Outside the Box: This perversion of capitalism is causing the zombieficiation of our economy

Capitalist productivity, the most powerful source of economic and social advancement in human history, is now becoming capitalist financialization. The result? A zombiefication of our economy and an oligarchification of our society.

Financialization is profit margin growth without labor productivity growth.

That sounds like a small thing, but I tell you it is EVERYTHING.

Financialization is squeezing more earnings from a dollar of sales without squeezing at all, but through tax arbitrage or balance-sheet arbitrage.

Financialization is the zero-sum-game aspect of capitalism, where profit-margin growth is both pulled forward from future real growth and pulled away from current economic risk-taking.

Financialization is the smiley-face perversion of Adam Smith’s invisible hand and Joseph Schumpeter’s creative destruction.

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