Quote of the Day

"There’s no place for nationalism in the world of capitalism. Money has no flag, no boundaries and no musical anthem."

Bangkok Post

The Chinese rich get richer

According to a recent report from China's Ministry of Human Resources and Social Security, astronomical increases in salaries in several domestic industries, especially among high-level corporate executives, have widened the gap between the rich and the poor.

Ma Mingzhe, the general manager of Ping An Group, for example. In 2007, his annual income reached 66.16 million yuan ($10.58 million); 2,751 times higher than the average yearly salary of a white collar worker in China at that time and 4,553 times more than the average migrant worker.

In a poll 81% of Chinese agree with the statement the “rich just get richer while the poor get poorer,”

26 richest people of all time’:

1. Mansa Musa I, (Ruler of Malian Empire, 1280-1331) $400 billion
2. Rothschild Family (banking dynasty, 1740- ) $350 billion
3. John D Rockefeller (industrialist, 1839-1937) $340 billion
4. Andrew Carnegie (industrialist, 1835-1919) $310 billion
5. Tsar Nicholas II of Russia (last Emperor of Russia, 1868-1918) $300 billion
6. Osman Ali Khan, Asaf Jah VII (last ruler of Hyderabad, 1886-1967) $236 billion
7. William the Conqueror (King of England, 1028-1087) $229.5 billion
8. Muammar Gaddafi (former Libyan leader, 1942-2011) $200 billion
9. Henry Ford (Ford Motor Company founder, 1863-1947) $199 billion
10. Cornelius Vanderbilt (industrialist, 1794-1877) $185 billion
11. Alan Rufus (Fighting companion of William the Conqueror, 1040-1093) $178.65 billion
12. Bill Gates (Founder of Microsoft, 1955- ) $136 billion
13. William de Warenne, 1st Earl of Surrey (Norman nobleman, ??-1088) $146.13 billion
14. John Jacob Astor (businessman, 1864-1912) $121 billion
15. Richard Fitzalan, 10th Earl of Arundel (English nobleman, 1306-1376) £118.6 billion
16. John of Gaunt (son of Edward III, 1330-1399) £110 billion
17. Stephen Girard (shipping and banking mogul, 1750-1831) $105 billion
18. Alexander Turney Stewart (entrepreneur, 1803-1876) $90 billion
19. Henry, 1st Duke of Lancaster (English noble, 1310-1361) $85.1 billion
20. Friedrich Weyerhaeuser (timber mogul, 1834-1914) $80 billion
21. Jay Gould (railroad tycoon, 1836-1892) $71 billion
22. Carlos Slim (business magnate, 1940- ) $68 billion
23. Stephen Van Rensselaer (land owner, 1764- 1839) $68 billion
24. Marshall Field (Marshall Field & Company founder, 1834-1906) $66 billion
25. Sam Walton (Walmart founder, 1918-1992) $65billion
26. Warren Buffett (investor, 1930- ) $64billion

Big Bad Pharma

Doctors generally want to do the best for their patients, but they can't know what that is if half of the data on clinical trials of drugs is missing and some of the rest is distorted.

New drugs are tested by the companies that make them, often in trials designed to make the drug look good, which are then written up and published in medical journals. Unless, that is, the company doesn't like the result of the trial (maybe it shows the drug not working or having severe side-effects), in which case this result might be hidden. The vital comparison may be made against a placebo or against unusually low or abnormally high doses of the drug – to ensure suitable conclusions as to efficacy and the severity of side-effects. It's no surprise that most published trials funded by drug companies show positive results.

 Companies pay doctors to extol the virtues of their drugs on the conference circuit (spelling out the sources of information they want doctors to use) and fund patient groups to lobby regulators to approve new drugs. Academic journals (I work for one, the BMJ) are sent research papers and comment pieces that may not always be written by the academics listed as the authors. If a journal does decide to publish a paper showing the benefits of a drug, it can be rewarded by the company which made it, who might buy up hundreds of thousands worth of reprints (glossy versions of the published paper) to distribute to doctors to encourage them to prescribe the drug.

Pharmaceutical companies are not charities. They exist to make and sell drugs and to make a profit for their shareholders.  Some companies spend much more on marketing than they do on research and development. In America 24.4% of the sales dollar is spent on promotion versus 13.4% on research and development. They inflate the cost of developing new drugs – Ben Goldacre cites companies claiming that it costs £550m to bring a new drug to the market but says others put it at a quarter of that cost.


http://www.guardian.co.uk/books/2012/oct/17/bad-pharma-ben-goldacre-review

Another fact of the day

 72 million people around the world had been driven from their homes by conflict, natural disasters or big development projects at the end of last year. Nearly 16.4 million had fled abroad and were officially classified as refugees, while 41.4 million more were living in their own country as "internally displaced persons"

http://news.yahoo.com/72-million-living-refugees-around-globe-2011-red-110248401.html

Independence?

1700 lay-offs confirmed as Hall's of Broxburn is closed by the Dutch parent company, Vion.

Foreign investors in Scotland employ over 600,000 staff and have a turnover of over £145 billion.

 In 2010, within manufacturing, foreign-owned companies accounted for 40.9% of Gross Value Added and 30.5% of employees. Within services, foreign-owned companies accounted for 17.8% of GVA and 13.3% of employees,(agriculture, the financial sector and some of the public sector. are not included in the statistics) The remainder being UK (excluding Scotland) owners

Fact of the Day

A recent report by the humanitarian aid and research organisation DARA, found that 400,000 deaths each year today are attributable to climate change, with air pollution causing another 1.4 million fatalities annually

Fact of the Day

The World Health Organization predicts that by 2030, depression will become the leading cause of disability worldwide. This burden is greatest for poor countries, where 75 percent of patients with severe mental disorders don’t receive the treatment they need. Just one in ten people with depression is treated, despite considerable evidence that generic medications and psychotherapy treatments by non-specialists are effective and cost-effective.

the rich

The number of global millionaires will increase by about 18 million reaching 46 million by 2017, The US will remain on top of the wealth league with $89 trillion by 2017, with 16.9 million millionaires, and Europe with 15.4 million, according to Credit Suisse Global Wealth Report released on Wednesday. China may see its number doubling by 2017, raising the total to almost 2 million. India's millionaires to increase by 53% to 84,000 by 2017.  95% of individuals in India have less than $10,000, whereas this percentage is only 60% in China. Just 0.3% of Indians has a net worth over $100,000. However, due to India's large population, this translates into 2.3 million people. At present, India has 237,000 members of the top 1% of global wealth holders, which equates to a 0.5% share worldwide. There are 1,500 UHNW (ultra high net worth) individuals with wealth over $50 million, and 700 with more than $100 million worth of assets.

Reliance Industries chairman Mukesh Ambani, with a personal fortune of $19.3 billion, is the richest Indian, China-based research firm Hurun said followed by Arcelor-Mittal chief LN Mittal, whose wealth is pegged at $16.9 billion. In terms of personal fortune, Ambani and Mittal are followed by Azim Premji of Wipro ($12.3 billion), Dilip Shanghvi of Sun Pharmaceuticals ($8.5 billion), Pallonji Mistry of Shapoorji Pallonji & Co, the largest shareholder in Tata Group ($7.9 billion), Shashi and Ravi Ruia of Essar Energy ($7.2 billion) and Adi Godrej of Godrej Group ($6.9 billion). Four others who make it to the list of top 10 billionaires are Kushal Pal Singh of DLF ($6.3 billion), Kumara Mangalam Birla of Grasim Industries ($5.8 billion), Shiv Nadar of HCL Technology ($5.7 billion) and Sunil Mittal of Bharti Airtel ($5.7 billion). Savitri Jindal, non-executive chairperson of O.P. Jindal Group, is the richest Indian woman with personal fortune of $5.6 billion, For determining India's 100 wealthiest persons, the report says the minimum cut-off mark for finding a place in the list was $330 million. While the manufacturing sector produced 17 wealthiest Indians, pharmaceutical sector came second with 12, followed by real estate segment that contributed 10 .

In terms of single countries, the US leads by a huge margin with 37,950 UHNW individuals, equivalent to 45% of the group. The recent fortunes created in China have propelled it into second place with 4,700 representatives (5.6% of the global total), followed by Germany (4,000), Japan (3,400), United Kingdom (3,200) and Switzerland (3,050). Numbers in other BRIC countries are also rising fast, with 1,950 members in Russia and 1,500 in Brazil, and strong showings are evident in Taiwan (1,200), Hong Kong (1,100) and Turkey (1,000).

Down and Out Down-under

It was the country many Scots and Europeans sought to make their new home in hope of a better life for themselves but today one in eight Australians lives below the poverty line. According to the international definition of poverty, which is having a disposable income less than half that of the median household, more than 2.2 million Australians live in poverty. In 2010 the poverty line for a single adult was a disposable income of less than $358 a week and $752 for a couple with two children. More than half a million children live below the poverty line, almost half in lone-parent families. If you're a single person that means you have just over $50 a day to cover everything. Single people with two children had $80 a day to pay for everything. New South Wales has the highest number of people in poverty (835,000), followed by Victoria (526,700), Queensland (430,900), Western Australia (211,300), South Australia (165,200) and Tasmania (56,000).

Penny Wilson, Victorian Council of Social Service, said even some people with jobs cannot make ends meet. "We do hear about people who actually have to make a choice between paying for their accommodation, whether that be a mortgage or rent, paying for food and paying for essentials such as clothing or school books for their children,"

RECESSION? WHAT RECESSION?

During the current economic recession it is commonplace to hear of workers being unable to sell their houses because of tumbling prices and difficulties in obtaining mortgages but one part of the housing market is unaffected by economic difficulties. "An estate agent to the rich and famous is celebrating after selling £3billion worth of property - on the same London street. Trevor Abrahmsohn has cornered the market on one of the world's wealthiest roads, The Bishops Avenue in Hampstead Garden Suburb, north London - known as 'Billionaires' Row'. Over the last 35 years he has handled 150 house sales on the street at an average value of £20million at today's prices." (Daily Mail, 12 October) To those members of the owning class who think nothing of spending £20million on a house their is no economic crisis. RD

A DEADLY SOCIAL SYSTEM

In its unending drive for more and more profit the capitalist system ruins lives but it also ruins the world's environment and biodiversity. "Reducing the risk of extinction for threatened species and establishing protected areas for nature will cost the world over $76bn dollars annually. Researchers say it is needed to meet globally agreed conservation targets by 2020. The scientists say the daunting number is just a fifth of what the world spends on soft drinks annually. And it amounts to just 1% of the value of ecosystems being lost every year, they report in the journal Science. Back in 2002, governments around the world agreed that they would achieve a significant reduction in biodiversity loss by 2010. But the deadline came and went and the rate of loss increased." (BBC News, 12 October) Governments can make sympathetic noises and even pass pious resolutions but profit making comes before biodiversity so more and more species of flora and fauna are doomed. RD

For World Socialism

There is a system called capitalism, and it is simple – increase capital from constant reinvestment of capital, invest profits to regenerate more profits.  The Socialist Party  is  against all forms of capitalism: private, state and self-managed.  It makes no difference whether the capital is domestic or foreign, who personifies it, how big and small it is. Capitalist exploitation occurs despite all of them.

 We are for communism, which is a classless society in which all goods are distributed according to need. We are opposed to all ideologies which divide the working class, such as religion, sexism and racism. And we are against nationalism and patriotism. Cultural freedom and diversity should not be confused with nationalism. That specific peoples should be free to fully develop their own cultural capacities is not merely a right but a requirement. The world would be a drab place without its magnificent mosaic of different cultures.

Nationalists argue that people long to have their very own country. Nationalism, though it is a seemingly noble effort to realize social unity, is the twenty-first century's great plague. Nationalism continues to hypnotize us with unrealistic visions of heaven-on-earth. Nationalism divides human beings territorially, culturally, and economically.  National identity is used by the state to legitimize its actions. Nationalism is regressive.

A cold winter

During winter 2010-11 over 25,000 more people died in the UK compared with non-winter periods. Many of these deaths can be directly attributed to fuel poverty. Around four million households in the UK currently suffer from fuel poverty.

£8m profit every day but Scottish Gas bills are due to rise again. Millions of Scots face a winter of rising fuel bills, as the UK’s largest energy supplier is today expected to announce an inflation-busting increase for gas and electricity charges. A 9 per cent increase by Scottish and Southern Energy will come into effect on Monday next week, and other major suppliers have refused to rule out a similar rise.

Citizens Advice Scotland said it was growing increasingly concerned about low-income families this winter. Margaret Lynch, chief executive, said: “We know that at least one-third of Scots are already living in fuel poverty."

Robina Qureshi, of the charity Positive Action in Housing, said: “More and more people are just keeping their houses cold, and that has an impact on illness and their children’s health.”



Last winter, more than eight in ten households rationed their energy use because of cost.

SOME GOOD NEWS

Every day in the newspapers socialists can read all the bad news that capitalism throws up. Millions starve, while food is destroyed: children dying for lack of clean water and lately a 14 year old girl shot in the head by some Pakistan religious zealot because she dared to attend a school. So what is the good news? "The number of people with no religious affiliations is growing at an unprecedented rate, according to research. A third of adults under 30 in the US now say they have no faith. .... The US study was undertaken by the Pew Research Centre, a Washington based think tank. According to the latest British Social Attitude Survey, published last month, religious affiliation among Britons has fallen from 68 per cent in 1983 to 53 per cent in 2011." (Times, 10 October) RD

A LIFETIME OF MISTREATMENT

Having worked all their lives many workers hope that having made it to retirement age they will be able to enjoy some leisure and contentment in their remaining years. Alas for many workers that is not to be. "A former matron and five nurses who worked for a care home have been arrested over "serious allegations" of mistreatment and neglect of "very vulnerable" elderly residents. The arrests follow a five-month police investigation into a number of reported incidents at Hillcroft nursing home in Slyne-with-Hest, near Lancaster. The mistreatment is said to have taken place within the home's challenging behaviour unit which cares for vulnerable adults with advanced Alzheimer's, police said." (Daily Telegraph, 10 October) Needless to say the victims of this harsh treatment are all members of the working class. Members of the owning class can afford the best that money can buy. RD

Fact of the Day

Following on from this fact

More efficient food production and the reduction of food losses would feed an additional billion people and dramatically help maintaining the planet's natural resources and improve people's lives. Researchers in Aalto University, Finland, have proved a valid estimation, for the first time, for how many people could be fed with reducing food losses. The world's population is an estimated seven billion people. An additional one billion can be fed from our current resources, if the food losses could be halved.

Food-free days or a free food new day?

According to the Food and Agriculture Organisation (FAO) in Rome, global wheat production is expected to fall 5.2% in 2012 and yields from many other crops grown to feed animals could be 10% down on last year. Prices for wheat have already risen 25% in 2012, maize 13% and dairy prices rose 7% just last month. Food reserves, [held to provide a buffer against rising prices] are at a critical low level.The 2012 global grain harvest in total is expected to be 2,236m tonnes, compared with 2,309m tonnes in 2011, a drop of about three per cent, but this is about four per cent in per capita terms, as 80m people per year are being added to the world population. As a result, corn prices hit eight dollars a bushel in August, the highest level ever recorded.

The US government is expected to announce that drought and heat damage to crops this year has reduced its wheat, maize and soy harvests by more than 10%. Because the US is by far the world's biggest grower and exporter of grains, this is expected to have repercussions around the world. The maize harvest is expected to be the lowest in nine years.

Middle class?

The debate on what constitutes "middle class" turns “philosophical” at times. Some definitions include concepts such as professional status, education, and the variety of cultural and consumption habits

 In Brasil a study says 35 million people rose from the lower to the middle class in the last 10 years, and that the middle class grew from 38 percent of the population in 2002 to 53 percent this year, in this country of 192 million people. The problem is the criteria used to classify who is middle class: a per capita income of between 145 and 510 dollars a month. The definition covers people with very different income levels, living conditions and consumption habits, which should also be taken into account.

 The minimum monthly wage in Brazil is 311 dollars, higher than the threshold set by the government to classify people as middle class! Isn’t someone who earns the minimum salary poor?

Marxism defines class based on who owns or does not own the means of production.

EXPERTS GET IT WRONG AGAIN

Economic "experts" are forever telling us that capitalism is a wonderful society and are always quick to inform us of the latest "trends" in the market. In fact they haven't a clue. "Risks to global financial stability have increased in the past six months despite efforts by policymakers to make the financial system safer, according to the International Monetary Fund. It said little progress had been made in making the system more transparent and less complex, and that confidence in it had become "very fragile". .... On Monday, the IMF downgraded its forecast for global growth. It estimated growth in 2013 to be 3.6%, down from 3.9% in its previous forecast in July." (BBC News, 9 October) Capitalism by its very nature is an unpredictable society based on economic slumps and booms. Rather than listen to the "experts" workers should abolish the whole outmoded system. RD