ONE PAGE SUMMARY.
Produce what makes most profit.Conventional economic principleds are in light type, to left.
Alternative principles are indented in bold.
Produce what is most needed.
Let free markets determine what is to be produced and what industries are to be developed.
Free markets will produce for and distribute to richer people, because this is more profitable. Therefore the economy must be under social control or regulation, to make sure that the important things are done. This does not mean there can not be a place for free markets.The rich bcome richer; most world wealth is delivered to them.
Local people use local resources to produce for themselves the things they need.Trickle down will eventually enrich all; just generate more wealth and in time everyone will benefit.
Not much ever trickles down. Even if it did, the process is a grossly inefficient way to improve the conditions for the poor majority; they would be far better served if allowd to apply existing productive capacity to producing to meet their own needs, not producing what will maximise profits for the few who own most of the capital. Inequality increases.Allow a very few to own most of the capital. (Half the world's capital, shares, factories and mines is now owned by about 1% of world people.)
Make sure society as a whole owns or controls at least the major productive capacities, such as the big steel works, railway networks, and banks. Many things should be public property, run for the benefit of all, not run to mazimise profits. This sets difficult problems of efficiency and government, which should be tacked via very open and participatory arrangements.Only take money costs and benefits into account. Define efficiency only in terms of maximising profits in relation to outlays. Efficiency so defined is the sole concern. Economics is the overriding priority in society.
Monetary costs and benefits are a minor concern. Therefore many real costs, such as noise and stress, are ignored by corporations. In a sensible society considerations of justice, morality, social and ecological welfare would be the main considerations. Often it is right to do what is not very efficient in monetary terms but what is good for people etc. Conventional economics is appallingly inefficient in meeting human needs. The economy is much less important in society than the cultural, social, political and ecological systems.The more business turnover, sales, production, exports, investment, consumption and growth of GDP the better. The more GDP, the more wealth is being created and the higher living standards are.
The more the GDP rises now the lower the quality of life is becoming, and the more ecological damage is caused. To increase GDP is not to increase "wealth"; it is just to increase business turnover, resource depletion, social and ecological damage..Growth is not just good; it is the supremely important goal.
Growth is an absurd goal. Economic growth is not solving problems or raising the quality of life. Most importantly it is totally incompatible with ecological survival. Current world output is grossly unsustainable; it must be dramatically reduced, yet all governments seek endless increases in output. This mindless commitment to growth is of course what those who own capital want.Globalisation is good.
Globalisation is mostly having devastating impacts on all but the rich few whose coporations are getting greater access to the world's wealth, while reducing jobs, security, and the access of Third World people to the resources they could once use.Conventional economic theory and practice are developing the Third World,
Conventional economics is only developing the Third World into the form that suits the rich countries, their corporations and the Third World's elites; it is producing grossly inappropriate development for most Third World people. Development is plunder; it has geared their productive capacity to the benefit of distant others.One big, centralised, unified global economy is good.
The ideal is many very small localised and highly self-sufficient economies, under local control, with relatively little trade, capital flows, foreign investment or debt.This economy makes us work hard and compete hard; it has powerful incentives for initiative and effort.
This economy mostly requires bad values, especially competition, individualism, selfishness, indifference and predation towards others, lack of concern with the public good...and above all greed. We don't need to work and produce anywhere near as much as we do now. If we lived more simply and cooperatively we could produce very satisfactory lifestyles with far less work, stress and resource use.
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For a 4 page statement, see The Economy; A Critical Summary.
For a a more detailed (20 page) critical discussion of the economy see
Our Economic System; Why It Must Be Scrapped.
See also Collected Documents:ECONOMICS and Collected Documents: GLOBALISATION
Also relevant/overlapping, entries on Third World Development;
Third World Development; The Critical Perspective (Short.) Third World Development (Long)
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The Simpler Way: Analyses of global problems (environment,
limits to growth, Third World...)and the sustainable alternative
society (...simpler lifestyles, self-sufficient and cooperative
communities, and a new economy.) Organised by Ted Trainer.
http://www.arts.unsw.edu.au/tsw/