Our Economic System, a Recipe for Disaster & The Real Bad Effects of ‘Good Intention’ Government Interventions.
Profit and Self-Interest is that which lies at the very core of our Current Economic System.
It is the very baseline of any equation from which economical mechanisms are derived from.
It is the venom that seeps through every inch of our society of which no-one remains unaffected.
It’s a venom that kills.
Our Economy falls back on two basic ‘powers’ / ‘laws’ interacting with each other:
1. I want to sell stuff expensive so I can get lots of money
2. I want to buy stuff cheap cause I want to have lots of money
(These two are the trademark of Capitalism and Free Market)
But now – just looking at these two points together, it is obvious that you cannot have both happening at the same time. For example: You want cheap milk, but they only want to sell you expensive milk – both parties want to score.
So even though this is not practically possible – these are the rules the Economy lives by.
Now, these two essentially self-interested laws, make up ‘Supply’ and ‘Demand’ (first one being supply [giving], second one demand [receiving]).
And even though these ‘laws’ have no practical consideration whatsoever – but the one for profit – it is accepted and enforced as status quo.
So we have established that both two ‘laws’ are drenched in self-interest – and ‘combat’ each other. But the combat between these forces creates a ‘vacuum’ – as both of these points are just eating up all the money – and these vacuums are then represented by manifestations such as poverty and scarcity.
Now – people start complaining and when the moaning starts getting to the Government they feel that maybe they should do something about it.
The Government will then implement some rules to try and create some sort of balance so that the poor people don’t get too angry and get it in their heads to maybe revolt against the government.
These rules can take the form of for instance protecting moaning Farmers by setting a particular minimum price for their goods. This minimum price will be above the ‘equilibrium price’ [*the equilibrium price is where supply perfectly meets demand, there’s no excess or shortage. For example, a farmer supplies 50 000 litres of milk at the local town market – at a particular price – and at this price all of his milk is bought. There is no excess but also no shortage of milk. ]
By setting a minimum price that is above the equilibrium price (at the price that people are willing to pay) – an excess supply is created because people don’t want to buy the expensive stuff!
So if the Farmer now for instance sells his milk at 3 euros a litre – less milk is going to be bought, and there’s going to be many litres left unsold.
So the higher the price – the less people will buy it (can buy it) which means = less people have food. So now okay, the farmers get some extra cash but now we’ve created a new problem as more people are without food. On top of that, we’re still sitting with all this excess of supply (the unsold milk) that’s just lying around, and now the Government’s got to get rid of it. If they give the food to the poor people then they’re not gonna buy the food on the market and then the farmer’s not going to get their money and then the whole minimum price thing was useless from the beginning. And obviously the Governments Ego cannot admit to that, so then they rather buy the food with TAX MONEY (yes that’s right, they take your money so now you’re still losing) and then destroy the excess supply.
I mean – if you look at it – it’s really pretty freaking insane right? I mean, twenty first century? Evolution? LMAO
Then there is minimum wages / basic income!
The people’s gone moaning again and the government feels it should respond to this threat (yes threat instead of common sense responsibility – in our world literally EVERYTHING is in reverse).
So now the government goes ‘Let us implement minimum wages/basic income!’ – because they see that people are complaining because they are looking rather skinny and beaten up by their slave labour.
Because remember: BUY CHEAP – SELL EXPENSIVE. This translates into PAY PEOPLE CHEAP (buying labour) – SELL THE STUFF THEY MAKE EXPENSIVE – KEEP MONEY IN MY BIG FAT POCKETS. That’s how we’ve designed our system.
Back to the Government – so now they implement ‘minimum wages’ – which is really the same principle as setting a minimum price for the farmers. Corporations do not want to buy expensive labour [it is seen as ‘expensive’ because this minimum wage is above the ‘equilibrium wage’ where supply & demand meet (because people will do anything to gain some money to survive, so they are willing to work for almost nothing)]. So Corporations have to now implement this minimum wage – but they don’t want to spend that amount of money.
As a result they start firing and cutting back on their staff. Which results in more people being unemployed – but heeeey at least those few people who have a job get a minimum wage, right? Yay? No?
So the very people the government is “trying to help” are the ones that end up being off worse. As you have seen from the examples, you either end up without food and/or without a job. And the knowledge that these type of interventions are absolutely not effective – is Economy 101, it is one of the first things you learn in studying economy, imagine what else we might encounter down the road!!
And then obviously if one tries to look at other ‘solutions’ = there are none. Each move you will do that approaches ‘care’ will be catastrophically as what the System breathes in and out is Self-Interest. It is repulsed by ‘care’ and will simply spit out anything that is not serving Profit & Self-Interest. Thus there are no possible solutions within our current system. As long as we want to create / provide solutions within the current framework of our Economic System = it is going to fail.
Because as the very Starting Point of our System is that of Self-Interest – it will only cherish and harvest that singular point. There is simply no space for anything else. It is a Formula, an Equation which is not Equal [and for an equation to be effective there must be EQUAlity, you know EQUA-TION it is implied in the word]. So no matter what you place into the formula – it will always end up in disaster as that is the way it’s been designed.
So understand that when you read or hear things in relation to Equal Money Solutions – that we are talking about a whole new system, a whole new formula – it is beyond our current system, it’s a whole new world! Because, we cannot save our current system, it is done for.
So if you can see , just like me the absolute fucked-up-ness of our current Monetary and Economic System – Investigate Equal Money! It is the only solution !!!