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Political Memes @lemmy.world

Don't be fooled

231 comments
  • I think some in this thread do not fully realize what some of the inherent problems of capitalism are and how they relate to this issue.

    In a capitalist economy resources and labour are generally allocated in a way that maximizes profit. Profit is determined based on the prices of things and prices are determined by the exchange value of those things. That often results in the price of something being way higher than what it cost to make it. One result of this is that capitalist economies allocate enormous amount of resources and labour to things that don't have any beneficial value to society. For example, some of the most skilled labour in America is tasked with figuring out how to get as many people as possible to spend as much time as possible looking at anger-inducing content on their phones. This isn't contributing in any meaningful, positive way to solving society's known, difficult long term problems, like ageing population. In fact it likely does the opposite.

    In contrast, a socialist economy allocates resources and labour according to society's needs, which are determined by some mix of economic planning and limited market dynamics. Prices of things are determined through these processes and generally represent how much labour goes into them. As a result, keeping people angry wouldn't get many skilled engineers allocated to. Instead these people's labour would for example be employed in automating the shit out of the vital sectors for society's long term well-being. Like automation in agriculture, healthcare and elder care. And then since labour isn't allocated or paid on the basis of profit, the socialist economy can keep labour employed in sectors where proven automation already exists and gradually ramp up automation as they retire. Alternatively it could let people retire earlier, or have them do other work if they want to, like community service, or art, or R&D, or childcare, etc. As a result a socialist economy has a better ability to sustain itself with less labour while taking care of its elderly, without enduring crises.

    Worse, a capitalist economy has to go through the real material changes, actually allocating labour and resources, producing the things it would produce with its current configuration in order for it to figure out what to change and what to do next. Thus we're faced with the horror of all these bad decisions that we currently see basically locked-in and consuming vast resources and labour until they become unprofitable or resources or labour are exhausted. Which means we're very likely to run into crises before the system adjusts to the new realities of diminished labour force. And then we'd likely (as we already are) rush into solving that by importing labour, which is going to get us into social instability due to racism, and we know how that goes. There are plenty current examples to go around. Meanwhile an economy that can do planning can model ahead of time what different future economic configurations would look like, make projections, choose a desired one and have resources and labour allocated on solutions today, thus increase the chances of avoiding acute socioeconomic crises or minimize their scale.

    I hope this helps understanding the premise.

    And for today's misallocation of resources in capitalism I give you - https://sh.itjust.works/comment/18820691.

    • In contrast, a socialist economy allocates resources and labour according to society's needs, which are determined by some mix of economic planning and limited market dynamics.

      The only problem being, that while nice in theory, socialist economies never actually did that in practice. Since humanity has never figured out, how to actually do economic planning in some centralized or semi-centralized way without being very inefficient and corrupt. I used to think AI could do that one day, but I guess that was too optimistic...

      It's easy to see capitalism is terrible. It's hard to see a better system, that could replace it.

      • I don't think that's true.

        Central planning ran the USSR and its satellites for some 40-70 years. They didn't even have computes for the majority of this period and many of these economies experienced high rates of growth. If I remember correctly, the USSR speedran economic development so that the GDP per cap of the USSR increased 10 times between the beginning and the end of the experiment. The US grew about 3 times during the same period while being the main world hegemon, profiting from the vast majority of the world. Of course there were problems, like the famines in the 30s, but they didn't repeat post-WWII. It's not like capitalism hasn't caused famines around the world either. So despite the standard criticism, I don't think planning did poorly overall.

        China is also demonstrating how long term central economic planning allows to build an economy efficiently, with a long term focus and avoiding most crises capitalist economies experience on regular basis. They're clearly leading in development of solutions to climate change in a way that is above and beyond any other economy, in solar, wind, battery and EV production. Just earlier this month we saw their emissions fall despite higher electricity usage for the first time. And they're powering a lot of everyone else's renewables transition. Then on the ageing front, they're already doing a lot of manufacturing automation. I read they're also doing farming automation now. Apparently DJI's other job is spraying fleets for example. I don't know much about healthcare and elder care but I imagine they're either working on reducing labour needs or planning on it. So yeah, while we're afraid of automation because we know we'll be left jobless and/or deskilled by the capital owners (even if it eventually leads to a crisis), them socialist fkers don't have that problem. The more they automate, the less population they need to maintain and grow their standard living, the cheaper they can manufacture what they make, the easier the ageing population problem becomes. Given how many universities they're opening each year, growing the highly skilled research labour share, I think they're only going to accelerate these trends.

        One more thing about planning - the largest capitalist corporations that deal with actual physical production and large supply chains already do the type of planning that's been done in past and present socialist states. In fact it's probably larger and more complex than some whole countries. A common example is Walmart. You'll find little market forces within its operation. In fact companies like this, that have complex enough products and/or supply chains do everything they can to isolate themselves from the free market in order to decrease uncertainty, therefore increase the likelihood of successfully producing and delivering the product, and of course maximize their profits. If you consider how every major sector of the economy is getting consolidated through competition into a monopoly or oligopoly, and similar economic planning process goes on in most of those, you could perhaps see how capitalism itself trends towards central planning. Of course for profit maximization and not social benefit.

      • Since humanity has never figured out, how to actually do economic planning in some centralized or semi-centralized way without being very inefficient and corrupt. I used to think AI could do that one day, but I guess that was too optimistic…

        You nationalize Walmart.

        The big national retailers already operate as central planners.

    • Wish I could upvote your comment more than once. Clear as it can be. 👌🏼

      • I tried making it as concise as possible while preserving the main bits needed to follow the logical arguments and using as little jargon as possible. I'm glad you appreciate it! ☺️

  • It usually always translates to "We really need more poor and working class labor so pump out more wage slaves." We could be a way better society if we move past enriching billionaires and the rich.

  • It's a crisis for who will support you in your old age. Capitalism or no capitalism, if you want to keep eating after you stop working, either you store enough literal food in your barn, or somebody else works so you eat.

    Traditionally, that's family: your children. Capital/investments/savings, or socialised care, spreads that around the State a bit more (or round the local or global community). But when there are few children and many adults, later there are few working people and many retirees wanting to enjoy life - and you're one of the retirees.

    It's a "problem for capitalism" because so many people have invested in capitalism for their retirement, and that could be upended. And because actually-small investments were made, on the basis that constant economic growth means lots will be returned when the time comes.

    But it's a "problem for humanity" - all the people who don't have children to care for them and rely on money and financial investments - which both just represent a stake in someone else's work - for the future.


    I've written myself into a corner a bit here. Few working adults to many retirees is always going to be difficult, no matter your economic/political system. But logically from my, simplified, argument, the last two paragraphs beckon a third. To recap,

    1. Retirement funds: a stake in "Capitalism", to provide for your retirement based on broad economic growth
    2. Money: a stake in the total economy, to provide from people's work. Then:
    3. A stake in the community, based on being a member of the community. E.g. a citizen - then this is socialism. If there are enough working adults - or bread in the barn - to provide for all the elderly, then all the elderly (you included) are provided for, regardless of whether they have children or saved money or made investments.

    But still, if there isn't enough for everyone, everyone suffers. And it's rare to find a community that really wants to care for its elders well, putting in the effort for them rather than people spending on themselves, without outsourcing to 'capitalism' and economic growth.

  • What do we do about the coming unemployment crisis?

    If AI replaces a lot of workers, we'll have too many people in the country. There is no healthy way to rapidly decrease the number of people in the country. A good leader thinks ahead and people stop having kids before the unemployment crisis fully hits.

    • If AI replaces a lot of workers, we’ll have too many people in the country.

      Unless you're in China or India, you can look at those two countries to see just how high population can get without destroying a country. Literally in the billions. The bigger problem is how the country organises, not just the number of people. I'm guessing you can look outside for a few minutes or hours and notice plenty of jobs which could use people doing them, the problem is our political-economic system forces people to do what's profitable, instead of what actually needs to be done. And when the people with enough money to employ people (i.e. to decide what work we do) are stingy parasites, we get this mass unemployment. In fact, some of that unemployment is intentional.

      But, with all that said, you're absolutely correct that we also need to consider the current situation and cope with that, and that a good government needs to try and manage that. And they're not.

  • Humans are the most overabundant resource on the planet...if capitalism actually functioned, the system wouldn't incentivize creating more.

    But the current economic system isn't even true capitalism...it's optimized wage enslavement paired with a caste system. Keeping labor pools well stocked depresses the value of replacing individual units...all they're figuring out now is how best to trim maintenance costs.

231 comments