Jeff is winning the thread.
Winning? Is that what this is really about? Come on man.
Jeff is winning the thread.
What do you mean by a "need for infinite growth" and why is this a flaw, and why is it associated with money specifically? In general, all living systems grow until they reach their maximum sustainable size, at which point they start to stagnate and/or die. Economies are no different. Humans are remarkable because they are the only organisms that can increase the ability of their environment to sustain themselves.
At this point it becomes obvious that you aren't talking about money, but have some bizarre complaint against what I assume is your vague notion of a free market economy.
Anyway, a really inefficient industrial complex is... inefficient... and not nearly as profitable as an efficient industrial complex. Capitalism allows for a competitor to leap in, have a more efficient process, and therefore have cheaper costs and lower prices. Lower prices = More sales and More Sales = More profit. The more efficient process is rewarded.
Right, like guilds in the Middle Ages. Or kingdoms and caste systems.
Wait, those belong to feudalism, not capitalism... Does capitalism have any "establishments" like these? Aside from a government that makes the startup cost of business prohibitively high (hmm that appears to be a problem of TOO MUCH gov't, and not too little), no, there isn't any feature of capitalism that does this
This has nothing to do with capitalism but rather the people buying and the people creating. Consumers in general prefer buying disposable things for the most part, and why not? Is there really anything that bad with this? Computers are radically different every 5 years. What is your proposed alternative, that we slow progress down until the natural obsolescence of things is more to your taste?
Wrong. Capitalism actually fosters and encourages competition. When you have a cartel/monopoly situation that is truly unfavorable, the incentive to start a company and undercut their prices is immense. Carnegie proved that extremely efficient production practices and undercutting competitors was the best way to make money and be successful. I read in his biography that he was asked to join a cartel, and declined, saying that he'd simply undercut every one of them and run them out of business before losing customers to them.
Yes, but you're forgetting an important part: "The less there is of something, the more valuable it is, therefore more money can be made off of it". You say "in the short term", but you omit that this is also true in the long term -- why is that, I wonder
Winning? Is that what this is really about? Come on man.
In order to keep people employed, people must constantly consume, regardless of the state of affairs within the environment and often regardless of product utility. This is the absolute reverse of what a sustainable practice would require, which is the strategic preservation and efficient use of resources.
In the world today, with the advent of Globalization, it has become more profitable to import and export both labor and goods across the globe, than to produce locally. We import bananas from Ecuador to the US, bottled water from Fuji Japan, while western companies will go to the 3rd world to exploit cheap labor, etc. Likewise, the process of extraction, to component generation, to assembly, to distribution of a given good might cross through multiple countries for a single final product, simply due to labor and production costs / property costs. This is extreme inefficiency and only justifiable within the market system for the sake of saving money.
It is important to consider the basic nature of a corporation and its inherent need for self perpetuation. If a person starts a company, hires employees, creates a market and becomes profitable, what has thus been created, in part, is the means for survival for a group of people. Since each person in that group typically becomes dependent on their organization for income, a natural, protectionist propensity is created whereas anything that threatens the institution thus threatens the well being of the group/individual. This is the fabric of a competition mindset. While people think of free market competition as a battle between two or more companies in a given industry, they often miss the other level- which is the competition against new advents which would make them obsolete, outright.
The best way to expand on this point is to simply give an example, such as the US Government and 'Big Oil' collusion to limit the expansion of the fully Electric Car (EV) in the US. This issue was well presented and sourced in the documentary called Who Killed the Electric Car?. The bottom line here is that the need to preserve an established order for the sake of the well being of those on the pay role, leads to an inherent tendency to stifle progress. A new technology which can make a prior technology obsolete will be met with resistance unless there is a way for the market system to adsorb it in a slow fashion, allowing for a transition for the corporations ( IE- the perpetuation of Hybrid cars in the US, as opposed to the fully electric ones which could exist now, in abundance.) There are also large amounts of evidence that the FDA has engaged in favoritism/collusion with ************** companies, to limit/stop the availability of advanced progressive drugs which would void existing/profitable ones.
The wasteful reality is that due to the competitive basis of the system, it is a mathematic certainty that every good produced is immediately inferior the moment it is created, due the need to cut the initial cost basis of production and hence stay competitive against another company... which is doing the same thing for the same reason.
The old free market adage where producers " create the best possible goods at the lower possible prices" is a needlessly wasteful reality and detrimentally misleading, for it is impossible for a company to use the most efficient material or processes in the productions of anything, for it would be too expensive to maintain a competitive cost basis.
They very simply cannot make the strategically best physically - it is mathematically impossible. If they did, no one would buy it for it would be unaffordable due the values inherent in the higher quality materials and methods.
Remember - people buy what they can afford to. Every person on this planet has a built in limit of affordability in the monetary system, so it generates a feedback loop of constant waste via inferior production, to meet inferior demand.
In America, there have been numerous monopolies, such as Standard Oil and Microsoft. Cartels, which are essentially Monopolies by way of collusion between the largest competitors in an industry, are also persistent to this day, while less obvious to the casual observer. In any case, the "free market" itself does not resolve these issues - it always take the government to step in and break up the monopolies.
This aside, the more important point is that in an economy based on "growth", it is only natural for a corporation to want to expand. After all, that is the basis of economic stability in the modern world - expansion. Expansion of any corporation, always gravitates toward monopoly or cartel, for, again, the basic drive of competition is to out do your competitor. In other words, monopoly and cartel are absolutely natural in the competitive system. In fact, it is inevitable, for again, the very basis is to seek dominance over market share. The true detriment of this reality goes back to point 4 above- the inherent propensity of an "Establishment" to preserve its institution. If a medical cartel is influencing the FDA, then new ideas which void that cartel's income will often be fought, regardless of the social benefits being thwarted
It is simply against the very nature of what drives demand to create abundance. The Kimberly Diamond Mines in Africa have been documented in the past to burn diamonds in order to keep prices high. Diamonds are rare resources which take billions of years to be created. This is nothing but problematic. The world we live in should be based on the interest to generate an abundance for the world's people, along with strategic preservation and streamlined methods to enable that abundance. This is a central reason why, as of 2010, there are over a billion people starving on the planet. It has nothing to do with an inability to produce food, and everything having to do with an inherent need to create/preserve scarcity for the sake of short term profits.
The FAO's hunger report, the State of Food Insecurity in the World 2008, found that the majority of the hungry live in the developing world, 65% of them in just seven countries: India, China, the Democratic Republic of Congo, Bangladesh, Indonesia, Pakistan and Ethiopia.
This also applies to the quality of goods. The idea of creating something that could last, say, a lifetime with little repair, is anathema to the market system, for it reduces consumption rates, which slows growth and creates systemic repercussions (like a loss of jobs, etc.).
People don't buy what they can afford. They buy what they can't affford. That's why everyone is in so much debt. Credit cards are the lifestyle accessory of choice for fagtards who admire cars and clothes.
I think we've taken it too far, but sometimes it's really great thing for everyone, being able to take a loan out.
I've been thinking about this lately, though - if we weren't allowed to buy anything on credit, the only people living in legitimate houses and not renting would be really old folks, and your life would just be one big savings game. I think we've taken it too far, but sometimes it's really great thing for everyone, being able to take a loan out.
gotta read up on that other fake account, that thing is genius!
I will say that I'm getting a bit sick of all the flack BP is getting... I flipped on CNN yesterday to find Anderson Cooper bitching endlessly about BP having stopped pumping for 16 hours and never notified the public or the Coast Guard of it before resuming. The problem is that them stopping the pumping was completely normal operating procedure, the kind of shit that the people internally at BP wouldn't think would be necessary to tell the public and the Coast Guard. That's not to say BP's PR team is a bit behind and fairly retarded as we've seen at this point, and that's also not to say that the internal chain of command is not exactly efficient (part of the source of this leak in first place), but at some point we need to step back and let BP do all they can to stop the leak, and deal with punishments and lawsuits and payouts and etc etc etc when oil isn't flowing at an exorbitant rate out into the ocean.
It's not as if it's in BP's best interest to do anything but stop the flow of oil as soon as humanly possible. There is zero good that prolonging the process would do for the company, and it's stupid to think they aren't doing everything in their power to stop it.
President Obama the other day in a press conference 'reassured' the public that the federal government was involved with and even directing the stoppage effort since day one.
WHAT???
Let's ignore the fact that there is not a single task that our government can perform more efficiently and effectively than a private company. Who do you want in charge of plugging up this hole - civil engineers with years of experience and training, who work with the equipment and in the environment in question on a day-to-day basis, or some dude from FEMA who's been trained by an organization with a questionable track record at handling emergencies and who hardly specialize in any one area of recovery? I've posted this before, but my best friend works at FEMA. He's 19. I love Billy, but for chrissake, they employ far more college freshman than a government agency tasked with federal emergency management really should be employing.
I don't want to downplay how shitty move a BP pulled in shortcutting the normal procedure for sealing these kinds of wells, by any means, but to suggest they aren't doing everything in their power to rectify this as quickly as possible is foolish, at best.
...a month from now, when everyone has forgotten about this they will lift the ban so the tax money can start flowing again.
Six month moratorium being placed on offshore drilling is nothing but a political stunt, a month from now, when everyone has forgotten about this they will lift the ban so the tax money can start flowing again.