17. The freedhom of the scalable intend. The 3rd globalisation of the individual, open source economics, the society of information, holographic direct democratic power and the meta-capitalism.

Traditionally when a businessman was starting to create his wealth , a major motive was to create a household wealth (at nano-economic scale) for him , his family and the people that he cared. This was done though the profit of his enterprise (a micro-economic financial organisation). As his enterprise was growing and getting better and larger, the upper limit of a possibly desirable wealth was surpassed and the surplus wealth was starting creating, that normally was used to create horizontal or vertical integration enterprises to the original. There could not be middle ground from the initially desirable household wealth to the developing of large wealth beyond dreams. This is so because an enterprise is something of interest to many people that work as employees, of interest to the customers that take the products or services , of interest to society in general and it has its own momentum of growth, that is not to be regulated from the household wealth interest of the owner. This was the case with the vast wealth of Andrew Carnegie, (the king of the American steel) , this is the case with Microsoft and Bill Gates and most other cases. So this was creating what we could call the non-scalable wealth. In other words the size of the wealth cannot be controlled and regulated. It is not greediness in the bad sense, it is unstoppable growth in the good sense. But with the global capital markets trading the situation is absolutely controllable and scalable: The wealth creator can stop at any size of desirable wealth, without hurting society at all. This can be called the scalable-wealth, and scalable intend. If only a small household wealth is desirable for freedom and easier life, then the successful trader can stop at the size he considers adequate, escaping any greediness in the bad sense. If he wishes to accumulate capital to create an enterprise for particular services or products of his interests he can do it. No doubt this requires higher management and public relations skills but he can do it if he wants to, and develops these skills. If furthermore he wants to accumulate capital for particular charities and benevolent funding in arts, sciences, and culture he can do it. Of course this is even more difficult. As Warren Buffet often says it is much easier to make money than to spend it wisely and in a really benevolent way in society. We summarise the above possibilities of wealth creation in all three scales: nano-economics (household), micro-economics (enterprise) and macro-economics (charity, etc) as the freedom of the scalable intend and holographic democratic  power.

The mature capitalism (or evolved capitalism) understands that the experience and effect on the individual and collective consciousness, of the money rules, are different at different social scales. The evolved capitalism combines some of the psychological advantages of an advanced unified society essentially without money, and the freedoms in the multiplicity on the levels of development of a classical capitalism. Money is understood in all its meanings like 1) liquid power to survive, 2) liquid power to produce products and services, 3) liquid power for public welfare based on the temperature of the activities in a society, 4) voting system for preferences in products and services , 5) rights to resources, 6) counting information of activities etc. And because of all the above functions and meanings in the evolved capitalism, it is resolved through the utilisation of information, in to may distinct roles and functions through information, voting, granted rights, laws and available resources. E.g. The survivable household money can be a birth right to every citizen, while the enterprise money something to gain etc. Relative size of public welfare economics and free private sector of enterprises should be regulated. A banking system based solely on the bank's profit and growth simply drives the financial system to more activities and not to better more intelligent and mutually benevolent types of activities. E.g. activities that restore the life to the planetary destroyed environment may have longer term positive effects back to humanity, that a short term profit based decision system, cannot grasp. Decision making of the use of bank's deposits in a banking system, should depend not only on voting by the employees and bank's decision makers but voting of the parliament and the public too. The quality not only the quantity of the services must be a motive.

I see 4 pillars of the meta-capitalism

1) At the household economy level: The society as a whole should provide as a birth right to every citizen the minimum survival economics. These include: a) Free of charge health care from childhood b) absolutely minimum money for food, cloths, shelter (and what it includes like water, electricity etc) and mobility. Although these are adequate for surviving they are not adequate for a  happy, or interesting , creative and successful life. For all the these the individual must work, but his decisions will not be based on the need for survival, that may crucify his talents, but on  his real potential for personal and social growth.

2) At the micro-economic scale: The enterprise must function as a miniature or holographic reflection of the domestic economy in its entirety. This is the real entity in power in the society: the direct democratic procedures plus individuals not only hierarchies of individuals. So voting and democratic procedures for hiring a new employee or promoting an existing should be included in the upper management proposals and decisions. Quite like in some advanced Universities that Professors go to the next level, after involvement of the students votes too, not only the higher rank professors proposals and votes. We may think of an enterprise as a living tree, where the seeds is the capital, the water from the  roots the input raw material, the sunshine the utilised expertise and science and the fruits the sold products. So the private sector would look like a living forest. (For the science of biomimics or biomimicry see e.g. http://www.ted.com/talks/lang/eng/janine_benyus_biomimicry_in_action.html  . And for the longest living organisms in nature see e.g. http://www.ted.com/talks/rachel_sussman_the_world_s_oldest_living_things.html ) What is most probably little known is that there are forest that are single living organism with a common root. Such forest are very resilient to destruction from fire, and other causes, because the roots are not destroyed and give rise to new trees. In fact there is such a forest of 43,000 poplar trees: Pando, Clonal Quaking Aspen in Utah of South America that is alive for 80,000 years! This may give as a corresponding idea of anew interplay of the public and private sector: The enterprises of the private sector being "clonal forest trees" of the public sector. In other words, that every enterprise has as shareholder from a minimum percentage to a maximum percentage (less than 50%) the state. So funds and human resources are immediately available for a new enterprise making it easier to start and survive. But in such a way that the participation of the state is indestructible in the case of bankruptcy. This is achieved by requiring that the funds of the state are put only to fixed assets that are not sold only renewed, and in the case of bankruptcy, cannot be claimed by the lenders. (a similar tactic is used e.g. for the fixed assets of the franchises of MacDonald's, except in the proposed  the nature and the procedures of the business of the enterprises need not to be the same). Furthermore the state participates also in the form of human capital, experienced employees that work for the enterprise with a minimum plafon of salary. Anything above the plafon, and any bonus, is up to the owner. In case of bankruptcy, they go to work in another enterprise. Such an organisation and regulation scheme makes the private sector more resilient, a better place to work, while the public sector is larger, and benefits with profits besides the taxes. Capitalism  is good in synthesizing societies with radical different levels of development in consciousness , abilities and standards of living. But it adds also in society an element of natural selection and jungle-survival war. And as all wars, as long as they are internal in society they are "civil wars". And all civil wars, weaken the civilization in outer brutal threats. So we should always question if capitalism although best in certain aspects is really the most efficient and safe as far as the totality of the planetary civilization is concerned.

 3) At the  macro-economic scale: The public sector and governmental and state employees should work much like the private sector. In other words with financial incentives and bonuses. As the pubic sector does not have profits the closest is the spending and costs Any employee or group of employees that takes the initiative to propose and implements a new procedure and function that has as results better or at least the same quality services, as before but with less cost will receive as bonus a percentage (e.g. 5% or 10%) of the saved money.

4) At the global macro-economic scale: The relative size of the private sector to the public sector, and the main directives of distribution of the global resources (with respect of private property) is a joint matter of public voting (e.g. though the Internet) and parliament or senate proposals. The same with the general outlines (but not the details) of the public budget. And the same with the main political and financial decisions of interaction with the planet's (or even extra-planetary) economies and societies.  In this way it will be possible to combine the speed and efficiency of the developments in the private sector, with  a rational will that may include biosphere's environmental protection and restoration and new directions in science, energy, education, transportation etc.

It is obvious to economists that capitalism is not the optimal activities and money distribution system. It is known that capitalism wastes much of energy and activities in vain. E.g. The optimal from a strictly financial point of view in production and consumption would be to have only one central production unit say for cloths, or for cars etc for the whole planet (without losing the variety of sizes and types of cloths and cars) , because this reduces drastically the fixed costs and creates higher operational and production leverage. In addition it is easily understood that money transactions put a lot of friction and inertia to the production and distribution procedures that reduce the efficiency of the system. Furthermore few strategic mistakes in the global administration of the flow of money by the banking system, or by the central monetary system, may lead to large financial crisis where many people may suffer for many years, while this is not really a deficiency of the manufacture technology, or of the biosphere , ecosystem or natural resources. It is a suffering that is almost created in an artficial way through our imaginary institution of the society by money. 

The reason that such central type of production or elimination of the complex financial system, cannot be applied for the moment (and also a basic reason that the soviet system failed) is that there is not an  appropriate representation of the situation, needs, will, possibilities etc of the global planet state inside the consciousness of the single individual, neither of the intermediate size governing institutions inside the consciousness of the single individual. In other words the vertical communication between different scales in the society suffers a lot. An improvement on that  would be parallel with a more mature and responsible consciousness of the individual, and of the individuals in the governing authorities, therefore of the governing authorities to the global population too. The growth of the internet helped much to improve this, and the voluntary offer of free surplus cognitive work from individuals and institutions for everybody is a sign of that. (Open source Economics) But there is a long road yet. Improvement on this direction is essentially the content of the Holographic Direct Democratic Power. Which for the time being is better known as the 3rd globalisation of the individual (see T. Friedman : "The world is flat" http://www.thomaslfriedman.com/bookshelf/the-world-is-flat) and as Open Source Economics (see http://blog.ted.com/2008/04/16/yochai_benkler_1/ ). 

The Holographic Direct  Democratic Power is to be contrasted with the Hierarchical Systems of Power where there is no direct democracy communication. The present mechanism of the system of money distribution and flow is not really the optimal, and  in the future large parts of this mechanism may be substituted with more efficient mechanisms that do not involve money but probably only information. So if we should try to keep in mind the future of the capitalism (meta-capitalism), we should try to introduce financial mechanisms and institutions in the present that will reduce the suffering in the consciousness of the individual from the deficiencies of the present financial and monetary system. 




Here are some guidelines for the internal macro-economics and finances  of communities and federation of communities. Compared to the current in the societies they are renormalized, without the known pathogenesis.We write having in mind the eco-communities, but unavoidably we also get our model from an alternative macro-economic structure in all the society. We write having in mind the eco-communities, but unavoidably we also get our model from an alternative macro-economic structure in all the society.

Before we proceed to the details we state here some philosophical-sociological-economic ideas on which the next rules are based.

1)    The economic structure is essentially a power structure from human to humans rather than from humans to the physical reality.

2)     In a distant future development of individuals and society, there would be no need of power structures, besides the individual and the society as a whole. Neither it would be necessary to utilize money at all. But this is not applicable in a current state of evolution, where many individuals have strong desire and will to apply power over other people (or have other people apply power to them). If in the current state of evolution an economic system would allow only the power of the individual and the public state, without any intermediate private sector, it would occur, totalitarian and tyrannical phenomena  similar to those in the communistic Soviet Union and China.

3)     It is therefore almost unavoidable that intermediate power structures (“private sector”) must keep the balance to avoid tyranny. The organization units of this intermediate structure are shaped because of a) the individuals strong desire of power over other people b) through the “free market” game of “private property” and c) after the social law of universal attraction, that leads to a Pareto distribution of  volumes of power.

4)     In the current system to regulate this “private sector” power structure can be done through two tools a) money b) voting. (Both are "technologies of transfer and propagation of rights of power from humans over other humans and objects", which create power structures. But the voting tool is a bit more advanced, it is used mainly by the public sector, as it involves principles, expression, etc versus mainly only action that money involves).

5)     In a future more advanced evolution the regulation and creation of "private sector" power structures, can be done entirely through the tool of voting, while money may have been entirely eliminated.

6)     A “private sector” with intense power (economic) inequalities creates unhappiness, crimes, and violence. Any improvement from the current state to more evolved would involve lessening the power (or economic) inequalities.

A. Morality renormalization at the scale of the individual and the household.1) Money is essentially destined to be exchanged with objects mainly, not so much with abstract intangible services, or other abstract values as "value of an enterprise" or "value of the whole of the community" etc. The more advanced the community , the more it will refrain from buying even human labor, as it is nothing else than soft-slavery. The human soul is involved in the human labor, and human existence in personal time. The abstract-use of money occurs not at the scale of household, but at the scale of enterprise (surplus wealth=capital=operational power, buy an enterprise) , domestic economy (buy.....a nation), and global economy (buy....the planet). The more advanced and uniform the community the less the use of money, the more the demonetisation. The abstract power of money (from the enterprise and above,surplus wealth=capital=operational power) may be substituted with the political power of voting. The more advanced the community, the more the economic interplay is shifted from win-lose or lose-win, to win-win or lose-lose. The more advanced the community, the less the financial differences.

2) There is a minimum household wealth that everyone has the right from birth till death. And there is a maximum household  wealth (which is also protected from any bankruptcy) . Any surplus wealth above the maximum household wealth, can be used for enterprises and business but not for the private household. Surplus wealth is  a weaker form of ownership compared to household wealth.

B. Monetary system macroeconomic renormalization
3) If the community or federation of communities is to issue  their own currency, then no private group can have this privilege other than the collective of the communities. There must be an reasonable frequent inventory of the objects of coins and paper-money, (not financial value) so that each time the communities "print" new money, to replenish from the diffusion to external social environment or for other reason (increase of the population of the community etc) ,  only a limited percentage of it can be lent (e.g. <  20%). The newly "printed" money is to circulate mainly  through investments, subsidies, payments etc. The above rules garantee that the currency will not be led to non-solvent over-debt by printing and lending 100% of the printed money by any private subgroup. The currency is issued by the community with the following rules: For each person it is printed every month 3 equal amounts of currency (A,A,A) e.g. if A=1,000, then  1,000+1,000+1,000=3,000. The first 1,000 it is for the unconditional monthly income for the person, the second 1,000 for the community, and the 3rd 1,000 for the environment and the rest of the world. Each year the currency loses 50% of its value ( about 5% monthly or 0.2% daily). We call this rule the gradido rule. The quantity A, can be defined by the formula  A=(a*W)/(3*20*P)  where W is the total wealth as assets of the public state, in current prices, a is the percentage of the assets that should be in money (liquity), e.g.a=20%-33%, and P is the total number of individuals in the society. The coeficient 20 , is set , as if all money are saved simple mathematics prove that with 50% annual decrease of the value of money, the accumulated money per individual is 20*A.  And the coefficient 3 is set, as money are issued in three amounts of A. The coefficient a and its adjustments, may be the object of political decisions.

3.1) There is a minimum size and a maximum size for a community that issues its own 

currency. The main reason is so as to avoid a big size difference from the wealth of each individual and the common wealth of the community, so as to avoid phenomena of totalitarianism as those in the ex Soviet Union.  This is also in accordance with the wisdom of the ancient Greek civilization, that considered cities not larger than a maximum size, as a basic feature of rational, balanced ensouled, and democratic civilization as contrasted to monstrous size cities, kingdoms, and steep Pareto distributions of wealth distribution that eventually create crime and violence. 

4) No classical banking business based on fractional reserve rules, is to occur with the currency of the communities. The only "banking business" intended (called here safe-keepers) is the historic initial role of the banks, in other words , individuals or groups may give their valuables and money, for safe keeping, and for this they must pay the safe-keepers reasonable fees. The safe-keepers do not have the right to lend any of the valuables that are deposited to them. The absence of the greedy banking  fractional reserve rule eliminates the classical instabilities of the financial system. As enterprises issue public-co-ownership (shares) and public-borrowing (bonds) the role of banks for public lending of enterprises is reduntant. The lending compared to investments is kept low (e.g. lending=0.25*investments) and it is always with zero interest rate. This guarantees that money circulates perpetually compatible with a sustainable permaculture, and not exponentially which is incompatible with natural recourses long term behaviour.   

C. Enterprise, microeconomic renormalization.

5) Enterprises in the communities may be shaped, but to avoid the classical psychological and financial alienation, the shareholders mainly are the employees of the enterprise, External share-owners may exist up to e.g. 20% of the equity, and have less rights compared to internal shareholders.

Even better if all enterprises are non-profit type of enterprises.

The liabilities of the enterprises are limited always to less than 25%.  The liabilities plus the external owners cannot be in total more than the 33% of the assets.

5.1) Enterprises are of 3 sizes. Small, Medium and Large.

For medium and large size enterprises, in order to avoid decisional domination of a small group of shareholders to the rest, a quantitative rule, prohibits of individuals having significantly larger percentages from the rest of the shareholders.  The above rules make sure that the legal owners of an enterprise are also the real financial owners of it, so alienation is avoided. For the medium and large size enterprise to function in a democratic way (like democratic state rather than a totalitarian oligarchic state) the decision of a manager to take a position must be a double confidence election : Both from the higher rank managers, and from the lower rank employees. 

For medium and large size enterprises, the decisions to elect a board is not taken through voting  only by the owners, but through voting with appropriate weights of all the stakeholders (much as is done the voting and elections in Universities) In other words, the owners, the employees, appropriate samples of suppliers, and customers, and agents of the public state vote too. 

If a medium size enterprise grows to a large size enterprise, then automatically,  shares from the private owners (prefered of week ownership not strong ownership, see 2)) are transferred to the public state, as a type of donation, so that the public state owns at least 51% of he shares.

5.2) The totall accumulative assets of the private sector, P, cannot become larger than m-times the total assest of the public state. Or converselly the public state cannot become less than a particular size compared to the private sector.

5.3) The enterprises have also the right to issue currency as the public state has. (Actually a public state service, does so for the enterprise). In this way they do not have borrow from the state, or individuals, and so the private sector is  in equal setting as the public sector. If A is the amount that the public state issues currency for each person in 3 amounts (A,A,A) , then the enterprise also issues every month for each person of the enterprise (employees, owners etc) three amounts (B,B,B) to be used respectively as 1) persons salary, b) enterprise needs c) the environment and the rest of the world. The formula for B is as the formula for A, in other words B=(a*We)/(3*20*Pe), where We is the total assets of the enterprise, a is the percentage of assets as cash, and Pe is the total number of employees,  owners etc of the enterprise.  All enterprises utilize the same coefficient a. This currency too which is identical with the currency issued by the public state, loses its value by 50% every year so that we have asymptotically stable amount of currency and no creeping inflation. With the above rule the amount of money depends both on the population size and the volume of good and services produced in the society, so it is a mixed monetary system.

These rules are intended to a) give sufficient liquidity of money to the enterprises so that they do not resort to borrowing, b) decrease the economic inequalities c) make sure that no  private sector enterprise becomes stronger than the public state.

D. Stock exchanges and "free market"  macroeconoic renormalization.

6) Stock-Exchange phenomena may occur between enterprises, but as the historic term signifies, they are for the purpose of creating stable portfolios of business for each enterprise. (exchange of inventories)

To protect this original intention the next rule applies: Each share (security) is bought or sold only at the fixed accounting value. This value never changes or fluctuates, Thus any one buying shares cannot lose , only not gain(he will buy them and a price and will sell them at the same prices). What is expected to gain is the dividend from the operational profits of the business. The above rules make sure that enterprises are open up to some degree to the public, but at the same time there is no risky game that makes the majority losers and a very small minority winners. 

E. Cross currencies exchange rates global renormalization.

7) If different communities issue different currencies within a federation , their relative cross exchange rates is always equal to 1. This rule avoids  unfair abrupt devaluations or overvaluations simply from a minor demand supply interplay, to the currencies of whole communities.

Final remark: The previous rules of renormalization, restrictive as may be, will have the effect to eliminate over-debt, economic bubbles, and instability. But they will not eliminate the economic inequalities, as this is the result of a) The "hunger" from people to have power and dominate other people, b)The existence of the game of private property c) a "free market" even restrictive as it is set-up as above. 

To set an example of a chorological estimation for the required time in global planetary evolution relevant not only to economics but also to all the principles and values in this Blog here is an example that covers all of the Aquarius Age of 2,000 years from 2,000 till 4,000 A.C.

2000-2300 A.D. Gradual resolution of the problems of overpopulation, ecological destruction, CO2 emissions and climate change, nutrition, tyranny brutal or subtle  and local wars. The economic systems is gradually renormalized to more human, wise and really better intentions and implementations. People  gradually get free from the hastily race and slavery for financial survival, which does not leave time and energy for inner and spiritual self-development. The challenge here for the earthly civilization, is resolve the above difficulties as fast and as smooth as possible, avoiding a great scale disaster during 2000-2400 A.D.

2300-2400 A.D. Final establishment of a Global Planetary Government which is elected by direct voting from all Nations and its members are not politicians of businessmen , but scientists, engineers and technocrats and humanitarian philanthropists. The money, the banking system , the enterprises, the stock exchanges and the monetary system as we know it do not exist anymore. Nevertheless a kind if vote-money is used and the private sector and National Governments are kept as a counter balance of the power of the Global Government so as not have totalitarian phenomena like than in the old Soviet Union. The private property in a limited way, still exists, the planetary resources are re-distributed, a minimal basic standard of living is established for free for all people. The publicly know and open contact and affiliations with other galactic or extra-galactic civilizations is in a common public awareness and subject to democratic voting. 

2400-2600 A.D The great challenge here for the earthly civilization from 2400 to 2600 A.D. is to avoid a global  totalitarian system similar or softer to the case of the old Soviet Union, or even worse a global tyranny e.g. through a crypto-piracy over the Global Government from evil powers. At the end of 2600 A.C. the private sectors and the national governments are almost of no importance anymore, people have acquired a planetary  consciousness  and the functions of the elected Global Government by direct voting, are increased, without the overall power structure  being a totalitarian system. 

2600-3400 A.D.  Although economic inequalities are almost non-existent there are still inequalities on the used level of technology. Science has an unprecedented evolution. New truths are discovered about the interior of the earth, and its history going back  millions and billions of years.  But the people are still in spiritually weak and sluggish and continue to count the success of their life with the utilization of material possessions and technology. 

3400-4,000 A.D. The individuals acquire and develop  an unprecedented powerful spiritual ability that could be called Hyper-vision or Hyper-Intuition , that allows them the contact with the “Major spiritual light”, and “The Direct Knowledge” and gives them an stunning ability for powerful intentional clarity and creativity. A new Golden Age of the Civilization. The members of the Global Government are not anymore scientists or engineers but  Universal Creators”. In other words the synthesis in the same person of the talents and qualities of a Philosopher , Scientist, Artist, Mystic etc. All in the society, not only the basics, are free, cloths, food, house, transportation, entertainment, scientific research, art-creativity , there is no private property, the people are essentially vegetarian in nutrition habits , there is no animal slavery or zoos  etc. Those future people would seem naive to us, very sensitive , non-pretentious and without cunning ulterior motives in their relations while at the same time of elevated awareness.There are no material inequalities in the civilization. The only inequalities are of reputation,  honour, and public appraisal. People work not more than the current equivalent of two years in their entire life, and do not count their life long  success with material possessions but with the inner and outer spiritual self-development.

Of  course the above is simple an example of global time evolution. Personal or small groups time evolution may be different. The human history is full of examples of famous spiritual personalities like Pythagoras, Plato, Newton etc that although where in the present in their contemporary civilization, their spirits were far in the future .