Perhaps one of the biggest mistakes of the 21st century has been the disenfranchisement of the common man. The move is gutting societies and leaving them dependent and at times vulnerable to the self-interested political shenanigans of other societies. As the world watches decapitated stock exchanges soar while massive populations flounder in poverty and instability, the phenomena of abandoned communities remains on full display.
Unfortunately, the feasibility of the model continues to weather away as merchants, businesses and others ponder their diminishing profits. Such trends often indicate the ending of one system and the beginning of a new one. This happens because such devolutions are unsustainable and eventually push out old leadership.
The fact is that what the masses need to survive is also what the corporations need to thrive. When one is eliminated the collapse of the other is immanent ad well as the formation of a new system. This fact is never more on display than in societies where the majority of the population live on only a few dollars a day or where salaries do not adjust for inflation and cost of living andadequate employment is sporadic at the critical levels of society. Such kinds community cannot rationally create business growth under the current model. Even constant upheavals attest to persistent civil discontent (even if many are nefariously instigated). It is partially why many developing nations keep devolving and restarting over and over again. It is a process that can happen to any nation–the January 6th coup attempt is a clear indication of how overall economic and social policy failures can lead to upheavals. In fact, The pandemic was an excellent example of what had been happening in many developing economies and now to a larger extent older more decadent economies eroding from greed, misappropriation of resource and factionalism.
Many former colonial states in Africa, Asia and South America were crippled by this model for many years. The elite in such nations were too small to create meaningful business growth, therefore few, if any homegrown businesses emerged–and those that did were often based on raw materials, telecom and banking which often had large foreign Western backers in the US and Europe.
It wasn’t until the 1970s when China began opening up that many of these developing economies that were repulsive to the West and stuck in a downward spiral were able to expand their middle class through infrastructure investments and other works brought by Sino relations.
Today, those middle classes have grown and enabled many developing nations to participate in the world economy and thereby lift millions out of poverty. In the past fewer people have had access to recurrent capital through work or enterprise, which meant that the money could not circulate through the society and needs could never be satisfied beyond a barter system.
In currency-based economic models, all players must have access to recurrent capital for that system to work. In barter systems the need for capital is less necessary and allows for needs to be met without cause for destitution. Unfortunately, as more people participate in the currency system, more people need the currency it will be increasingly necessary for more people to obtain recurrent capital through business or work. This is why nefarious foreign actors often seek to cripple currency and economic systems through sanctions and other economic coercive means. The most useful methods for distribution and circulation has been the small enterprise and employment via service, production or manual labor–solving societies problems and helping to keep domestic exinomic systems moving.
As speculation and other non circular methods have begun to become the predominant source of currency movement, it has divorced profit from its major circulator–local people. For example, when Kenyans and Nigerians begin investing in foreign cryptocurrencies, they unwittingly siphoned money out of their own economy for what is essentially a kind of speculative mobile money that helped to boost the American economy and it’s dollar currency. This means no matter how lovely the method, if recurrent curculating money isn’t in the hand of the major populace, the econony stalls.
All of the innovations of today and modernization in supply chain, production and service will prove useless without a circulatory economy powered by popular engagement–whether of fiat currency, electronic or crypto. Major corporations will eventually collapse without the a substantial volume of buyers. We are already witnessing the phenomena in some quadrants where crops and agriculture are being destroyed because there are no buyers.
A society that divorces its population from the means if economic participation will eventually destroy its own econony.
The US provides a partial example as it embarked on a major adventure to outsource everything in the early 70s and 80s. In this way it failed to balance the means of production with earning capacity. It focused on the investor aspects–and while this seemed savvy it overlooked the fact that investment and passive income is a function of labor and services. There is nothing to invest into without production, work and services. For services economies like the US and U K, pandemics can easily devastate the economy and these economies would be non-existent today if it were not relying so heavily on investment, printing money and selling debt which sometimes relies on productivity and at others times human perception response. These economies were able to keep capital moving in its upper echelons by relying on unseen international markets, selling debt abroad, it’s essential workforce and its tech architecture.
Without a diverse economy engaging populations at all levels: business, labor, service and investment within a variety of fields–economies stagnate and must resort to desperate measures–even corruption to keep their economies circulating. This is why oil or service heavy economies, despite the level of wealth being generated are unable to maintain satisfactory economic circulation without importing labor, relying heavily on imports and unable to create descent wealth distribution to power advanced multinationals among other various maladies.
Nations must invest in their people. The greatest resources a nation will ever have is human ones! Nations must be passionate about both employing and training their populations for growth. Boosting businesses who hire diversely and at living wage standard with resources and incentives to keep people in the circular economic system–or creating a system that better fits the lifestyle of it citizens. Too many developing economies leave their masses to the wilds of an economic system they are not prepared for — its ok to modify international systems to suit your Society so that they can compete and grow. Remember, compliance to the economic norms is not the goal, a successful thriving nation and population is!