Mind, Matter, Movement
Cedric Muhammad of CM Cap (http://www.cmcap.com) is a successful entrepreneur, economist, and political strategist, among other things. I interviewed him recently for a Final Call article on the economy, finances and how people can endure and ultimately move forward.
Charlene Muhammad: We saw recently that the U.S. National debt clock ran out of figures to record its massive debt. How are people wrapping their minds around this from your perspective?
Cedric Muhammad: I see people as being in shock, disbelief and denial. It shows in their moods, and in the fact that they still largely place their hopes in an economic and political system that is on its way down. It is somewhat like a person who watches a car accident on the side of the road at the exact time that they should be driving more carefully. Because our political leaders and the general public are relatively financially illiterate, and economics is hardly taught in high school, we have not been prepared for what is happening. So, we see ourselves as victims and helpless bystanders rather than tangible factors of change.
Charlene Muhammad: What do you think about reports that the Bush Administration is considering buying stakes in some of the major banks? What does this mean given his administration's role in this whole economic failure?
Cedric Muhammad: Something like this happened in the country of Chile years ago, where the banks were eventually sold back into private hands afterward, and it reminds me slightly of the Resolution Trust Corporation set up to handle the Savings and Loan crisis in America, but I do not know of something like this in American history where commercial banks are concerned, as proposed. What is means is that the United States government is becoming the world's largest investor, and using taxpayer dollars to do so. How the American people share in what their government 'owns' is not clear. But we have reason to be wary. For instance, can we really expect the corruption, nepotism and cronyism that exists in government agencies today, which impacts the awarding of government contracts, to not eventually affect decision-making at the banks the government 'owns?' This could easily affect who gets loans, and on what terms.
Charlene Muhammad: Thank you.
(Remember to look for more from Cedric Muhammad in the Final Call soon.)