An alternative economic and political system

Starting from the concept of inequality, passing to the different interpretation of reality in North and South, in this piece a new economic and political system is explained.

Inequality is an old and worldwide phenomenon. There has been thought a lot about it by philosophers and economists like Marx, Rousseau and many others. A solution for it has never been found though. The writer of this piece thinks he has found a simple (all good things are simple) solution for this problem.

There seems to have come into being an 'intellectual vacuum' in relation to all comprehensive ideologies as well as economic alternatives. Perhaps that is even good: there is no 'all fitting formula'. The intellect is not sufficient to comprehend the total reality. Still it is good to think about it.

Above I said that inequality is a problem. It is, and it shows itself now clearly, as inequality causes conflicts. In my view these conflicts result partly from economic factors and partly from intercultural differences. Because of this, we can't solve the conflicts by only economic measures. We have to track down the basic misunderstanding between North and South. This is to be found, in my view, in the different interpreting of reality. In the North reality is interpreted normally in a material way; they 'quantify'. In the South there is more a tendency to interpret reality to the social, the spiritual; they 'qualify'.

If one doesn't understand this phenomenon and doesn't learn, in North-South contacts, of all kind, to take this into account, then probably one stays in the mistake: wrong ideas that evolve into mutual negative projection and so most probably, conflict.

If one first realizes that, then it is possible to think about an alternative economic system. More about it in the following:

For an economic system of equality and an 'economy of sufficient', everybody should pay to capacity. The idea is to install an income-depending price. At every arbitrary transaction the purchaser should deliver his/her balance (the amount of money that the person possesses). Starting from the balance the price is determined. With the present electronic possibilities, this should be possible (without someone else knowing your balance). For one income the price is then such, and for the other income so. Thus in this way everybody pays an income-related price. There will still be some difference though in purchasing-power, as an incentive. But with the same income-reality, everybody buys now more or less the same. Luxury goods are restricted. Also taxes will be paid to income. But, as said, on the whole, there will be some difference: someone with a higher income will pay relatively less, such that he/she has an advantage which he/she merits because of heavier, more responsible or more dangerous work. Of the amount that people with a high income pay (so the price of a product) relatively more tax is paid (of the relatively higher price). Shops (and so some individuals) still receive though high amounts of money from some wealthy customers. A part of this they will so have to remit to the government, to foresee in the expenditure of a social system, and other provisions, but in a way that they still have an advantage.

The stock-exchange system can be converted into a political institute: one can 'buy' stocks, but that is no money, but are ‘votes’ in politics. The effect is that people with more initiative, have more political influence and so more control over the management and the 'outlook' of the world. We get then what we can call an 'enlightened democracy'. There is a huge potential of skills and intellect among people that isn't used in the present moment. These people will be incented. Also it will be again the politics that rule the world, and not the enterprises (multinationals).

The same is applicable in an international context. Poor countries pay relatively less than rich countries: this will have a strong leveling power at an international level. The whole story is applicable to the whole world.

The division in two worlds, that of spirit and that of matter will also be solved: in the North there will be more spirit because of 'enough', in the South here will be more of the material side.

The cause of the conflicts is then taken away.

There are also social and psychological advantages of a less stressful world and a more 'relaxed' economy. Less pressure, less stress, less psychological problems in a society that is focused more on spiritual values.

Big enterprises with huge profits pay also more when they purchase products (raw materials) needed for the end products. How much revenue they get depends on how many wealthy clients buy their products, then these pay relatively much. Isn't that the case, then they become poorer, but then again they pay relatively less for their raw materials etc. This will make them inventive, as they have to see to get a high income for (even in this system) an advantage in money and so more buy capacity and at the same time more votes in politics. Third World countries will have more opportunities then now, as in this system, they pay less.

One pays in relation to income, there is no attention paid to the price-composition (subsidiaries, import levies etc. that compose the price). This to increase the equality. As a base we can take an average price in the world. For every product there must be calculated a base price. Starting from this base price a price that has to be paid is calculated depending on the salary. First everything has to be done within a country, and then from country to country. Everywhere where one goes, the price will be the same for a certain person, as it is calculated from a base price.

The golden standard is not needed, simply a moment in time has to be taken and the quantity of money of that moment is used and must stay the same. It only has to be adapted to birth and death numbers.

How are high incomes kept into being? Every time a person receives from a wealthy person, he/she has money to expend: the income-division stays but fluctuates, 'waves' through society. In this way there are always people with much money and as such can buy many 'stocks' (votes in politics).

By continuous initiative, there will be employment. There is much dynamic. People who are unable to work get an income from a social system, but to be unemployed is virtuallyimpossible. Everyone does always something. Voluntary work is actually a job (with the social assurance one can buy nearly as much as with an income, so one has to do something in return). There is expected that one does the work he likes and which is adequate. One will chose one’s education in this direction. Being unable to do work will be rare, as there will be less stress; less work and less matter (and so less pollution). But there must be space for exceptions, as for example, for disabled people.

All the products have about the same competitive power. Biological products are for instance nearly as expensive as non-biological products. There can take place a shift to biological agriculture, to more nature-friendly products in general. Mass production will stop. There has to be enough though. Is there in the whole world enough agricultural space and labor for extensive agriculture? (probably so, when not so much space is necessary for cattle, when people become vegetarian and when the world population decreases). Transport is a problem. Everybody pays to capacity for transport. Energy is another problem. Everybody pays for energy to capacity (sun energy is ‘free’). In the whole system there are no more extremely rich people.

Banks and the stock-exchange system aren’t needed anymore. There is at the moment of transition to the new system a certain amount of money and that amount stays the same, only the division will be different from now (as the rich pay more, the money goes automatically to the poor).

In this way, we see a combination of the two main economic systems: capitalism and socialism.

There will be only one currency. There comes into being one big, united, world economy.

The continuous flow of the economy, of growth, from a low economy (crisis) to a high economy will disappear, which will give more balance and rest.

As the factual differences between left and right are relative (at least in the Netherlands), it is better to speak of 'lifestyle'. A good lifestyle is the ecological one, the 'green'. The aim is to come in harmony with the nature and the earth again. Within this lifestyle there is much life: all kinds of concepts and ideas. Which ideas are realized depends on the votes of them who 'buy' these. There should be only green lifestyles (‘parties’ in the ‘old’ terminology).

With labor, one sells something too, being his/her labor. The incomes stay the same as now though. The leveling takes place with the purchase of goods.

The government keeps the same tasks. But there must take place an amendment of the constitution because of another economic system.

Not only wealth is of importance, self-realization is more important, in the sense of putting up something and (positive) influence unto society.

In an initial phase, green initiatives are promoted by giving them priority. In this way, the world becomes faster 'green'. So everything is aimed at a green world, the balancing of the world, with the nature and the earth. For this purpose there is needed a certain consciousness, that is coming up now. This economic system promotes an ongoing process of growth in consciousness.

To start, this system must be applied locally, this means that there will be various regions with an own character. Africa with Latin-America and certain parts of Asia could form one area. The western world and other parts of Asia another. This because presently the differences in the world are too big. Linking all parts too soon can give a shock, which is not wanted. When a Third World country suddenly can buy very cheaply in a western country, there will be unpredictable situations. Because of that it is better to work first with regional models. Locally there must then take place development, for local needs. This development can be supported by the west. The idea is that the poor areas get their own market and keep it. The west has enough by its own market. With this there shouldn't come into existence a situation as here, because that brings along non desired results (big cities with slum problematics). There can be taken steps then to a situation in which there is a fully open system and the 'spiritual qualities' of the South come here and the 'material qualities' from here to the South. It also has to go slowly, as a too fast development of the Third World can bring more pollution there. We must as the west export our environmental consciousness to the Third World. In that process (elements) from their own culture that are already related to a balance with nature, must be used. The knowledge of indigenous people is important.

It also has to go slowly as there has to take place a transition from 'production for growth' to a 'production of quality', this is a production in cooperation and in balance with nature and earth. When this occurs, the boundaries of the world can be opened because everywhere the developments occur in a responsible way and the negative effects of an economy which is (too much) focused on matter, disappear.

Technical knowledge and science must be used to restore the balance in the world. Spirituality is very important in connection to this.

Some difference in wealth will always exist though. It is part of the dynamics of life (yin and yang). Everyone though must be able to provide in his/her basic needs.

Some examples of the advantages of the system

Arms market. What would happen when countries would pay more or less the same for arms? Poor countries would be able to buy as many arms as rich countries. That would mean balance…which is peace!

Corruption, Drug traffic, Crime, Swindle etc. don’t work anymore as with more money one doesn’t buy more…Judges will have less work! So the system promotes sincerity.

Poverty and hunger eliminated, worldwide!

More education and better health provisions possible.

Is this truly (!) the realization of the principles of the French revolution: freedom, equality and brotherhood?

J.L. van de Sande

Master in Spanish and Spanish American Language and Literature