Bill Bonner explains simply how the system now works in When the Credit Runs Out:
And to do that, it must keep the masses (the poligarchs) sedated. Charles Hugh Smith explains it: “The State has two core mandates: enforce quasi-monopolies and cartels for private capital, and satisfy enough of the citizenry’s demands for more benefits to maintain social stability.
“If the State fails to maintain monopolistic cartels, profit margins plummet and capital is unable to maintain its spending on investment and labour. Simply put, the economy tanks as profits, investment and growth all stagnate.