Category: Economics, Finance, and Political Economy

May 2, 2020, 11:07 AM (The Economics of Communication) To profit we must exchange. To trade (communication) requires we discover a medium of exchange. To exchange we must discover coincidences of wants using the available medium of exchange. All language consists of measurements. Measurements within paradigms. Paradigms that serve interests. Interests that are achievable with abilities. And values that measure the degree of interests. So we are trying to achieve commensurability so that we can measure the value of the exchange. When we are frustrated it means we are seeking cooperation (exchange, trade, returns) where the transaction costs are higher than the rewards. When we are not frustrated it means we have divided the labor of discovering coincidences of wants, commensurable mediums of exchanges, given abilities, values, and paradigms. Are we frustrated that they don’t think like us or that the cost of thinking like them, or reducing our thoughts to their level of precision is too costly? Are we frustrated by those cost or are we frustrated that that we no longer function in an aristocratic hierarchy because under democracy our words despite our differences in ability are mispriced? If we were still ruled by Nindsors, Nevilles, Fitzroys, Marlboroughs, Curzons rather than the parliament of fools would we have this problem? If the anglo-dutch aristocracy and the german labor majority were not undermined by underclass immigration? If our society was organized multi dimensionally so that the martial hierarchy, the commercial hierarchy, and the informational hierarchy were mediated by the law preventing ‘putting fingers on the scale’, would this be the case? So my view is the over-commercialization of society, and the over-politicization of society that were the result of the windfalls of the industrial revolution, and the (((world wars))) we tolerated by not nationalizing banking, and redistributing the windfalls of interests on state credit, as we all sought to seek commercial success where the balance of military-aristocratic, comercial-noble, and intellectual-arts and knowledge, and priestly-service could compete on their own terms rather than universal commercialization (privatization). We are at the end of the windfall. And we must learn, that like the athenian discovery of the silver mine, the roman conquest of the celts, the spanish conquest of the mezzo americas, that the industrial revolution created the ability to devote our energies increasingly away from food production to innovation. And that we followed the folly of the athenians, romans, the spanish, into the false promise of endless growth and the abandonment of aristocratic martial discipline, in favor of commercial overconsumption. If something is’t computing without substantial friction than the computation system is ‘programmed’ with the incorrect incentives and resulting division of labor.