while limiting potential growth in the underdeveloped areas and sometimes even causing further poverty like in Mexico.
This is my vision for a sustainable and more equal future for the next generations. I am of course an idealist, and these reforms should not happen over night, in fact maybe not even during my own life time, but this should be the direction for which we should lead the economic system, from wall street style elitism to a more democratic and egalitarian economic system providing sustainability for all.