Evidence of political entropy

 Political Entropy (cont’d)

Today I want to write about how our political systems are merging and how the application of one view is leading to the implementation of another.

On one side of the political spectrum you have a party that supports the business owner, generating profit, stimulating wealth and of course owning and running a company whose prime role is to make a profit as is any company.

On the other side, there is a view that everyone is equal, that wealth should be distributed amongst everyone and that profiteering private sector companies are evil personified.

This is all very well but . . . in an economy where there are a lot of private companies doing work for the state  whether its privatised services and since the NHS is Europe’s biggest public sector organisation, medical equipment and even drugs companies operating in a market which is worth billions of pounds. . .

What happens in a recession?

In a recession, there are public sector cuts which obviously result in less spending on privatised services, less public sector employees and fewer orders on those private companies providing goods/services to the public sector.

This ultimately results in the loss of both public and private sector jobs. Whilst this adds cost to the state in terms of benefit payouts, some of those recently unemployed may find jobs but in a recession the number of available jobs is restricted and it as at this point that employee flexibility becomes a good idea.

Many of those struggling to find full-time occupation from companies and become ‘consultants’ or similar. This enables them to run their company and sell their services back to the market they left.

The Flip

This is where it happens, those in public sector employ, hating the private sector for being evil capitalist organisations who sacrifice anything for profit have suddenly become owners of private limited companies who need to make profit to be able to pay their taxes.

The Back Flip

Yet this position has led to the distribution of wealth as more companies are now generating more profit for their owners yet they are small companies employing one or two people so the wealth has been distributed widely.

In order to attract more business though, a company will take over another one building its size and market share and lead back to the starting position of a few companies providing services to the public sector.