Capitalism vs. socialism Town Hall | Part 4

Channel: Fox Business
Published: 05/16/2019 07:29 PM

FOX Business’ Lou Dobbs, The New Voice CEO Herman Cain, Bianca Cunningham of NYC Democratic Socialists of America, “Capitalism’s Crisis Deepens” author Richard Wolff answer questions from a live studio audience about capitalist and socialist policies. Watch Part 1 here:

Welcome back to our fox business, special townhall on capitalism and socialism, bianca cunningham and richard wolf, they have been advocating for more socialism in america, and herman cain has been fighting a good capitalist, piked and lou. Dobbs is known also as a capitalist fighter. He'S the host of lou dobbs tonight 7:00 p. m. here on the fox business network, and he was just named tv's premier ...
business news anchor by the wall street journal. He grew up in texas and idaho lou. It is so great to have you here great to be with you and all of you. Thank you very much right. Let'S jump back into it. Let'S start with fiona she's gon na get us startedin the segment fiona how's it going hi, so corporate executives, who answer only to themselves and a few wealthy stockholders, make basic economic decisions that affect millions of people. Why? Wouldn'T consumers and workers benefit from a system that would give them input and possible ownership of entities that control their lives so horizon you organize the workers, but you want to. You would have wanted to go.

First of all, you were fired for doing that. You told me i was fired for organizing. Yes, do you feel like that system? Is that way that there's just a handful of people making the decisions and it would be better, certainly every single year i work for verizon forsix years and every i worked off a commission structure. Every year i was making less and less money. They were coming in. Making arbitrary decisions that affected my lives that affected my my ability to provide for my family and we came together and organized to join a union to fight back and be one better wages. We won better working conditions because that's exactly the system that we're trying to move to, and the fact that people are retaliated against for using their right for exercising their right to organize is one of the problems that happens whenever a few people at the top are Able to set the agenda in this country little on top of thatpeople are saying: hey. These people are paying themselves obscene amounts of money. Abigail disney is railing against disney ceo, making 65 million dollars a year when the average worker there is making 50,000. I think they're right. The fact of the matter is that ceo pay in this country is out of line. It is absolutely an anomaly with an american history since 1993, when we made stock options reportable but not deductible.

We have we've changed the metrics here. The worker, the employee, is watching management soar in compensation, while workers have a just a disadvantaged part in that ratio, it should be much much less than five hundred to one historically. The number is anywhere from twentyto twenty five times as much, and that has to be addressed. It should be addressed by by the way stakeholders, including the people own, the companies that is shareholders. The idea that it's an alignment between shareholders and in management is just specious. Nonsense, richard you talked about everyone at these corporations, have an invoice, but would that actually work as well? Wouldn'T it be chaos? You do meet some precise decision. Making the most successful economy in europe is germany, and for the last 30 years the german law has prescribed the following, which, if it shocks, you tells you something about the media that you're subject to in this country. The law in germany is the followingevery corporation. That has 2,000 or more workers must put 49 percent of the people on the board of directors elected by the workers. If you have less than 2,000, you have to have 25 percent that puts a workers representative on every board of directors multiples. They are participating in the planning, they know what's being done unless secret efforts are made to go around them which are prescribed in german law. Has it produced chaos in germany, not at all their recovery from the 2008 depression was much better than ours and even had the levels of unemployment.

The notion that you could not have workers participating is canceled not by the abstract discussions of theory, but byreality of one other capitalist countries have managed to do, but we're just far above those that go from one extreme to another. I'M sorry would that be going from one extreme to another. Well, i don't know that it's even the place that actually exists in germany. In point of fact, they have extraordinary social costs that impede their economic growth. They have a mercantilist trade economy. They live in large measure on us deficits and their surpluses. As a result, germany is not a model for economic growth, vitality or innovation. It is a model for mercantilism and international trade. It is hardly a model in, in my opinion, for a vibrant, progressive economy. Let me i wantto get we're running out of time and richard and we want to get another question in. In fact, let's go to michael he's got the next question for our group. Michael.

Can we recognize that there are human rights like education, health care, housing, food? There should be available to everyone, not just those who can afford them, recognizing that these exist as rights in this country, not in cuba or venezuela. Only because people fought for them for public education, for housing, for national parks for public libraries, because socialists fought for them. Long and hard, i would agree with you that those are some basic human rights that people are entitled to and, as you know, ourpublic school system provides free, not free education paid for with taxpayer dollars. What some of the socialists want to do is to now move that up another level when at the same time when at the same time, there are issues just k through 12 because of some of the ways that things are done. Many people take their kids out of public schools because they see some of the inequities there. I don't disagree with you that those are some of the basic rights that everybody ought to be entitled to. I just don't believe government ought to be the one to pay for all of it. I can respond to the notion the uae's at the sametime that i respond to lou. One of the things germany does with its dollars is to do the following. All costs of college in germany. Right now are zero, no tuition, no fees not only for german citizens, but for anyone in this room who went to germany to take a college career could go there and they wouldn't be required to pay anything. Why? Because, in germany the idea is the best way to develop the productivity and the innovation and the growth is to give everybody a chance to a free education and they're doing real well with it, and they wouldn't recognize the description of germany.

They fought for these things and even the conservative governmentof, mrs. merkel could not resist what a powerful socialist and labor movement insisted be done. There is no such thing as a human right. There are, and as you outlined yourself, there are rights that this country has created. In its constitution and that have been fought for by americans throughout our history, there is no exception. There is no right. That is simply because we arrived on this continent. There is no right just because we happen to be human beings and that's why there is quite a disparity in the lives and livelihoods of people all around the globe. It should make it more important for everyone to understand what is working and what is not workingnot. Only in this country, but in this hemisphere and around the world, we know what isn't working, and that is socialism. There are rare if this economy there is no close. Second, to what has been achieved by american capitalism, american free enterprise, capitalism - that has not only created the world's only superpower, the wealthiest country on earth, but the most powerful, economically militarily, and in any other way, you wish to apply a metric.

This is capitalism it works. Then there is venezuela, there is cuba, and then there is china and china by the way, is a country america built not always be worried that if the government did everything, we wouldn't have the impetus to dothe things that make us great? We would never achieve individual greatness if the government did everything for us. I think when we look at countries that provide basic human needs to their people, what we see is that they have the opportunity to pursue a career path that makes them happy that fit that suit. Their skill sets as opposed to what we have here, which is people stuck in dead-end jobs because they're afraid of losing their health care. They can't transition to different career paths and they also can't start small businesses because they can't afford to not to go without health insurance. What we're trying to achieve is a system where people have the freedom topursue, what they're good at what they're passionate about, and i think what we see is that people work harder to grow the economy whenever they're doing something that they're passionate about [ applause. ] number. One you never hear the socialists talk about costs and they don't talk about risks. Then they never talk about costs and they never talk about risks. Those are two words that does not appear in that narrative whatsoever anywhere and even when somebody asks the question, what is it going to cost? They shifted the subject and they want to ignore the fact that those things are unaffordable. Let me quote milton friedman for just one moment and he said, and i think so, appelleei think the most brilliant economists of my generation. He said that those who want freedom and equality and make that a priority are likely to have neither those who would put a quality above freedom will certainly lose freedom, and those who put freedom above equality will have the opportunity for both.

We got to leave it right there. Thank you all very much. It went very fast. I hope everyone found this important discussion helpful, informative. I want to thank everyone at home for watching a very special thank to our wonderful audience. Thank you all very much. Of course, what a thing thank you richard wolff, the octave cunningham herman cain, lou dobbs kennedy from earlier neilcavuto, stuart varney, i'm charles payne i'll, see you back here, i'm making money weekdays 2 p. m. eastern time, and we will continue this conversation in the future. Thank you. All very very much fully appreciated.

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