Vulture Capitalism Book: How Capitalism Went Rogue

Vulture capitalism is a system where wealthy investors swoop in and buy up distressed companies at fire-sale prices, often leaving behind a trail of debt and destruction. This practice has been around for decades, but it's become more prevalent in recent years.

The book "Vulture Capitalism" sheds light on this phenomenon, highlighting how capitalism has gone rogue. The author argues that this system is not only unfair but also unsustainable.

Vulture capitalism often involves the use of complex financial instruments and tax loopholes to minimize risk and maximize profits. The goal is to make a quick buck, regardless of the consequences for the company or its employees.

As the book points out, vulture capitalism has led to the decline of entire industries and communities.

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We live in the age of "vulture capitalism", a system where the rules are rigged in favor of corporations and the wealthy.

The way people talk about free markets is completely wrong, according to leading economics writer Grace Blakeley. She argues that conceiving of "free markets" and "government planning" as opposites is highly misleading.

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Our neoliberal "market-based" economy involves many deep ties between the state and corporations. Instead of thinking of "capitalism" and "socialism" as a spectrum that runs from markets to government, Blakeley says we should focus our analysis on who owns and controls production, and who gets the benefits.

In the post-war period, industrial planning and monopoly enterprises created by capitalist consolidation appeared as a tool that could be readily appropriated by progressive politics. This allowed for rising living standards and falling inequality within a capitalist economy.

However, each of these policy levers has been perverted to increasingly regressive ends in the 21st century. Planning and collusion continue between big business and the state, while trade unions have been weakened by transnational supply chains.

Regulation by national governments and in transnational trading arenas has ceased to defend the interests of workers and consumers, and is now used as a tool for commercial warfare between economic blocs.

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Vulture capitalism is a system where the state and corporations are deeply intertwined, making the idea of "free markets" and "government planning" as opposites highly misleading.

Grace Blakeley, a leading economics writer, explains in her book Vulture Capitalism that the neoliberal "market-based" economy involves many ties between the state and corporations.

The way people talk about free markets is completely wrong, according to Blakeley.

We should focus our analysis on who owns and controls production, and who gets the benefits, rather than thinking of "capitalism" and "socialism" as a spectrum that runs from markets to government.

Blakeley's new book Vulture Capitalism contains mountains of research that explains the way the entire global economy works.

The book also provides a compelling alternate vision of how the entire economy could be structured.

Blakeley is known as "scary smart" for her vast knowledge of the global economy, and her ability to read everything.

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The book "Vulture Capitalism" is a comprehensive guide to understanding the concept of vulture capitalism. It delves into the history of this phenomenon, highlighting key events and figures that shaped its development.

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Vulture capitalism is a term coined by author Naomi Klein to describe the predatory practices of corporations that exploit economic crises for profit. This concept is central to the book's narrative.

The book explores real-life examples of vulture capitalism, including the case of NML Capital, a hedge fund that bought up Argentine debt at a fraction of its value during the country's economic crisis.

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The concept of "free money" is a key theme in the book, and it's a term that's been used by large corporations to describe the opportunity to profit from public funds. Avanti, a private train operator, even celebrated this opportunity, referring to it as "free money".

The idea is that these companies can sell tickets to the public while the government covers the costs of investing in rail infrastructure. This is a perfect example of how large corporations can benefit from public funds without having to invest their own money.

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The book argues that capitalism doesn't play by its own rules, and that large corporations conspire with governments to ensure profits keep flowing in their direction. This is a far cry from the free and fair markets that capitalism is supposed to promote.

In reality, the game is rigged in favor of large corporations, and they're able to hoover up public funds at every opportunity. The consequences of this are far-reaching, and it's having a profound impact on our economy and society.

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Blakeley's perspective on the book's core message is that it aims to blow apart the common binary of state/market, capitalism/central planning. This binary is a popular conception that's everywhere, but it's oversimplified and doesn't accurately reflect the complexities of economic systems.

The book challenges this binary by showing that the state and market are not mutually exclusive, and that capitalism is not just about market decisions, but also involves state intervention.

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The Boeing company's history is a prime example of how vulture capitalism can lead to monopolistic practices. Boeing's dominance in the commercial aircraft industry has been built on a series of strategic acquisitions and partnerships.

In the 1990s, Boeing acquired Rockwell International's aerospace and defense business, which included the Space Shuttle program. This acquisition gave Boeing a significant advantage in the space industry.

Boeing's market share in commercial aircraft has grown steadily over the years, with the company now controlling nearly 50% of the global market. This has led to concerns about the potential for price-fixing and other anti-competitive practices.

Boeing's acquisition of McDonnell Douglas in 1997 further solidified its position as a major player in the industry. The acquisition gave Boeing control of McDonnell Douglas's commercial aircraft business, including the MD-80 and MD-90 models.

The US government has investigated Boeing for anti-competitive practices, including allegations of price-fixing and bid-rigging.

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Vulture capitalism thrives in environments with weak regulations and lax oversight, as seen in the example of Argentina's 2001 economic crisis. This lack of oversight allows vulture funds to swoop in and exploit vulnerable economies.

The concept of "holdout creditors" is a key aspect of vulture capitalism, where a small group of creditors refuses to accept a debt restructuring plan, thereby holding the entire economy hostage. This was the case in Argentina, where a group of vulture funds refused to accept the debt restructuring plan, causing the country significant financial strain.

Vulture funds often target countries with high levels of debt and weak economies, as seen in the example of Argentina's $1.3 billion debt to NML Capital. This type of debt can be bought up by vulture funds at a discounted price, allowing them to profit from the country's financial struggles.

The idea of "predatory capitalism" is closely tied to vulture capitalism, where companies exploit vulnerable economies for profit. This can lead to a range of negative consequences, including economic instability and social unrest.

In the case of Argentina, the country's economic struggles were exacerbated by the actions of vulture funds, which ultimately led to a significant financial burden on the country.

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Vulture Capitalism has received praise from prominent authors and critics alike. Naomi Klein calls it a "galvanizing takedown of neoliberalism's 'free market' logic" that charts a path forward based in hope, democracy, and liberation.

Blakeley's book is a comprehensive guide through the mist of neoliberal thought, unmasking the fiction of an automatic market and revealing economic planning at its core. Malcolm Harris describes it as such.

The book has also been praised for its clear and well-researched argument, which is rooted in history and current events. Rob Delaney calls it a "magnificent book" that gives the lie to the concept that the ties that bind us cannot be undone.

Vulture Capitalism is a must-read for anyone keen to put the demos back into democracy, as Aneurin Bevan's insight is brought up to date by Grace Blakeley. Capitalism is shown to be the mortal enemy of freedom and democracy, using pertinent case studies.

Ash Sarkar describes the book as urgent and necessary, exposing the lie at the heart of capitalism – that there is no alternative – and systematically demolishing the myths that bolster its power.