On Fri, Oct 13, 2017 at 3:08 PM, Alain Sepeda <[email protected]> wrote:
> it seems some histocical perspective is required to understand all is > normal. > > Inflation is a recent phénomenon, and for example 19th century was veru > deflationist. > What are you talking about. Inflation was an issue in even ancient times. The spanish created a MAJOR financial crisis when the plundered the 'New World' for silver and gold, in the 16th century. Capitalism is unstable, *by its very nature*. Read Marx ferkrissakes. Only smug, brainwashed fools don't. > in fact it is not so important as purchase power get better because of > cost reduction. > This si what sharing economy, in fact the hidden capitalism of average and > poor people, is doing.... reducing costs, making you richer with less money. > > http://www.libertylawsite.org/2017/09/29/how-the-sharing- > economy-helps-the-middle-class-by-enlivening-capital/ > > AI and robots are not more disruptive than horses were. > I've heard of the luddite war in nepal agains donkeys, to keep employement > of human donkey... > rational becausein that traditional society there are obstacle to acquire > capital for the lower caste. > > http://www.cato.org/publications/policy-analysis/ > capitalisms-assault-on-the-indian-caste-system > > not a surprise that communisme flourished in a locked society like Russia > or China, in colonial zone like Indochina, in corrupted banana republic > like Cuba, and not where it was created in Britain. > > > > > 2017-10-13 20:15 GMT+02:00 Daniel Rocha <[email protected]>: > >> Things are not so simple, as I see it. I don't see the actual China as >> socialist or communist, nor I see them returning to a socialist path. This >> will become clear later, though this is a very very rough explanation. >> Things do not really get cheap because they are more abundantly produced >> (now I am putting my point of view in this whole thing, which is not really >> standard) because money (gold or precious metals) or value in circulation >> (I am not counting credit/debt here) also decreases because labor employed >> in industry (the source) decreases accordingly. So, there is less and less >> money to expend, credit, instead, expands, and thus debt, because it just >> cannot be payed. Sectors of economy become glut and bubbles are created. >> >> Pegging money to something of value is also not good. Eventually, it is >> not enough to keep track of the quantity of things produced, so stagflation >> happens. Just printing money is also not good, it leads to hyperinflation. >> A socialist system, ideally, do not have such problems because money is >> used as grants or as a mean of accounting. This is possible because there >> is no accumulation of money in the hand of few. But, the world is not >> ideal, simply because all countries need to trade and the world is nearly >> all capitalist. So, what happens is that there is a need to accumulate >> reserves, which generally leads to stagnation. Both USSR and USA suffered >> from this problem starting in the 70s, but USA could alleviate the problem >> with the Volker shock, that is, letting credit abound, multiplying >> reserves. Not so much USSR, given its ideological compromise. Straying off >> this path led to its doom. Many countries of East Europe acquired large >> debts with IMF, which led them, in a way or another, to bankrupt. Look for >> the total debt of countries (not just public only, money flows indent of >> ownership)you will see that they all of them explode starting around 1980. >> Soon, shit will hit the fan. >> >> China is different case though. It could save itself by crippling the >> economic conditions on the countryside and making people start to cities, >> where they could provide cheap work for industries. So, Chinese leadership >> deliberately sabotaged the most basic epithets of socialism in order to >> stay in power. They have been trying to improve the conditions on the >> countryside in the last few years, though, in order to avoid rebellions in >> the city. Wages raised and so unemployment. The labor is not so cheap >> anymore, it's getting close to Mexico, officially. >> >> There has been some attempt, though not conscious, in setting something >> similar to precious metal. Crypt currencies somehow are equivalent to mine, >> where value comes labor employed through maintenance of servers or that >> employed in the electric system. But, the value it seems, I am not sure if >> it is regulated by the market, unlike with precious metals. There is a >> certain scarcity factor that is introduce to make mining more difficult, I >> cannot, right now see this as really equivalent to a real mine running out. >> In any case, fluctuations make it not suitable for the people in general to >> trade. Like with precious metal, there should be some kind of "bank notes", >> or some similar thing to avoid fluctuations. >> > >
