Related: diary
Jan-30-2012: Our Fear of Abundance
Profit requires Scarcity.
And most Investors require Profit as Return for the risk they take.
So it would seem we *must* seek Scarcity - for how else could we repay our Investors?
...
There is a special group that could accept Product as the Return for their risk.
This special group already pays all the Costs of production anyway, AND they also pay Profit (Price above Cost) because they buy the Product late.
This special group are the people the Product is supposedly being made for, and yet they must continually beg the Owners to do the right thing.
And yet those owners really *cannot* do the right thing for the pleading Consumers because the Investors have conflicting goals.
...
So imagine a scenario where Consumers invest and co-own the Means of Production for their own, mutual benefit.
This is different from a traditional cooperative because the Product is not sold and so there is no chance for Price to be above Cost.
Profit is *UNDEFINED* when Product is ROI because there is no sale.
The final transaction does not occur because the Product is already in the hands of the person who will Consume it.
This short-circuit across the usual need for trade is a optimization in that the Product is "pre allocated" to the person who needs it so there is no need to buy or sell that Product since it is already in the hands of the person who will Consume it.
Governments cannot tax or interrogate the missing transaction. See http://Wikipedia.org/wiki/Imputed_rent for a subset of the issue.
Jan-28-2012: Production without Tokens
There is not rent or mortgage if we truly own.
That is easy to see for housing and rentables,
but can generalized to all Production we need.
For example, if you co-own a dairy, and accept
the Product as the Return on that Investment,
then no Tokens are passed because you own your
% of the milk *already* - even before it is
milked (you might say the (co-)owner of Sources
own the same % of all those potential Products.
Property allocated properly eliminates profit.
The end-User of any Product (good or service)
usually pays more than the Costs of production
(pays Profit) when buying the finished Product
because that end-User does not have Property
in the Sources of that Product.
Profit is the difference between the Price a
Consumer is willing to pay and the Costs the
Owners paid earlier in time.
Profit does not exist if the Product is not Sold.
There is no Sale if the Consumer Owns the Product.
The Owner of Sources is the Owner of the Product.
Consumers Own Products when they (co-)Own Sources.
Product is the Investor's Return.
For those who COMMIT Sources
For those who COMMIT Skills
The owner of Sources is the owner of Products.
We must Share Sources and we must Swap Skills.
When the User of an Objective (good or service)
(co-)Owns the Sources of those Objectives, and
if the Skills for those Objectives are secured,
Objectives are achieved without passing tokens.
Workers COMMIT future labor in return for what
we might call a "Basic Outcome" weighted by the
quantity and quality of work they COMMIT.
For example, a Dentist Office would be co-owned
by the users of that objective (the customers).
Any Dentist that wanted to COMMIT their services
to that group would 'apply' or 'try-out' for
those users.
choose to cross-COMMIT
Jan-25-2012: Two Strategies to Reduce Token-Passing within a Closed-Loop Production Arena
PREREQUISITES:
1.) Funding to purchase the Physical Sources required for the minimum complexity.
Eliminate Rent and Mortgage/Interest:
Purchase land, water-rights, seeds, animals and tools without debt.
Eliminate Property Tax:
Incorporate as a Non-Profit to avoid Property Tax in many places.
Eliminate Worker Bills:
Eliminate Worker Wages:
Eliminate Sales/Advertising:
Eliminate Work:
Jan-18-2012: Features of the new Production Model:
. Users Share Sources and Swap Skills.
. Members pay early, and so do not buy products but own them already because of their co-owning the Sources.
.
Jan-18-2012: Went to California for Christmas and New-Year. My resolution is to do all the preparation needed to start business in this GNU way.