What I don't understand about the circular financing is how does it not violate antitrust? All these supposed rivals own huge stakes in each other. Are they really competitors?

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mapt an hour ago | parent | next [-]

Zaibatsu - Clearly antitrust.

Keiretsu - perfectly acceptable business relationship preferences that in no way require governments to regulate their GDP growth / campaign donation black box machine.

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trollbridge 2 hours ago | parent | prev | next [-]

The entire economy relies on circular flows. That’s why we look at something called “net profit”.

	▲	beepbooptheory an hour ago \| parent \| next [-]
		This made me chuckle, thanks.
	▲	irididifudud an hour ago \| parent \| prev [-]
		[dead]

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thewhitetulip 2 hours ago | parent | prev [-]

Well rules stopped mattering to BigCo many hears ago

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spwa4 an hour ago | parent [-]

Strange how you complain about this for circular flows when of course the GOAT of circular flows is the money system itself

govt prints money (FED) -> government -> banks -> (economy) -> tax -> government

And the second "great circle"

govt loans money (FED) (money that doesn't exist, which isn't a problem if you can print money) -> banks -> (economy) -> loan repayment -> money gets "unprinted"/destroyed

Everything about the economy is a great circle. You will also understand after a while, if you wish for the economy to remain stable, this must be the case. You can't change it without either hyperinflation and extreme "capital flight" (between quotes because of course in that circumstances capital will run into gold or other physical resources), by either vastly overheating or stopping the economy.

And yes, most instances are of the overheating kind. The only case of stopping the economy was accidental (despite many warnings), in other words, yes, it was Republicans. But last time that happened, even republicans could decide to change course. Of course, only once huge damage was done.

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randbyte an hour ago | parent | next [-]

Way more people complain about this too, if you pay attention to all the US inflation and national debt anxieties. It’s clearly unsustainable and driving interest rates up steadily.

	▲	mpyne an hour ago \| parent [-]
		People complain about the imbalance between economy supply and economy demand leading to inflation and debt concerns. The complaint isn’t that the economy is “circular”, how else could it work with 3 or more people engaged in commerce? Neither of those things get fixed on different ways to manage the money supply either, it’s not as if they didn’t have national debts or inflation while on the gold standard.

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samiv an hour ago | parent | prev [-]

Government doesn't print money. FED is a private institution.

	▲	randbyte an hour ago \| parent [-]
		Every FED governor is appointed by POTUS.