The fundamental problem with the economy

The problem with the economy is simple. Workers are paid as little as possible to work as long and as hard as possible while goods and services cost as much as much as possible and are generally made as cheaply as possible and need to be repurchased as often as possible. As a result, the standard business model funnels all of society’s money up to the business owners’ bank accounts. That’s how and why the rich become as rich as possible while the poor become as poor as possible.

This makes life suck as much as possible for as many people as possible, and even though it looks like the economy is doing great when businesses are making money, what you’re really seeing is the economy eating itself alive, like a snake getting fat by eating its own tail. The more money the rich exploit from the poor the less money the majority of the population has to spend. The less people spend the more the economy slows down. The more it slows down the less jobs are needed and the higher the unemployment rate rises. The higher the unemployment rate rises the greater demand for jobs there are. The higher demand for jobs there are the less pay, less benefits and longer hours people are willing to accept just to get a pay check.

The inevitable conclusion of this tried-and-failed economic model is a civilization where the workers starve en mass while the rich wallow in luxury until resources have been so mismanaged that the system collapses. Collapse rarely ends with everyone dying though. Often the mismanaged civilization will plunder a weaker civilization for its resources, but that only delays the collapse. Sometimes the system is corrected by a peasant revolution. Sometimes a civilization with a better managed economy will take over the mismanaged managed one. Sometimes the excess poor will die or leave so that the meager resources allotted to the masses by the rich don’t have to stretch so far. Usually though, life simply drags on miserably for generation after generation of the desperate poor who have been raised on the lie that this is how the world works and if you don’t like it then you’re not grateful for what you’ve been given and you just need to shut up, man up, work harder and eat cheaper food.

The rarest and most fleeting scenario is the one where politicians peacefully and willfully pass laws that give workers fair claim to a share of the profits they produce and guarantee consumers a fair price on the goods and services they pay for so that as much money as possible is kept in circulation and as many people as possible live as securely and comfortably as possible. The reason this happens so rarely is because the rich always control their nation’s government either directly or by proxy. So they influence their governments to resist any legislation that threatens their smash-and-grab economic philosophy.

Even if a sane egalitarian politician could secure a term in a high level position of government they would be unlikely to successfully make any significant change since the system is already designed to be unfair and resist change. The only thing getting closer to the fire is likely to accomplish is getting burnt.

Violent revolutions have been tried before but have failed to produce long term change because they don’t fix the root problem. Here’s a maxim you can live by: If you have to resort to violence to fix a problem it’s because you don’t have a real solution.

Here’s a more realistic solution. Start businesses that have an equitable profit sharing pay scale and charges fair prices. The best workers will flock to those companies. Consumers will buy from them because their products are cheaper, and people will want to support them. As these companies grow they’ll put the slave-based companies out of business. Once the corrupt companies go bankrupt the corrupt people running them will go bankrupt and won’t have the resources to buy influence in government. Then intelligent, sane humanitarian politicians will have a better chance of making significant positive change in government as well.

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