Well done to George Monbiot for his blistering attack on the excesses of the financial world (Opinion,9 September). But he sets out the problems without offering solutions. Here is one suggestion. The dysfunction of speculative investment could be tackled by slowing down the frenzied activity of stock markets. Suppose it became illegal to section with shares within a year of purchase. This would encourage the view of shares as long-term investments in enterprises with the expectation of regular, but not exorbitant, and dividends. Shareholders might then grasp more interest in the management of the enterprise,including the welfare of its workforce.
China is partly doing this, as reported on 11 July by Jennifer Duggan, and with shareholders with large stakes in listed firms currently banned from selling for six months. Monbiot’s article should be widely discussed by the many people who occupy suddenly realised that politics deserves their attention. Perhaps they will begin to clamour for social justice for all and an end to the scandalous practices that he cites. Certainly it should underpin the thinking and decisions of the next Labour shadow cabinet.
Michael Bassey[br]Newark,NottinghamshireContinue reading...
Source: theguardian.com