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Ecomomic Solution - The Perfect System

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posted on Apr, 5 2009 @ 01:59 PM
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Our current economic system has failed but I don't believe in anyone system like capitalism, communism or socialism. I still believe strongly in a democratic political system, it's the economic system that needs to be reworked. I wrote a blog on my site www.gpofr.com a while back dealing with this very issue. I came up with a solution that still needs more refining, but I whole heartily feel it will work to end world poverty and bring about peace.

I've post it here again:

"The Economy - A Solution
Thu, 12 Feb 2009 05:34:18 GMT

I'm going to venture away from science and related matter to once again talk about the economic crisis. The economy is being advertised as dire and horrible. First off the more we promote calamity and more it strikes fear in our neighbours and actually perpetuates economic stress. By allowing our fears be advertised on such a massive scale actually perpetuates this "pending disaster". It becomes a self-prophesied prediction and the majority of us don't even know we're doing it, but we all should know as it's vital to our future in so many ways. Now, how about those of us versed in human psychology such as the many in our news media? What I mean, is why do they continue to perpetuate dire economic predictions if they know that the content of their medium actually drives the actions of average man? If the news media were truly concerned with this "predicted" and self-perpetuating economic crisis, their best course of action would be to focus on good and positive news especially as it pertains to the economy. Good economic news, no matter how small actually perpetuates a good and healthy economy. So if President Obama attempts to deliver a solution for this economic "crisis", his first step should be to lobby the news media to focus on the positive economic news as he begins to implement an economy stimulus.

Here are some truths to note:

The economy and stock markets are emotionally driven and contract and expand in direct inverse proportion to the level of fear in the populous. - So the solution is to reduce the level of fear in the populous. Market and sell good news. We make prophesies become true and we can also make them false predictions by controlling this aspect. The media is in a perfect position to market good news and actually change the level of economic fear in the populous.

Money is and has always has been an imaginary symbol of value. Need and scarcity drives the value of this imaginary thing. - What does this mean. The value of money itself is also inversely proportional to need and proportional to scarcity of needed things. So how can we use this fact to fix things or stop them from happening? Make money itself have value by locking down prices on all commodities and natural resources no matter the scarcity. This will push the need for the supplier to supply more of what is needed in order to make more money actually creating jobs in the process. How would we lock down prices? Actually we wouldn't, the government would. The government makes money from thin air and dictates our laws based on our needs at any given moment in time (history). If we continue to perpetuate fear and "predicted" economic doom, the government has the ability to pass laws that can literally stop our economy in its tracks and start up a new form of economy in order for its population to continue meeting its needs. Now some might not favour this, but do we have a choice? Yes we do! News agencies and their owners must stop spreading fear and focus on positive news! New agencies have over many years practiced censorship of content to meet their agendas and policies so it would be very easy for their policies to change to promote more good news than bad.

continued below...




posted on Apr, 5 2009 @ 01:59 PM
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The Perfect System

Idealism is my strong suite and my major fault. I do envision a perfect economic system that would work in balance with our human nature and promote global peace by meeting our basic needs. It would be like this:


1 - Make money itself have value by locking down prices on all commodities and natural resources no matter the scarcity. This will force commodity and natural resource companies, under government oversight, to expand their production to meet demand and in the process creating jobs based on this demand.

2 - Mark product retail and wholesale values at government regulated profit margin derivatives based on the lock down cost of the manufactured product's natural resources and commodities. Everything from iPods to restaurant meal prices will be regulated within a specific profit margin based on the lock down cost of the materials and foods used to make these derivative products.

3 - Have government, or a central global economic administrative agency, via the Internet give out and administrer an amount of money or credits, say $26,000.00 (a number I calculated), to every human on Earth annually in order to provide for human basic needs no matter if you're employed or not. This will also provide universal free education! Education on the problems of over population, over consumption, environment and philosophical ethics as it pertains to preceding and basic human behavior (like needs) would be mandatory, but also allowing for any choice in career path and anytime in an individuals life.

4 - Create a tax to recycle the amount of that $26,000, forcing everyone to spend it on shelter/housing, education and eventually cycling itself back to the locked down commodities and natural resources.

5 - Allow the capitalist nature to continue in the means of this new system allowing for the accumulation of personal wealth, regulated stock and investment markets based more on returned dividends than hype (emotion). Promote technological innovation, product creation and demand for jobs be central key drivers of this capitalistic portion of the economy.

6 - Implement increased taxing based on the amount of wealth you have.

7 - The preceding steps will, in theory, eliminate inflation.


To some this might sound like communism, but its not. It is a balanced mixture of capitalism, socialism and communism as no one system is perfect. Even this proposed system needs refining but I'm truly confident a system such as this will benefit mankind greatly. If you disagree then fine. You can continue with the current system we have for as long as we may have it.

Robert L. DeMelo (www.gpofr.com) Copyright 2007, 2008, 2009 ...



posted on Apr, 5 2009 @ 02:02 PM
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My only reason for posting this is for a larger community of open thinkers to digest this idea. Also, based on another thread, I don't believe a drastic jump to another political system such as Communism is a good solution but that a better solution is to improve and build on our current system.



posted on Apr, 5 2009 @ 03:09 PM
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Originally posted by MainframeII
1 - Make money itself have value by locking down prices on all commodities and natural resources no matter the scarcity. This will force commodity and natural resource companies, under government oversight, to expand their production to meet demand and in the process creating jobs based on this demand.


The big problem here is "no matter the scarcity". Increase production? How do you do that when you have a limited source to start with? Incorporate strip mining? Shred all of our forests? The law of supply and demand works perfectly in the real world. Increasing production to meet demand would only eliminate the natural resources that much faster.


2 - Mark product retail and wholesale values at government regulated profit margin derivatives based on the lock down cost of the manufactured product's natural resources and commodities. Everything from iPods to restaurant meal prices will be regulated within a specific profit margin based on the lock down cost of the materials and foods used to make these derivative products.


The problem with your lockdown suggestion is it will limit innovation, in addition to increasing beurocratic overhead. Who regulates this? How do they keep up with Product X that the inventor wants to hit the market today? It simply isn't possible. This would stagnant new inventions as they could not be placed on the market until they were regulated.

A cost manufacturing industry typically operates at a 50% profit margin of the sale price. If a 386 computer has its price locked, the 486 computer, P1, P2, P3, etc. all increasing in price (as they are better products) would actually increase inflation. The initial high price of new technology is to offset development costs.


3 - Have government, or a central global economic administrative agency, via the Internet give out and administrer an amount of money or credits, say $26,000.00 (a number I calculated), to every human on Earth annually in order to provide for human basic needs no matter if you're employed or not. This will also provide universal free education!


Where does this money come from? You also did not explain where the free education comes in.


4 - Create a tax to recycle the amount of that $26,000, forcing everyone to spend it on shelter/housing, education and eventually cycling itself back to the locked down commodities and natural resources.


What is the purpose of taxing your goverment subsideray when they could simply give out less to begin with? This really makes no sense.


5 - Allow the capitalist nature to continue in the means of this new system allowing for the accumulation of personal wealth, regulated stock and investment markets based more on returned dividends than hype (emotion). Promote technological innovation, product creation and demand for jobs be central key drivers of this capitalistic portion of the economy.


Actually, your system is very non-capitalist. Law and demand requires a free market. You are locking it down. You are also restricting innovation, creation, etc. Companies can't compete with each other as the product prices are frozen. Competition breeds innovation. Without it, it simply won't happen. Look at what happened to the phone industry AFTER it was broken up? We used the same technology for a very long time then suddenly we had all kinds of new features.


6 - Implement increased taxing based on the amount of wealth you have.


Your system still makes those who are wealthy wealthier and those who are poor poorer. Why exactly are you taxing their living expenses again?


7 - The preceding steps will, in theory, eliminate inflation.


You should also point out that it eliminates deflation as well. That is just as problematic.


To some this might sound like communism, but its not. It is a balanced mixture of capitalism, socialism and communism as no one system is perfect.


It defniitely has no capitalism ties despite what you claim as you killed the free market. Virtual monopolies are created as every company sells the same product for the same price - and stuck with a specific profit margin. Where is the innovation?

I am sorry, but based on what you are proposing, I am finding too many flaws for this to be functional even in a small town setting, let alone for a country. I look forward to reading your respose.



posted on Apr, 5 2009 @ 03:27 PM
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Have the MSM feed us nothing but good news?

Do you live at Disneyland or plan on moving there in the near future?

I would rather be informed of bad news, with a choice of how to react to it, than be force fed Gerber Applesauce by Tinkerbell...

Sorry...just my two rubles comrade...



posted on Apr, 6 2009 @ 12:11 AM
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Originally posted by TLomon


You make very good points though I don't agree innovation and creation would killed. A market where human basic needs are cared for and poverty is eliminated would breed innovation because the mental power of our citizens wouldn't be consumed with putting bread on the table or paying the rent but focusing on education or their occupation of choice. I totally admit this idea is in its infancy and that it was an initial look at the fixing the the problems associated with a pure capitalism system. Greed and inflation are only two problems inherent to our current system and it does nothing to end poverty and make a better society in fact it does the opposite by eliminating ethics in the name of progress...we are all slaves to the dollar that is a debt from the start of its creation from an imagination representation of value and birth place...the printing press of central banks. If anything, I'd like people to improve this idea. Government oversight unfortunately has to happen even now in our current system so perhaps government should evolve to be more dynamic than filled with red tape. Perhaps my goal with this plan was to end poverty and give free education to all which I believe it would instead of just solving our current problems. Just consider how much money each citizen (who filed their income tax in the last 2 years) would get if the bail out was given to citizens instead of greedy corporations (like AIG). I believe my initial estimates were about $100K+ each. I think that number would solve our current economic problems overnight. In any case, I'll continue expanding on this idea at my leisure and sharing in order to get feedback to refine it. Ultimately the perfect system is the one we'd least have difficulty accepting and would solve poverty which would be one giant leap to achieving world peace.



posted on Apr, 6 2009 @ 12:19 AM
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Originally posted by Hx3_1963
Have the MSM feed us nothing but good news?

Do you live at Disneyland or plan on moving there in the near future?

I would rather be informed of bad news, with a choice of how to react to it, than be force fed Gerber Applesauce by Tinkerbell...

Sorry...just my two rubles comrade...


People are emotionally driven and thus so is the market. If news agencies were to focus on good news a bit more it would make a difference. Problem is people like to hear bad news for the reason you gave. Fear attracts our attention and then makes us react which I'd argue in the negative way towards the market. Don't stop giving the news but focus on the good news as well even though viewer rates would be affected (unfortunate aspect of human psyche). I find it silly that CNN adopted the "war room" theme even for the most mundane news events. Fear is attractive. I guess in the free market, fear of war helps sell personal underground bunkers that you'll never use, survival kits and weapons but it can also stagnate the markets when the fear is the economy itself.



posted on Apr, 6 2009 @ 07:40 AM
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Originally posted by MainframeII
You make very good points though I don't agree innovation and creation would killed. A market where human basic needs are cared for and poverty is eliminated would breed innovation because the mental power of our citizens wouldn't be consumed with putting bread on the table or paying the rent but focusing on education or their occupation of choice.

Actually, what you have accomplished is the removal of any incentive to work. Society would crumble.

What you are attempting to create is a Utopia, not a fixed market system. I would strongly recommend you read the book, Utopia. It is purely speculative, as it is an impossible achievement.

www.gutenberg.org...

For humans to be focued purely on creativity and educatio, something other then humans would need to do the work. Human beings are a competitive race. Remove competition, and they get lazy. Sure, you would have the dreamers, but nothing to drive them to excercise those dreams.



posted on Apr, 6 2009 @ 05:42 PM
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Originally posted by TLomon


The incentive would be the accumulation of wealth which would still exist hence the capitalistic portion of this idea. Competition would still exist in the limits of the new system just like how we currently compete in our current system just with different limitations such as regulated and accountable business practices. If we didn't have limitations, in the name of pure profit many manufacturers would just have continued polluting the Great Lakes and drinking water and silently killing millions of people. Pure capitalism doesn't work and ignorance, or lack of education, cannot be an excuse. You're right I'd like to build a Utopian society and no I haven't read that book but then again I haven't seen so many Americans actually finding merit in the Communist system as I've seen on this forum (I haven't really looked either) which is a far cry from the Communist inquisitions of the 50s. What I'm just saying, if we don't at least brainstorm a possible solution to achieve a peaceful world without poverty we'll definitely never achieve a Utopian society. Yes I totally agree its a very difficult task only because of human nature, but I'd argue that if the public is educated on the merits and benefits of this Perfect System idea, if it were actually in place in some similar fashion, that fewer and fewer people would actually attempt to break the system because to break any system is to eventually destroy and lead to chaos much like the economic crisis we're currently in. The current system was exploited due to a severe lack of ethics which includes accountability and actually broke it. How many Enrons due we need to wake up and realize this simple fact. I sincerely doubt the founders of our current system contemplated its demise due to "extreme" greed. All human systems are subject to evolution in order to fix what doesn't work and to have 3.3 million unemployed people over the past 5 months in the US alone is staggering and proof the system has failed because the majority of social safe guards have eroded extensively over the years in the name of capitalism. Now note when a system doesn't work its only a matter of time that radical steps are taken to fix it or a revolution will occur. Communism has failed, capitalism has failed and to say otherwise is to avoid the obvious. We have to realize that human nature is rebellious no matter the system but its usually due to a lack of understanding (education) and our survival instinct. Provide for basic needs, thus eliminate survival worries, and education the people will limit our rebellious nature. Any "perfect" system must take into account all aspects of human nature and be seamless to implement over top our current system rectifying the current crisis and making a much better world. I have a hard time looking at the despair in eyes of the needy, the hopeless and the abused. Most of us rarely see that aspect of our society because we ignore it. Now that more of our working class is facing this prospect we're all a bit more fearful yet many of us are willing to still ignore. Just remember, if one day a series of events happens to your life resulting in you desperately being needy, you'll notice that being ignored is worse than death. When things are good we forget...we always forget. You might argue that many deserve to be there because they're lazy. I'd argue that many have mental illnesses that our current capitalistic system ignores. Many might argue that's survival of the fittest, but I'd argue that humanity is better than animalism.


[edit on 6-4-2009 by MainframeII]



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