Wednesday, November 18, 2009

Automatic generation of Value.

Compared with say 100 years ago we have systems, machines and electronics in place to automatically create value. The creation of value is the only justification to create wealth. Apart from the initial outlay to install these systems and for the maintenance and renewal costs they create free values, i.e. free money.

In the Utopian world these systems would allow the human race to eradicate hunger and poverty in developing nations and reduce the number of hours the working populace needs to work for the same quality of life.

However in the Distopian capitalist society, they do not want people to have more time. Time to think. Time to perhaps rebel. The capitalists want everyone to work as long and as hard as possible for the lowest salary the market will bare, so that the capitalist can cream off more of the residue to hoard for his or herself.

Typical example is using robot farming machines and GPS a farmer with a large area can now run all the sowing, plowing, fertilizing and reaping automatically.
reducing costs overall. Therefore, the number of hours farm hands need to work ought to be decreased, however the farmer landowner doesn't want to take the initial hit for the investment of hardware , he would rather usurp the human machine slaves.

This is a micro example, but there are no disincentives to force him to invest in the future. On a macro scale if a government year after year fails to re-invest in infrastructure and nickles and dimes on the existing crippled infrastructure the county is set for a great fall from first world status straight to third or forth world status. Case in mind is the U.K. which is still trying to use what is essentially a Victorian Infrastructure.

Eventually, left to their own devices capitalists will devour themselves and leave one person with all the wealth and resources in the world. By that time, everyone else will be dead and that person will be heir to an annihilated society.

Lets stop the rot before we all become extinct!

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