The global financial and economic intelligentsia -- who are inducted into the ranks of the "recognized" intelligentsia only after demonstrating that they have internalized and "believe in" the imperial power's capitalist/neoliberal "sell us you country" ideological weaponry -- will unanimously confirm the financially conquered people's false beliefs about the cause and effect of their nation's woes and (very short-lived) salvation.
In any event, "capitalism" will be restored in the nation: as both the owner/beneficiary of the nation's economy; and the ruling ideology that informs government monetary, fiscal, economic, trade, and social welfare policy. Another win for global capitalism, and another loss for a "socialist" government that resisted banksterism in a valiant but failed effort to serve the democratic "social" interests of the people of the nation.
The Money Problem
Economic specialization and trade really does improve the economic well-being of the people, if the benefits are distributed among the people of the nation. Capitalism excels at economic production, but fails at economic distribution, due to The Money Problem of Cost Price + Profits = Sale Price.
At any given time there is a supply of money in an economy, that was loaned into existence by banks and spent into the economy by borrowers/debtors. People -- capitalists and savers -- "have" the money supply. Capitalists "invest" their capital -- pay out money hiring the economy and buying stuff from the economy -- to produce a supply of goods (and services) that will be offered for sale to the economy. People "spend" their money income (and their money savings that had previously been earned as incomes) buying stuff from the economy.
People who work for capitalists or sell stuff to capitalists "earn" the money that is being invested. The earned money is their "earned income".
{People spend and invest some or all of their earned income, and the money recipients receive that money as their earnings. But re-spending the existing supply of earned income money does not "add" to the total quantity of earned income money: it simply redistributes ownership of the "earned" money supply. Ultimately a capitalist or a saver ends up holding/saving the money that was invested into the economy by capitalist producers.
Just as commercial banks issue and lend into existence the entire $numerical quantity of the economy's money supply; so capitalist producers pay out the entire $numerical quantity of the economy's earned income as their $costs of production.
Within the capitalist system, people's only source of non-borrowed "money" -- money people "earn" and can use to repay debts and buy the capitalist outputs -- is their earned incomes. Money incomes are paid out as capitalists' money "costs" of producing a supply of goods that will be offered "for sale" to the economy. Costs are paid, and outputs are sold and bought, "for money".
Economic "value" is irrelevant to the $arithmetic. "Prices" are denominated and are paid and earned "in money". Money is $numbers, and The Money Problem is an $arithmetic problem. You cannot solve an $arithmetic problem by adding economic value into the equation.
One dollar of debt plus one bag of rice = ??? It does not compute. Economic value is a different kind of thing than "money". You can only balance a negative sum $arithmetic equation by adding positive $numbers into the equation. One dollar of debt paid with one dollar of money = $0.
Capitalists add markup to their cost price and offer their goods for sale at profitable prices. But capitalists only pay out the economy's earned income in the amount of costs. The economy earns no "income money" to pay cost + profit money prices.
For awhile capitalists can earn profits if people are spending their savings in addition to their earned incomes. But after capitalists have captured all the savings people are willing to spend, people's only source of non-borrowed money -- that can be spent buying capitalist outputs -- is the same earned incomes that capitalists pay out as their current costs of production. Extending the negative sum equation over time does not alter the $arithmetic.
Banks "lend" (to consumers and governments) additional spendable money into the equation -- which enables sales of capitalist outputs at profitable prices as long as the economy's total bank debt/money keeps increasing. But borrowers have to subtract all that bank-issued money back out of the equation when their bank loan payments come due. To repay debt, people have to earn incomes that are paid out as capitalists' current costs, and rather than spend the money buying capitalists' current outputs, they use the money to extinguish their old debts. Now there is not enough spendable income in the current equation for capitalists to recover even their current costs, let alone sell their current outputs at cost + profit prices.
30 year mortgages add a fairly long term supply of bank-issued debt-money into the equation: the money is only removed out of the equation over 30 years of mortgage principal repayments by the borrower. Bank-issued credit/debt money is a temporary solution to capitalism's Money Problem. But this solution -- by $arithmetic inevitability when people begin paying down debt and starving capitalist producers of sales and profits -- always ends in financial collapse and economic Depression.
For debtors, their only source of money that they can use to permanently repay their debt, is money they receive as "income". Income is money that people personally receive debt-free: the income recipients are not "borrowers" who "owe repayment" of the money to anybody. Income is debt-free money, to the income recipient. Neither individuals nor the system as a whole can get out of debt by borrowing new money to pay old debt. Only money that is received as income is capable of permanently extinguishing debt.
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