Rediscovering Lenin

Phil Gasper writes on Rediscovering Lenin.

Gaspar argues that Lenin was not an elist as portrayed in Western propaganda, rejects the two (2) arguments raised by leftist critics of Leninist parties:

The first argument is that Leninism has always been undemocratic and elitist. The second argument is that it is implausible to think that the experience of Lenin and the Bolshevik Party that he led to power in the Russian Revolution of 1917 has any relevance for anti-capitalists today operating in completely different circumstances.

Gaspar argues that Lenin saw:

… the whole point of a revolutionary party was to prepare the way for revolution. Historical forces might present the opportunity for revolutionary change, but without active organisation and intervention, the ability to influence a mass movement during a period of intense crisis, and an understanding of when to advance and when to retreat, the moment would be lost. More than that, socialists would have to spend years patiently engaging in smaller struggles, both to learn how to lead as individuals and to build a party with the capacity to lead a successful revolution in the future.

The core tenet of the Leninist theory of the party is:

…the principle of democratic centralism, which he summed up as “freedom of discussion, unity of action”. Lenin argued for the need to “work tirelessly … to see to it that all the higher-standing bodies are elected, accountable and subject to recall”.

Gaspar concludes that:

The bottom line is that revolutionary organisations today need to draw on the most democratic elements of Lenin’s legacy, and where necessary to create new structures and processes of their own. Democratic centralism requires not just formal democracy before unity in action, but a culture of debate and discussion, where those in the minority can express their views fully.

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Kotok on Gold

Barry Ritholtz reposts Kotok on Gold.

Kotok argues that:

…gold still maintains one important characteristic out of the three that we attribute to a functional currency.

These three (3) characteristics Kotok describes as:

1. “…the ability to exchange easily in transactions”
2. “…act as a unit of account, a method of measurement”
3. “…store of value…”

Kotok argues that only third characteristic applied to gold these days. And it is in this characteristic that the fall in the gold price can be accounted for:

In pressing Cyprus to sell, Europeans have announced to the world that there may be a large seller of gold. World traders in gold and other commodities will quickly jump on that trade. They know that if Cyprus breaks loose with the sale of its gold, countries like Greece, Portugal, and Slovenia may be next. They cannot see buying gold, thereby raising gold’s US-dollar-denominated price, in such a circumstance; but they can see selling it short, or otherwise trading it to the downside.

Kotok speculates that the stated intention by the Bank of Japan to buy gold mat eventually force the price of gold back up, but the main price driver seems to be the fear of the retail investor about what is happening in Europe.

Gold is also a consumer item in that it is used in electronic devices for wiring, and in jewelery.

Kotok's characterisations of gold all stem from its first one. The historical ability of gold to be used in exchanges between people allowed it to become money.

Although it is possible for me to exchange oranges for apples, I may not be able to exchange apples for toilet paper. However, I could exchange oranges for gold, and then exchange the gold for toilet paper. It is this general acceptance by people in making exchanges that turns gold into money.

Because gold can be readily exchanged for any commodities that I desire, I can make comparisons between different types of commodities in terms of how much gold I could exchange for the commodity. So, the ability to be exchanged for any commodity makes gold a unit of account.

Since gold is not perishable as copper or apples or oranges or toilet paper, gold can still be exchanged for commodities at some future time. Thus, the store of value is merely the anticipation of an exchange for commodities.

So, we have a contradiction due to the historical process of gold ceasing to be money in general circulation, but retaining the possibility that it could become money again sometime in the future.

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Some Thoughts on Worker Control

Some thoughts on worker-control under Capitalism.

The examples cited in yesterday's post about how Occupy Sandy boosts worker-run coops amid rebuild are really sparse.

Except for Spain and Venezuela, the other examples are about workers who have been forced out of the Capitalist system by the closing of businesses, and they are filling a gap in the economy that the Capitalists are unwilling to fill.

My concern has been about the lack of political education that has occurred in these cases. The difference in Venezuela seems to be that the political ideological is driving the change to worker-control, instead of workers taking control because they have no other choice. There the education of the workers seems to be proceeding along with the take-over of businesses.

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Occupy Sandy boosts worker-run coops amid rebuild

Peter Rugh writes that Occupy Sandy boosts worker-run coops amid rebuild.

Rugh gives a brief overview of worker-run co-ops around the world, especially in the coastal neighbourhood of Far Rockaway in New York City:

One of those bigger projects is a worker-run cooperative initiative, organised by Occupy Sandy and supported by the Working World, a group that specialises in incubating collectively owned businesses.

The initiative is well suited to Far Rockaway because worker-run enterprises have a history of flourishing in environments of economic distress or political upheaval.

In 2001, when Argentina defaulted on its international loans and the country’s ownership class fled, Argentines took over abandoned factories and established networks of producers and distributors.

In Venezuela, worker-run cooperatives were at the heart of the vision for 21st-century socialism, and Hugo Chavez’s administration helped create tens of thousands of collectively owned businesses over the last 14 years.

Most notably, Spanish workers in the Basque region created the Mondragon Corporation, the world’s largest federation of cooperatives, during the Franco dictatorship in the 1950s. Today more than 250 enterprises operate under the Mondragon banner. The federation, which spans 77 countries and employs 83,000 workers, has been widely praised.

As noted yesterday, Australia is beginning to see some progress in the adoption of worker co-ops.

Rugh argues that one important, immediate advantage of work co-ops is that:

Worker-run cooperatives, in contrast, could offer a way for community members to sell the products of their labor without selling their labor itself — a shift that would keep capital within the community and cash in the pockets of workers.

On the political development of workers' consciousness, Rugh writes that:

Richard Wolff, professor of economics at the New School and author of Democracy at Work, a study of cooperative businesses, argues that forming cooperatives can be the first step in enacting a sweeping social and economic shift.

Wolff envisions a transformation, similar to the social shift from feudalism to capitalism, in which cooperatives replace corporations and goods are distributed through a democratically planned economy.

The cooperatives that Wolff talks about, and the ones that Occupy Sandy is aiming to establish, are more accurately known as worker self-directed enterprises: businesses that organise democratically collective ownership at the point of production.

I would think that Wolff is naive to believe that the Capitalists are going to let the worker co-ops take over without a fight. As I noted in Argentine Factory Wins Legal Battle:

The main problem is that of dual power in Argentina. Some factories are controlled by the workers but they are relying on the Capitalist state for legitimacy through the parliamentry system. This deprives the workers' movement of a growth in consciousness in the hope of accomodation within the Capitalist system.

Unfortunately, one cannot accelerate the education of the workers about the Capitalist system, and the mythologies that are maintained about it. The workers will learn at their own pace.

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Worker-owner sustainable industry one step closer

Susan Price writes that Worker-owner sustainable industry one step closer.

Price writes that:

After a successful crowd-funding campaign that raised the funds for a manufacturing licence, Earthworker Cooperative Australia and Eureka’s Future Workers Cooperative will install their first solar hot water unit in Melbourne on April 15.

Australia definitely lags behind the world with development of manufacturing co-operatives. Australia does have a history of co-operatives in agriculture (especially dairy farming, and sugar cane), and financial institutions (credit unions, and building societies).

It will be interesting to see how this co-operative develops in the future, and how the workers develop their consciousness about their place in the Capitalist system.

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Class Hatred and Bad Memories of Thatcher

Juan Cole muses on Class Hatred and Bad Memories of Thatcher.

Cole reports that:

The hatred for the late Margaret Thatcher, former British prime minister, among a broad segment of the British public has manifested itself in visible and undeniable ways in the week after her death, but these are not highlighted on American television. The status quo corporate media are afraid of admitting that policy-makers who favor the rich and punish the middle and working classes are deeply hated by the latter. Dead leaders have to be represented on television as being revered by the entirety of the public (an imaginary public for which the corporate anchors can serve as ventriloquists). That many Americans despise Ronald Reagan is likewise an unmentionable on the airwaves.

The ideologocal state apparatus cannot deviate from the illusion that the neo-liberalism made Britain better. They must educate the under-class to correct thinking.

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Lose Your House, Collect $300

Ted Rall wonders why Why Aren’t Rioters Burning Down the Banks? in Lose Your House, Collect $300.

Rall reports that:

The foreclosure scandal helped spark the Occupy Wall Street movement.

Promising justice and compensation for the victims, President Obama’s Justice Department joined lawsuits filed by the attorneys general of several states.

Last year, Obama announced that the government had concluded a “landmark settlement” with the banks that would “deliver some measure of justice for those families that have been victims of their abusive practices.” The Politico newspaper called the $26 billion deal “a big win for the White House.” $26 billion. Sounds impressive, right?

Rall calculates that were about five (5) million people affected by these illegal practices by the banks. Most will get between $150 and $300 on average (assuming an average of two (2) people per household). The average for the overall settlement is $1,000.

Rall asks:

Why aren’t those five million people stringing up bank execs from telephone poles? It’s gotta be the Paxil.

I suppose it is the trained passivity of Western Society. Even the Occupy movement was heavily influenced by the non-violence mantra. This is probably why it faded from the scene. There is only so much that non-violence can achieve.

The basic premise of the non-violence is that the system can change peacefully and incrementally. But no system can contradict its core philosophy, and survive.

For Capitalism, the capitalists' return of investment has to be protected. Banks invested in these mortgages, so they should get their money back. This settlement is a small price to pay to let enough anger out of the system so that the thievery can continue unabated.

Rall is really appalled at:

But what really gets me is the 53 families who are getting $125,000 payouts for losing homes they were 100% up to date on.

Rall should realise that the only property rights that matter in a Capitalist system are those of the Capitalists which the state has been realiably protecting. The cops were protecting the stock markets and banks, not the homes of the workers.

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Capitalism and Inequality: What the Right and the Left Get Wrong

Jerry Z. Muller writes about Capitalism and Inequality: What the Right and the Left Get Wrong in the March/April 2013 edition of Foreign Affairs.

Muller describes what the acceptable limits of the debate about inequality are:

Recent political debate in the United States and other advanced capitalist democracies has been dominated by two issues: the rise of economic inequality and the scale of government intervention to address it.

Muller seems to be in the managed Capitalism camp.

Muller explains the reason for inequality as:

Inequality is an inevitable product of capitalist activity, and expanding equality of opportunity only increases it — because some individuals and communities are simply better able than others to exploit the opportunities for development and advancement that capitalism affords. (p.30)

So, Muller thinks that failure to achieve is the individual's fault. This is an interesting approach to take, however, because Muller admits that inequality arises naturally in the Capitalism through the inequality of opportunities which individuals are ill-equiped to take advantage of.

Muller is clearly worried that this inequality will lead to mischief caused by those who fail to understand that they are the problem, not the system:

Despite what many on the right think, however, this is a problem for everybody, not just those who are doing poorly or those who are ideologically committed to egalitarianism — because if left unaddressed, rising inequality and economic insecurity can erode social order and generate a populist backlash against the capitalist system at large. (p.30)

What Muller wants is:

Contemporary capitalist politics need to accept that inequality and insecurity will continue to be the inevitable result of market operations and find ways to shield citizens from their consequences — while somehow still preserving the dynamism that produces capitalism's vast economic and cultural benefits in the first place. (p.31)

Emphasis Mine

In Muller's view, there is no longer need to pretend that Capitalism will eventually make everyone better off. That is a myth.

What Muller fails to realise is that such government intervention requires teh exapnsion of the tax base which the rich are resisting. Since the wealth is accumulating at the top end, this means that the tax base is actually shrinking. So, we have the need to increase the tax base to avoid unrest, while those who are in danger refuse to sacrifice more of their wealth to do so.

All we need now is for some silly bitch to say: Let them cake!

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Game of Thrones and Our Scheming Elites

Yves Smith reviews Game of Thrones and Our Scheming Elites.

Smith is reading the series of books for "The Game of Thrones" by Martin:

The perspective in Martin’s books is a medieval reflection of the world envisioned by neoclassical economics, of isolated individuals working for their own self interest. There’s no real community in war-torn Westros, but even before the struggle broke out, the court was a hotbed of plots, spying, and ambition. Given the way, say, the Ptolemys plotted against each other, this isn’t necessarily that far removed from the dynamics of some pre-modern courts. But this is the through line of the series, the juice that carries readers forward. And sadly, this seems to be the juice that drives the world we live in now.

Before you get cynical and say, that’s just the way it is, that’s simply not accurate. The current level of corruption and cynicism is hardly inevitable; it’s a social construct. Look at Linux, where developers collaborated to produce code, for no money, out of pride in craft. Victor Frankl, Holocaust survivor, therapist and author of Man’s Search for Meaning, would often start out by asking patients, “Why haven’t you killed yourself?” His experience was the things that people lived for were either people they loved or creative work (Lambert’s “Do what only you can do”). Similarly, psychology professor Mihaly Csikszentmihalyi, who has made a study of happiness, has concluded it comes through a state he calls flow, where one is deeply engrossed in an activity (for instance, the famed “zone” in sports).

The books and television series are all part of the ideological reproduction of Capitalism. It is necessary to educate humans to be self-centred so as to adjust them to the rampant individualism.

Communism allows people to develop themselves.

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Gradual institutional change

Dan Little investigates Gradual institutional change.

Little considers instiutions to have a degree of plasticity in that:

The basic idea of plasticity is that institutions and organizations are the product of various kinds of structured human action, and that they can change over time. So we shouldn't think of institutions as having fixed characteristics, or as though they were equilibrium systems that tend to return to their original states after perturbances. … And this approach makes plain the high degree of path-dependency that institutions display.

In other words, history explains institutions.

Little cites studies that:

The theory they offer of gradual institutional change is an actor-centered theory. Incremental change occurs as the result of the opportunistic and strategic choices made by a range of actors within the institution.

But one thing Little leaves out is how institutions collapse. What happens when the institution is unable to provide answers to the problems that it encounters?

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The Damaging Links Between Food, Fuel and Finance: A Growing Threat to Food Security

Yves Smith is worried about The Damaging Links Between Food, Fuel and Finance: A Growing Threat to Food Security.

Timothy Wise notes that the speculators are moving out of energy and into agricultural products because of the decreased volatilty in the former and the increase for the latter.

However, Wise also notes price movements between the stock market, oil, and commodity have become correlated over the past decade as deregulation has accelerated and energy companies began investing in biofuels.

The biggest losers have been the poor who see more and more of their income eaten up by price increases in foodstuffs. This has, in turn, created great political instability throughout the Third World.

The crisis in Capitalism has arisen because the profits can be more readily realised through speculation rather than through productive investment.

There are not that many technologies that are ready for investment. Green energy could be the exception.

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Margaret Thatcher is Dead, but Thatcherism Lives On

Baroness Thatcher is dead.

The heroine of the class war against the British working class is dead.

The brutalisation of British politics in a new age of Imperialism is her legacy.

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Mexico: Can worker-owners make a big factory run?

Jane Slaughter investigates Mexico: Can worker-owners make a big factory run?

Slaughter asks:

How does a workers' cooperative with 1050 members function? It’s hard enough for workers' ownership to succeed at any size, because any company that competes in a market is subject to the same cost-cutting rat race as a capitalist firm. Workers are impelled to hammer themselves and cut their own pay or be driven out of business. And most workers here have just a middle-school education.

Yet the TRADOC co-op translation: Democratic Workers of the West—is thriving. Enthusiastic worker-owners have modernised their plant, increasing productivity and quality through their skilled work. Those factors together with their admittedly low prices have made it possible for them to compete on the world market.

The workers have done away with foremen because they supervise themselves. The management of the plant is at three (3) levels:

1. “TRADOC holds a general assembly only twice a year, but that assembly holds veto power over important decisions such as selling assets, making investments and buying machinery.”
2. The day-to-day running is handled by an administrative council consisting of:
• Cooper Tyre of Findlay Ohio has four (4) members;
• TRADOC Co-op has three (3) members
3. A general manager who is not a member of the co-op.

Despite what Slaughter portrays, TRADOC is not really a worker-owned factory. The co-op is a minority shareholder with a capitalist firm as the majority shareholder.

Slaughter concludes that:

But once the co-op started: it’s a pleasure to relate that workers really do run a factory better than the bosses. Not only do they control the plant floor, with no need for overseers, they come up with ideas to improve production in both senses: more and better tyres, less scrap — but also fewer backbreaking jobs.

This the same experience as the FASINPAT Zanon plant in Argentina as reported in Argentine Factory Wins Legal Battle. However, the Mexican experience has not exposed the workers to the same political battles as seen in Argentina.

The Argentine experience is more interesting politically because the workers expropriated the property of the Capitalists. They had to be more politically conscious to do this. They were assisted in their struggle with the Capitalists by the local government. So, a true workers' movement has not been born yet. But the workers can reflect upon this experience.

It would be interesting to see how Pope Francis I interprets this Argentine experiences in his teachings.

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The Death of Peak Oil

The Oil Drum considers The Death of Peak Oil.

Although world-wide production was flat for several years leading to the news that "peak-oil" had been reached, changes in technology and inclusion of natural gas into production figures has changed that some what:

Let's start by taking a look at what happened to global oil production in the years since those two very different views were offered. Total world liquids production as reported by the EIA had reached 85.2 million barrels a day at the time Pickens issued his pronouncement. It briefly passed that level again in June 2006 and June 2008, though mostly was flat or down over 2005-2009 before resuming a modest and erratic climb since then. The most recent number (December 2012) was 89.3 million barrels a day, 4 mb/d higher than where it had been in May 2005, and 12 mb/d below the levels that Yergin had expected we'd be capable of by 2010.

But more than half of that 4 mb/d increase has come in the form of natural gas liquids-- which can't be used to make gasoline for your car-- and biofuels-- which require a significant energy input themselves to produce. If you look at just field production and lease condensate, the increase since May 2005 has only been 1.7 mb/d.

The biggest technological change has been using horizontal fracking:

The rush to judgment seems to be based on the remarkable recent success from using horizontal fracturing to extract oil from tighter rock formations. Here for example is a graph of production from the state of Texas, one of the areas experiencing the most dramatic growth in tight oil production. In 2012, Texas produced almost 2 million barrels each day, up 800,000 barrels a day from 2010.

I wonder if the horizontal fracturing used in the extraction of oil is as damaging as CSG fracking. The same concerns over earthquakes and contaimination of aquifiers would seem to be the same.

Farida Iqbal reveals in White paper reveals gas industry scared of global protests that enivornmental action is effective in stopping such practices.

The white paper accurately describes the methods that have made the movement so successful. It lists the four effective campaign strategies as “grassroots mobilisation, online and social media, direct action, and networking”.

…

The white paper describes the global diversity of the movement. Anti-fracking movements are driven by such varied concerns as the need to protect farmland, climate change, and a desire to protect local jobs.

Water, however, is a global issue. Around the world, anti-fracking movements are united by their concern for the amount of water extracted and the risk of water contamination.

We face a critical juncture in world history. Our industrial civilization is heavily dependent on oil for farming, transportation, and manufacturing. Yet, to continue economic growth, we must contaiminate our water supply and imperil the climate. The question is no longer about standards of living but of human survival.

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Noisy bigots drown out silent bias

Waleed Aly observes that Noisy bigots drown out silent bias.

Aly writes that:

No, our real problem is the subterranean racism that goes largely unremarked upon and that we seem unable even to detect. Like the racism revealed by an Australian National University study, which found you are significantly less likely to get a job interview if you have a non-European name. The researchers sent fake CVs in response to job advertisements, changing only the name of the applicant. It turns out that if your surname is Chinese, you have to apply for 68 per cent more jobs to get the same number of interviews as an Anglo-Australian. If you are Middle Eastern, it's 64 per cent. If you are indigenous, 35 per cent.

This is the polite racism of the educated middle class. It's not as shocking as the viral racist tirades we've seen lately. No doubt the human resources managers behind these statistics would be genuinely appalled by such acts of brazen, overt racism. Indeed, they probably enforce racial discrimination rules in their workplace and are proud to do so. Nonetheless, theirs is surely a more devastating, enduring racism. There is no event to film, just the daily, invisible operation of a silent, pervasive prejudice. It does not get called out. It's just the way things are; a structure of society.

Emphasis Mine

Malcolm X is reported to have once said that he would rather talk to a red-neck racist than to a liberal because the former is racist to your face, while the latter is racist behind your back. He is reported to have said that you cannot have Capitalism without racism.

The Capitalist needs racism to divide the international working class, and to justify the daily atrocities that it commits through stravation, war, poverty, prisons, and lack of medical care.

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Supply Chain Problems Hitting Hospitals Near You

Yves Smith reports that Supply Chain Problems Hitting Hospitals Near You.

Smith argues that cost-cutting by drug companies have put public-health at risk by reducing inventory costs and keeping demand high:

The reason that it might seem OK to squeeze hospitals is precisely that it’s hard to point a finger at the drug companies. But notice the comment that these shortages can affect people in ICUs. It’s not hard to imagine a hospital having to ration limited supplies, say if some sort of disaster (big explosion, natural disaster) led hospitals in an area to have a flood of emergency room patients.

This looks like a case where the invisible hand of the market leads to a decrease in the well-being of the community.

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Russia: An oligarch’s mistake, an oligarch’s fate

Boris Kagarlitsky writes an obituary for Boris Abramovich Berezovsky who died in London on March 23, 2013 in Russia: An oligarch’s mistake, an oligarch’s fate.

Berevovsky's tragedy was a failure to accept the constraints of capitalist rule in a dependent country:

Most of the oligarchs of the 1990s understood and accepted the new rules, at times helping to draw them up. Berezovsky, however, could not adapt his personal nature to the new regime, and it was this, far more than his political disagreements with President Putin, that sealed his downfall. Worst of all, once the Russian oligarch had arrived in that very same West which he had sincerely viewed as a model and ideal, he turned out to be incapable of fitting in with life there – neither with political life, nor even with business. Unlike his pupil and rival Roman Abramovich, who assimilated perfectly the first rule of successful business – don’t stick your neck out unless you have to – Berezovsky was constantly coming out with one initiative or another, getting involved in political conflicts, declaring his ideas.

Despite a Marxist education, he failed to appreciate the class interests of the Capitalists is about stability for exploitation.

The capitalists live in fear of the masses, and thereby employ a superstructure to keep the masses in their place through docility, bribes, fear, and division. Stirring up the masses is a very dangerous activity.

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The problem of relative privilege in the working class

Chris Slee ponders The problem of relative privilege in the working class.

Slee dislikes the term, “labour aristocracy”, and prefers to use “relative privilege” instead. It is this relative privilege that is the source of division among workers:

Material inequalities between different groups of workers can contribute to conflict between them. Often one group of workers will try to defend their position of relative privilege against other workers who are perceived as threatening it.

Slee argues that, given the global nature of the production process, the government should nationalise any factory is threaten by being moved off-shore:

How should Australian unions react when companies threaten to close a factory in Australia and move production to another country (whether a Third World or another imperialist country)?

We should argue that it is the responsibility of the Australian government to ensure that there are jobs with good pay and conditions for all workers in Australia. This means the government should take over factories threatened with closure and run them as public enterprises, or else provide the sacked workers with alternative work. Public housing, public transport and renewable energy are some of the areas that governments should invest in and create jobs.

Slee proposes that workers should aim for the leveling up of wages for all workers around the world:

One of our long-term goals should be to reduce inequality between workers in different countries, by raising the living standards of those in poorer countries. Pay rates should be leveled up, not leveled down as the capitalists would like.

Slee concludes that:

The struggle between solidarity and the defence of relative privilege is part of the struggle for a socialist world.

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'Is the Demand for Skill Falling?'

Mark thoma notes a reference to 'Is the Demand for Skill Falling?'

The referenced paper suggests that:

…in response to this demand reversal, high-skilled workers have moved down the occupational ladder and have begun to perform jobs traditionally performed by lower-skilled workers. This de-skilling process, in turn, results in high-skilled workers pushing low-skilled workers even further down the occupational ladder and, to some degree, out of the labor force all together.

This would also run contrary to the narrative that people are not being hired because they are over-qualified.

If this conclusion is true, then we have:

• A stratum of disgruntled workers who are over-qualified for their current jobs and have a large student debt to pay off; and
• A stratum of disgruntled unemployed workers who are experiencing the harshness of being unemployed.

These conditions could lead to a revolt of some sort. It will probably be a fascist one if the first startum revolts first as more educated workers tend to lean towards the conservative end of the political spectrum.

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More on Devolution and the Walmartization of Our Economy

Yves Smith opines More on Devolution and the Walmartization of Our Economy.

Smith notes that Walmart has cut costs so much that they are losing customers because:

• Lines are too long at the checkout; and
• Products are not being stocked on the shelves.

These are all because there are too few employees per store.

The first problem can be overcome with automation through the use of self-checkout counters. But then there is the problem of customer fraud as they scan only some of their goods, or choose cheaper items from the look-up menus.

The second problem is more serious as stock has to be on the shelves in order for it to be sold. Even in Australia, it is not uncommon to see gaps on the shelves where popular products have sold out. Either you can switch brands, defer your purchase, or go elsewhere.

Once a company chooses a path of cost-cutting to achieve results, it is very hard for it to change its direction. Inertia in large organisations is just too great at times.

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