Getting to the Next Economy – Part 2

The May 8 post, Part 1 of Getting to the Next Economy ended with the question, “How are you moving to the Next Economy?” You should start answering that question by taking actions that take back as much of your life as possible from the large bureaucratic organizations.

Step 1: Take personal responsibility for as much as you can without breaking any laws.

  • Get out of debt (I have written much about being a debt slave )
  • Grow your own food and/or source as much of it as possible from locals. Know your farmer!
  • Take primary responsibility for the security of yourself and those you care about.
  • Manage your own health through reasonable exercise, good diet and other wellness programs.
  • Be happy and abundant. People like to be around cheerful people, it is contagious!  I will have a lot to say about abundance in July.
  • Keep educating yourself. Knowledge is expanding so fast that better ways to do almost everything are constantly being developed.

The large bureaucratic organizations of the Old Economy took over many of those duties in the Industrial Age in quite clever ways. They formed an interlocking web of “allied interests” that are mostly concerned with their well-being and keeping you dependent. Debt is the main tool they use.

They won’t leave quietly. Some of them don’t have the Vision to see change; others have too much invested in the old ways. The bigger the group, the stronger the inertia.

  • Corporations were created to provide limited liability to investors. Now they have succeeded in becoming “persons” in many places.
  • The Industrial Age was a time of “bigger is better” (in economics-speak this is “economy of scale”). That gave rise to large companies and continental-sized countries. The power of being big – economic, political and military worked extremely well until the Internet broke down the need for strong lines of command and control.
  • The myth of unlimited growth worked as long as cheap energy fueled that growth.
  • Large bureaucratic organizations have done a great job of controlling of resources through deception and force.
  • Crony capitalism interlocks the interests of big business and big government. Politicians get money from business and business gets the power of government to squash upstart competition.

Examples

1. Easy payment plans allow you to purchase big ticket items on time.  This creates a debt obligation with finance companies. You have to work to pay it off. It allows the manufacturers to charge higher prices because you only focus on the monthly payment. If you owe more than the item is worth, you are screwed – more so if it wears out before the debt is paid off.

2. Colleges charge such high prices that students now graduate with debt that takes years to pay off. These chains them to the “work force” for a long time before the worker can begin to save for retirement.

3. The fast food industry fills your stomach. Actually, it creates demand for subsidized sugar, high fructose corn syrup (read, agricultural corporations) and delivers low nutrition food to you which in turn causes issues like heart disease and diabetes. (This creates demand for many sectors of the health care industry like big pharma and business lines that cater to weight loss).

4. The industries described in the first three examples are highly regulated. The STATED reason is to protect you as a consumer.  The actual outcome is that only large bureaucratic organizations can afford to pay the costs of those regulations, develop the contacts to smoothly meet the reporting requirements of the regulators and buy the politicians that oversee the regulatory apparatus in the first place.

5. Health Insurance has added some faceless beaurocrat as a key decision maker in your health care. Questions of, “Do I need that?” have been replaced by, “How much does insurance pay for that?”

What steps are you taking to the Next Economy?


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