The setup of the current economy is very efficient and effective. Unfortunately, what it is exceptional at is concentrating wealth into a decreasing number of hands, by extracting value in a myriad ways from the majority, reducing the ability to grow or causing retraction from the ground up, in order to create an ever-heightening peak. The spread of wealth is decreasing and as the base destabilizes, the peak will get precarious.
And that destabilization is already being felt in numerous ways economically and socially and it is going to become more pronounced the longer the system is in effect. The last year has seen a phenomenal increase in the growth of the peak and narrowing of the base, as governments globally have supported the wealth transfer through borrowing on the future and supporting those who already have, either directly or indirectly. The direct support is through bailouts and protections as well as tax reductions. The indirect is through the handouts that have been spent on consumption products that have a diminishing value over time, rather than a generative one.
While people are happy they got a new TV paid for "by the government" (tax money borrowed from the future), that TV cost 1/10th of the cost to manufacture and the majority of the difference went into the hands of a multinational conglomerate of some kind, one that doesn't likely come close to meeting its true tax obligations, which are already lower than that of the normal employee.
What people don't seem to realize when they bought that TV is that they are going to have to pay it back, plus interest, in the future. It wasn't free, the true cost just hasn't been realized yet. What has effectively happened is that the governments have given trillions of dollars out, knowing that with everyone trapped at home and local businesses shuttered, there are only a handful of places that wealth is going to be spent and with the way business works globally, it will pool in even fewer hands. What this means is that the governments can say "we did our best" to put money where it was needed, but in actual fact it was just a station stop on the way to the intended destination - the pockets of the super-wealthy.
But, it is also these kinds of processes that have caused some people to wake up to the situation and start transferring their own wealth. The difference is that rather than transferring into those centralized shitcoins of fiat, it is heading onto the tokenized blockchains of Bitcoin, Ethereum, NFTs and DeFi products. While it is just a trickle for now, the more wealth that moves over to blockchains, the greater the speed of destabilization of the traditional economy becomes, splitting the future building of business development across two economies, the old and the new, with the old still holding a great deal of old wealth, but the new offering capabilities unseen before and a maturing market of participants who have increasingly been muscled out of the benefits of the old.
Many young people today will increasingly struggle for economic availability in the old economy, they will not be able to get stable jobs and even if they do manage to fight the consumer urge, they will still not be able to collect enough to become owners, as the old guard have cemented their place and built walls of legislation and process to protect them.
Rather than fight to get over the walls, more will just abandon the castle of the old economy all together and this will result in a decreasing amount of new energy to come in at the foundation level and keep the towers standing. They will understand the game is rigged, so will transfer their wealth to a field of play where there is the opportunity for a more balanced game to take place - the blockchains, the tokenized economies and the rewarded activities that they find valuable for their lives, in a more distributive and sensitive way.
We are rapidly moving in the direction of both economic calamity and salvation simultaneously, we have a problem that is degrading the conditions and a solution that is improving them. If we are looking at most problems the world faces, we are actually in a pretty good situation, as there is a solution to our woes and it is even being adopted.
Just think about the decades it took to start thinking about the environment and how far behind we still are and then, look at how fast the process of economic replacement is happening. We are lightyears ahead and this is partially because we are leveraging past technologies, just using them in different ways. A phone is no longer a communication device, it is a computer and a hub for interaction and now - a bank, a value generator, a tool for granular investment at speed for anyone on earth. These types of technologies have been used for granular societal control, now they are being commandeered by the slaves to enable their financial freedom.
The change in wealth flows might seem insignificant at the moment in comparison, but it is much like a trickle of water that becomes a small stream under a heavily reinforced wall - the ground softens and gaps are created and at some point, the weight of the wall collapses on itself, as the foundation is no longer robust enough to maintain the weight.
While they might be rudimentary, all the tools to fundamentally improve the financial world and the societies it enables are available, it just needs more people to use them. The generations coming through the ranks now, have been conditioned to use them all from birth. Will they be economic wall breakers, or will they choose to continue to throw themselves against the stones, hoping for a different result than those who tried before them, becoming the very foundation that supports them?
Taraz
[ Gen1: Hive ]
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Lol...That little nutbag. Good picture.💜
She is pretty awesome in a tutu :)
I know someone else who was also. You know them too.
In fact, the whole living conditions have become very difficult these days
Regardless of taxes or whatever
But the trend for cryptocurrencies will create a new opportunity
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I think a lot of people are struggling and the struggle is moving up the ladder, capturing higher levels of the middleclass and reducing their opportunity.
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You make some really good points here. It actually has me thinking about the makings of another post that I might throw together in the next couple of days/hours. Isn't it funny how we seem to feed each others creative juices here on Leo. I guess that is what is so great about a community!
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For sure and if you can imagine what it would be like with millions of users - you would see new trends forming, pushed out from Hive communities.
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That would be pretty awesome!
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Blockchain will certainly take a generation to reach the mainstream, short of a web 2.0 calamity such as true nationalization (I just knocked on wood but not like it's not mostly nationalized already). The tools to fix the problems at hand are always at our fingertips. It's always like the Great Horse Manure crisis of 1894. Following your content.
It should be an interesting shift, especially since a lot of the activities that they will consider s having value, will not be the types of activities that those who on the economy value. There are people on Hive living off gaming already and while it is likely only suitable in some countries, it is an indication of what is to come.
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That was an excellent read. You make some very good points, especially about the latest generation. If anyone is going to embrace blockchain technologies it will be them. And they already are.
There is so much opportunity for people to get in early and not only own, but shape the future - I wish more would get involved.
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I think they will come and it is important that we all support them when they do, especially the new folks with under 100HP who produce quality content.
I try my best find some of these users every few days and support them. My ~700HP doesn't go far, but i am growing steadily the last few months and will continue to support them.
I remember what it was like starting with peanuts and working my way up.
Nice
A great read. If more and more people start using it we will see that how much people can benefit using it. Bde it is just a matter of time when we see the block chain boom.
When it starts moving, I think it is going to move so fast that it will catch a lot of early adopters off-guard.
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Sir. I like your posts very much. Every one of your posts is really great sir
Every one is awesome - you are right.
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But I do not see any new economy in hive. We can say same about wealthy accounts to become wealthier.
It's just a law of nature. All comunist regimes failed, because nobody wants to work for nothing, and those who work more and work harder and work longer (same in life) want to be able to get more.
When there is no work done, there is nothing of value created - do you expect everyone to be given value regardless of their activity? As someone who started from literally zero here, I think there is the potential for those willing to put in the effort and build a niche to benefit. Problem is, most people want results over the space of days or weeks, not years.
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Yep, we can say same about capitalist system. Those who put more efforts have better results.
Organizing work of others and taking responsibility of the results of work is more hard work than just work. Understanding people's needs, forecasting them, saving money instead of spending them in restaurants (having the capital)... all that makes the system where rich people become richer, and it should be like this, because this system provides all the world with better technologies, making our homes more comfortable, and our life more idle. This system let us to reach Mars and even other stars. Without capital sticking to capital we could still live in caves.
Is small enjoying the ballet classes? :D
Which I think is why most of them cba and sponge off their parents playing video games instead. If they can't imagine or been told there's other options (or even if they have been but can't get over the mental condition of crypto is obviously a scam and stuff like you need at least $10k for investing to be worthwhile) and the jobs they've been told they should be aiming at are hard to come by/don't exist anymore, what else is there to do?
The previous lot obviously weren't doing the same thing hard enough, you just havbe to do it harder and righter right ;D
People's are annoyed a little bit very early at every situation, blockchain and othet social media will may effect their life style.