In the October issue of Sound Argument, Takeshi Nishibe exposes the fallacies behind the celebration of innovation.
He demonstrates how capital share expansion, declining labor share, and financial manipulation erode purchasing power and inevitably lead to crisis.

2016-10-08
Income disparity in the form of an expansion of the capital share (a contraction of the labor share) proceeds without pause, dulling domestic purchasing power.
What follows is also an excerpt from a serialized essay by Takeshi Nishibe in the October issue of Sound Argument.
It goes without saying that this is an essay that all Japanese citizens and people around the world must read.

All emphasis in the text other than the headings is mine.

Introductory passages omitted.

As the madness of “manifesto politics” spreads, one falls into resignation, believing it impossible to defend conservative politics even in order to expose the true nature of that madness.

Despite the Democratic Party’s emphasis on “correcting social disparities,” it simultaneously praises innovation, and toward this the old man could not help but feel aversion.

For one thing, the disciples of Joseph Schumpeter, who sought to affirm technological innovation unreservedly by calling it creative destruction—namely, the “Schumpeterians”—have continued, and still continue, to chant the praises of innovation without possessing the historical perspective of their originator.

Although innovation is in fact promoted with the securing of monopoly (and oligopoly) profits as its motive, they extol the emergence of new technologies, new products, new distribution channels, new resources, and new organizations as great achievements of free competition in the market.

Such Schumpeterians, who brazenly utter such lies, still abound today, whether in academia, government, or the business world.

Second, innovation is generally capital-using or labor-saving, and as a result income disparities in the form of an expansion of the capital share (a contraction of the labor share) advance ceaselessly, dulling domestic purchasing power.

Third, even though markets covered by innovation lead the future into crisis (beyond risks that can be probabilistically predicted), they manipulated the stock market by means of false information that extrapolates capital rates of return from the recent past or the present into the future (in a myopic, near-sighted manner), and even compounded this with outright fraud by creating derivatives based on such information.

This cannot but bring about financial panic sooner or later (along with the accompanying increase in unemployment and the collapse of the regular employment system).

Those “high-IQ (Democratic Party–affiliated) politicians, scholars, commentators, and journalists” who refuse to notice this appeared to the old man to be nothing but incorrigible fools.
To be continued.