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Johannesburg, Cape Town, Lagos, Abuja, Port Harcourt, Accra, Cotonou, Port Novo,
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Muslims of Burundi and Muslims in Burundi <> Islam in Cameroon
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Islam in Cape Verde Muslims or Capean Muslims | Muslims of Cape Verde and
Muslims in Cape Verde <> Islam in Central Africa Muslims or Central
African Muslims | Muslims of Central Africa and Muslims in Central Africa <>
Islam in Chad Muslims or Chadian Muslims | Muslims of Chad And Muslims in Chad <>
Islam in Comoros Muslims or Comorian Muslims | Muslims of Comoros and Muslims in
Comoros <> Islam in Congolese (DRC Kinshasa) Muslims or Congolese
(DRC Kinshasa) Muslims | Muslims of Congolese (DRC Kinshasa) and Muslims in
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in Ethiopia Muslims or Ethiopian Muslims | Muslims of Ethiopia and Muslims in
Ethiopia <> Islam in Gabon Muslims or Gabonese Muslims | Muslims of
Gabon and Muslims in Gabon <> Islam in Gambia Muslims or Gambian
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Islam in Guinea (Conakry) Muslims or Guinean (Conakry) Muslims | Muslims of
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Bissau Muslims or Bissauan Muslim or Bissawean Muslims | Muslims of Guinea and
Muslims In Guinea <> Islam in Ivory Coast Muslims or Ivorian Muslims
| Muslims of Ivory Coast and Muslims in Ivory Coast <> Islam in Kenya
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Islam in Lesotho Muslims or Lesothian Muslims | Muslims of Lesotho and Muslims
in Lesotho <> Islam in Liberia Muslims or Liberian Muslims | Muslims
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Madagascan Muslims | Muslims of Madagascar and Muslims in Madagascar <>
Islam in Malawi Muslims or Malawian Muslims | Muslims of Malawi and Muslims In
Malawi <> Islam in Mali Muslims or Malian Muslims | Muslims of Mali
and Muslims In Mali <> Islam in Mauritania Muslims or Mauritanian
Muslims | Muslims of Mauritania and Muslims In Mauritania <> Islam in
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Islam in Sao Tome Muslims or Sao Tomese Muslims | Muslims of Sao Tome and
Muslims in Sao Tome <> Islam in Senegal Muslims or Senegalese Muslims
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Islam in Sierra Leone Muslims or Sierra Leonean Muslims | Muslims of Sierra
Leone and Muslims in Sierra Leone <> Islam in Somalia Muslims or
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<> Islam in Sudan Muslims or Sudanese Muslims | Muslims of Sudan and
Muslims in Sudan <> <> Islam in Swaziland Muslims or Swazi
Muslims | Muslims of Swaziland and Muslims in Swaziland <> Islam in
Tanzania Muslims or Tanzanian Muslims | Muslims of Tanzania and Muslims in
Tanzania <> Islam in Togo Muslims or Togolese Muslims | Muslims of
Togo and Muslims in Togo <> Islam in Uganda Muslims or Ugandan
Muslims | Muslims of Uganda and Muslims in Uganda <> Islam in Zambia
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importance to Muslims unfolding Muslim perspectives and Da'wah:: The Muslim
World :: African Muslims :: African American Muslims :: Caribbean Muslims ::
European Muslim :: African Muslim Portal
AwqafAfrica is in association with www.esinislam.com, www.islamafrica.com, and www.islamicafrica.com <<>> African Muslim Directories <<>> If you reside in the UK, the US, Canada, France, Germany, Ireland, or Australia and require FREE Islamic ritual services including Marriage, Newborn Baby Ceremonies, Funerals, etc. send your requests to: ritualservices@esinislam.com <<>>> Free Muslim visits in Johannesburg, Cape Town, Lagos, Abuja, Port Harcourt, Accra, Cotonou, Port Novo, Freetown, Abidjan, Dakar, Khartoum, Nairobi, Addis Ababa, Harare, or Kinshasa visits@esinislam.com <<>> FREE Translations English-Arabic-English and French-Arabic-French are available for mosques, Islamic centres, and Muslim organizations based in Africa or serving the Africans abroad: translator@esinislam.com <<>> Free Islamic And Arabic Studies For The African Muslims And African American Muslims <<>> Islam In Africa <> Islam In America <> Islam In Europe <> Islam In Asia <<>> Join us celebrating Islam in Africa Muslims or African Muslims | Muslims of Africa and Muslims in Africa Islam in Angola Muslims or Angolan Muslims | Muslims of Angola and Muslims in Angola <>Islam in Benin Muslims or Dahome Muslims | Muslims of Benin and Muslims in Benin <> Islam in Botswana Muslims or Boswanan Muslims | Muslims of Botswana and Muslims in Botswana <> Islam in Burkina Faso Muslims or Burkinan Muslims | Muslims of Burkinafaso and Muslims in Burkinafaso <> Islam in Burundi Muslims or Burundian Muslims | Muslims of Burundi and Muslims in Burundi <> Islam in Cameroon Muslims or Cameroonian Muslims | Muslims of Cameroon and Muslims in Cameroon <> Islam in Cape Verde Muslims or Capean Muslims | Muslims of Cape Verde and Muslims in Cape Verde <> Islam in Central Africa Muslims or Central African Muslims | Muslims of Central Africa and Muslims in Central Africa <> Islam in Chad Muslims or Chadian Muslims | Muslims of Chad And Muslims in Chad <> Islam in Comoros Muslims or Comorian Muslims | Muslims of Comoros and Muslims in Comoros <> Islam in Congolese (DRC Kinshasa) Muslims or Congolese (DRC Kinshasa) Muslims | Muslims of Congolese (DRC Kinshasa) and Muslims in Congolese (DRC Kinshasa) <> Islam in Congo (Brazzaville) Muslims or Congolese (Brazzaville) Muslims | Muslims of Congo (Brazzaville) and Muslims in Congo (Brazzaville) <> Islam in Djibouti Muslims or Djiboutian Muslims | Muslims of Djibouti and Muslims in Djibouti <> Islam in Equatorial Guinea Muslims or Equatorial Guinean Muslims | Muslims of Equatoria Guinea And Muslims in Equatoria Guinea <> Islam in Eritrea Muslims or Eritrean Muslims | Muslims of Eritrea and Muslims in Eritrea <> Islam in Ethiopia Muslims or Ethiopian Muslims | Muslims of Ethiopia and Muslims in Ethiopia <> Islam in Gabon Muslims or Gabonese Muslims | Muslims of Gabon and Muslims in Gabon <> Islam in Gambia Muslims or Gambian Muslims | Muslims of Gabia and Muslims in Gambia <> Islam in Ghana Muslims or Ghanaian Muslims | Muslims of Ghana and Muslims in Ghana <> Islam in Guinea (Conakry) Muslims or Guinean (Conakry) Muslims | Muslims of Guinea (Conakry) and Muslims in Guinea (Conakry) <> Islam in Guinea Bissau Muslims or Bissauan Muslim or Bissawean Muslims | Muslims of Guinea and Muslims In Guinea <> Islam in Ivory Coast Muslims or Ivorian Muslims | Muslims of Ivory Coast and Muslims in Ivory Coast <> Islam in Kenya Muslims or Kenyan Muslims | Muslims of Kenya and Muslims in Kenya <> Islam in Lesotho Muslims or Lesothian Muslims | Muslims of Lesotho and Muslims in Lesotho <> Islam in Liberia Muslims or Liberian Muslims | Muslims of Liberia and Muslims in Liberia <> Islam in Madagascar Muslims or Madagascan Muslims | Muslims of Madagascar and Muslims in Madagascar <> Islam in Malawi Muslims or Malawian Muslims | Muslims of Malawi and Muslims In Malawi <> Islam in Mali Muslims or Malian Muslims | Muslims of Mali and Muslims In Mali <> Islam in Mauritania Muslims or Mauritanian Muslims | Muslims of Mauritania and Muslims In Mauritania <> Islam in Mauritius Muslims or Mauritian Muslims | Muslims of Mauritius and Muslims In Mauritius <> Islam in Mozambique Muslims or Mozambican Muslims | Muslims of Mozambique and Muslims in Mozambique <> Islam in Namibia Muslims or Namibian Muslims | Muslims of Namibia and Muslims in Namibia <> Islam in Niger Muslims or Nigerean Muslims | Muslims of Niger And Muslims in Niger <> Islam in Nigeria Muslims or Nigerian Muslims | Muslims of Nigeria and Muslims in Nigeria <> Islam in Rwanda Muslims or Rwandan Muslims or Rwandese Muslims | Muslims of Rwanda and Muslims in Rwanda <> Islam in Sao Tome Muslims or Sao Tomese Muslims | Muslims of Sao Tome and Muslims in Sao Tome <> Islam in Senegal Muslims or Senegalese Muslims | Muslims of Senegal and Muslims in Senegal <> Islam in Seychelles Muslims or Seychellois Muslims | Muslims of Seychelles And Muslims in Seychelles <> Islam in Sierra Leone Muslims or Sierra Leonean Muslims | Muslims of Sierra Leone and Muslims in Sierra Leone <> Islam in Somalia Muslims or Somali Muslims | Muslims of Somalia and Muslims in Somalia Islam in South Africa Muslims or South African Muslims or Southern African Muslims | Muslims of South African Or Muslims Of Southern Africa Or Muslims in Southern Africa <> <> Islam in Sudan Muslims or Sudanese Muslims | Muslims of Sudan and Muslims in Sudan <> <> Islam in Swaziland Muslims or Swazi Muslims | Muslims of Swaziland and Muslims in Swaziland <> Islam in Tanzania Muslims or Tanzanian Muslims | Muslims of Tanzania and Muslims in Tanzania <> Islam in Togo Muslims or Togolese Muslims | Muslims of Togo and Muslims in Togo <> Islam in Uganda Muslims or Ugandan Muslims | Muslims of Uganda and Muslims in Uganda <> Islam in Zambia Muslims or Zambian Muslims | Muslims of Zambia and Muslims in Zambia <> Islam in Zimbabwe Muslims or Zimbabwean Muslims | Muslims of Zimbabwe and Muslims in Zimbabwe <> Islam in African Muslims || African Mosques || African Muslim Organizations || African Muslim Colleges || African Muslim Businesses www.esinislam.com <<>> ALL SERVICES ARE FREE :::::: AwqafAfrica is in association with www.esinislam.com, www.islamafrica.com, and www.islamicafrica.com <<>> African Muslim Directories <<>> If you reside in the UK, the US, Canada, France, Germany, Ireland, or Australia and require FREE Islamic ritual services including Marriage, Newborn Baby Ceremonies, Funerals, etc. send your requests to: ritualservices@esinislam.com <<& :: Articles And Writers :: Palestinian News ::: Muslim World News ::: Middle East News ::: International News ::: Saudi Arabian News ::: Afghanistan News ::: Internet Newspapers ::: Do Something Wonderful! :: :: Regional African News ::: Al-Maghreb News ::: Nigerian News ::: Sudanese New ::: Somali News ::: Egyptian News ::: South African News ::: Articles And Writers ::: Awqaf Africa Press Release ::: Simply Thank You! :: Qur'an Translation ::: Qur'an Transliteration ::: Sahih Al Bukhari ::: Sahih Muslim ::: Muwatta` Malik ::: Sunan Abu-Dawud ::: Qur'an And Hadith Divan ::: Donations Options :: : As-Sirah Biography ::: The Final Prophet ::: The Four Caliphs ::: The Companions ::: Muslim Profiles ::: Our Sheikh Abu-Abdullah Adelabu ::: Articles And Writers ::: Do Something Rewarding Now! :: Muslim Briefcase ::: Ad-Duaa - Prayers ::: Hajj And Umrah ::: Figh us Sunnah ::: Names for Muslims ::: True Muslim Woman ::: Ash-Shirk [i.e. Polytheism] ::: Donate To African Muslim Communities! :: Arabic Dictionary ::: Directories A - Z ::: African Muslim Directories ::: Middle East Directories ::: Arabian Gulf Yellow Pages ::: Awqaf Muslim Communities ::: Helping The African Muslims :: African Islamic education services and interactive Muslim World news network with insightful analysis and commentary on issues and events of importance to Muslims unfolding Muslim perspectives and Da'wah :: The Muslim World :: African Muslimsgt;>> Free Muslim visits in Johannesburg, Cape Town, Lagos, Abuja, Port Harcourt, Accra, Cotonou, Port Novo, Freetown, Abidjan, Dakar, Khartoum, Nairobi, Addis Ababa, Harare, or Kinshasa visits@esinislam.com <<>> FREE Translations English-Arabic-English and French-Arabic-French are available for mosques, Islamic centres, and Muslim organizations based in Africa or serving the Africans abroad: translator@esinislam.com <<>> Free Islamic And Arabic Studies For The African Muslims And African American Muslims <<>> Islam In Africa <> Islam In America <> Islam In Europe <> Islam In Asia <<>> Join us celebrating Islam in Africa Muslims or African Muslims | Muslims of Africa and Muslims in Africa Islam in Angola Muslims or Angolan Muslims | Muslims of Angola and Muslims in Angola <>Islam in Benin Muslims or Dahome Muslims | Muslims of Benin and Muslims in Benin <> Islam in Botswana Muslims or Boswanan Muslims | Muslims of Botswana and Muslims in Botswana <> Islam in Burkina Faso Muslims or Burkinan Muslims | Muslims of Burkinafaso and Muslims in Burkinafaso <> Islam in Burundi Muslims or 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Articles
By
Dave & Ariel Lindorff
Accredited
-
Associated
`Too
Big to Fail' Has an Easy Answer:
Anti-Trust or Public Control
Posted By Dave LindorffNovember 11, 2008
The one thing we are not hearing from
Congress or from incoming president Barack
Obama in the current economic crisis facing
the country are the words “anti-trust” and
“public ownership and control.”
From the moment the crisis first struck, with
the near collapse of AIG, the mantra has been
that companies like AIG, Morgan Stanley,
Merrill Lynch, Citibank, etc.--and more
recently General Motors Corp. and Ford--are
“too big to fail.” That is, it is argued that
these companies are so huge that if they were
to collapse into the rubble they deserve to
be, it would damage the nation irreparably.
The question is, if that is genuinely the
case, why were they allowed to be that big in
the first place, and why aren’t we rethinking
that policy?
It’s not as though they got that way through
organic growth by being successful at what
they did. Hardly. GM was the quintessential
result of a merger of smaller automakers. Ford
grew too, by acquiring the competition, most
recently Volvo. Most, if not all of those
acquisitions were first vetted and approved by
the Federal Trade Commission and found to be
acceptable as a matter of economics and public
policy.
In the banking industry, which is regulated,
the picture is even worse, with the government
first opening the door to the creation of
national banking companies, and then routinely
approving the gobbling up of one after another
regional or even national bank by another. At
some point we reached the point where the
giants in the industry—Citibank, JP Morgan
Chase, Bank of America, Wells Fargo, etc.—were
able to say, when they ran into trouble, that
allowing them to fail would have dire
consequences for the national economy. This
kind of extortion should never have been
allowed to happen.
First of all, the argument for national banks
never made sense for ordinary people, and
wasn’t necessary for large customers either.
Large corporate fundings have always been done
by bank consortia, and this could have been
accomplished with the nation’s banking
industry fragmented into small state-chartered
institutions. Meanwhile, small businesses and
individuals always lose when a bank is
national in scale. It is much more costly to
handle the banking business of small
enterprises and individual families than it is
to handle the business of huge corporate
clients, with the result that the major banks
have made it costlier and costlier for small
customers to do business with them.
The answer is clear. Bigness is fundamentally
bad when it comes to capitalism. There is a
point where any company in any industry
becomes too big for it to be socially
acceptable. Big companies not only attempt to
behave in a monopolistic fashion by destroying
or buying up the competition, both nationally
or, as in the case of a retailer like WalMart
or a bank like Citibank, locally, using their
huge financial power to locally underprice the
competition and drive them out of business
(after which they are free to gouge the local
customer base). They also ride roughshod over
local political interests, demanding tax
breaks, zoning waivers, etc. This being the
case, the government should simply not be
allowing corporations to achieve such scale
and market dominance.
Companies, whether banks, car makers, or media
companies, should never be allowed to grow to
a point that they become “too big to fail.” If
that can be said about any company, whether
because of the assets it holds, or because of
the number of people it employs, it is time to
break it up.
Think of GM. If GM were ripped up into six or
seven competing companies, it is certain that
at least one of those smaller entities would
be producing electric cars by next year. The
Saturn plant already made one, the Impact,
that was wildly popular (see the excellent
documentary “Who Killed the Electric Car”),
and if left to its own devices to sink or
swim, could probably be cranking those out in
volume for the 2010 model year.
Some companies would certainly fail. But
that’s what is supposed to happen in a
capitalist system.
This piece is not meant to be a paen to
capitalism. But having said that, if you’re
going to have capitalism, which is the ruling
ideology here in the US of A, you have to let
it function as intended. As soon as the
government comes in and starts encouraging the
establishment of monopolies or
quasi-monopolies, and preventing the failure
of poorly managed enterprises or dying
industries, as it is doing in the case of the
banking and automotive sectors, it is no
longer true capitalism.
That could work, too. Many democratic
countries, including Japan, Sweden, France and
Germany, have the concept of shared governance
of corporations, in which large corporate
entities are partially owned and run by
government, and of planned economies, in which
certain sectors are deliberately protected and
promoted by government policy. The US has
moved in that direction with the investment by
the government in nine of the country’s
largest banks, and in discussions to provide
$25-50 billion in financial assistance to the
major US auto companies. But in the US case,
the government is studiously avoiding
demanding a role in running those companies.
It is by design only a “passive” investor.
This is the triumph of ideology over
rationality and the public interest. I
recently interviewed a number of investment
strategists in the course of working on an
article for an investment magazine. They all
had the same advice for worried investors:
invest in shares of the “magic nine” banks
that are recipients of tens of billions of
dollars in bail-out money from the federal
government. As they all point out, the
government’s stake in these banks means that
they will not be allowed to fail, and
moreover, they are in a unique position to use
their flush capital reserves to acquire, at
fire sale prices, the assets of smaller banks
that are being left to sink or swim in the
current credit crisis and recession. That is
not a free market. It’s a government program
to reduce the competition in the banking
sector and hand all the business over to a
favored few giant banks.
Now that would be okay if the government, in
return for its investment, were taking a
management role in those favored banks. But it
is not. Congress, the Bush administration,
and, so far at least, the incoming
administration of Barack Obama, have not been
demanding a management stake in any of the
companies that are getting bail-out funding.
If the government takes ownership positions at
all, it is taking non-voting shares in those
companies, solely in the hope of someday
getting some of the invested money back by
selling those shares.
This is not just a rip-off of the taxpayer. It
is a craven program to enrich big investors in
the bailed-out enterprises, while putting
control of the nation’s economic destiny
increasingly into a smaller number of hands of
people whose interests are not even aligned
with the national intereest (these are, after
all, all transnational corporations only
nominally headquartered in the US).
There is, of course, another reason that
companies should never be allowed to become
“too big to fail.” That is political clout.
The US political system is already largely an
owned-and-operated subisidiary of corporate
America. When companies become as large as AIG
or GM or Bank of America, they also gain a
disproportionate influence over the political
apparatus that is an order of magnitude larger
than their share of the national GDP. It’s not
just that they have limitless money to donate
to political campaigns. They also, by their
size, are able to dispense political favors in
virtually every congressional district, much
as the Pentagon has been doing for the past
half century, and also to threaten national
havoc if they don’t get their way.
Don’t expect much in the way of scrutiny of
this bailout process from the corporate media,
by the way, which has been engaged in the same
process of national consolidation for the past
few decades. But clearly, the public needs to
wake up and start demanding that if our money
is going to be used to bail out these corrupt
and horrifically managed enterprises, we the
people need to have a controlling interest in
running them, so that they are run in our
interest. Better yet, we should be demanding
that these bumbling colossuses be broken up
into little pieces, and then left to sink or
swim on their own like the rest of us.
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