Thursday, October 18, 2012

Predictive Production

I am uncovering a forgotten (or maybe purposely hidden) way to organize production that:

1.) Returns consumers to the helm and delivers products at the real costs of production to those who will prepare.

2.) Treats a commitment to work as a cross-investment in the means of production for which the worker needs products.

3.) Collects profit from those who did not prepare and 'reflects' it back to them as co-ownership in more physical Sources to create more future copies of that product so control automatically flows to those who are willing to add value to others beyond real costs.

4.) Allows subgroups to arbitrarily secede from a tyrannical majority.

These simplifications are confusing because they "short circuit" and eliminate some transactions causing profit and wages and even some taxes to disappear.

1.) Product is the Investor's Return

Profit is eliminated when the product is not sold.

The Product is not sold when it is already the property of the consumer.

The owner of Sources is the owner of Products in that same amount.

Middle-income Consumers can afford to pre-pay for organic Products, 

2.) A Promise to work is a kind of Investment

Wages are eliminated when work is traded for the work of others before production begins.

A worker's promise-to-pay is just as much of an investment as when any other consumer invests plain-old-money.

Workers become co-owners just like all other investors when they promise work for that group or for any other group in the VIPM that is willing to trade those skills.

This also means we must have a minimum amount of "Horizontal Diversity" to meet all the variety of (at least basic) needs for every worker.

3.) Profit is the Payer's Investment

This means late-coming Consumers will overpay for Product as usual, but we will treat (at least some % of) that value as though it were an investment.

Surplus is sold to consumers with insufficient ownership, and profit is charged against them (the market sets the price), but we treat that overpayment as an investment from that consumer toward the purchase or build of even more Means of Production needed to create more instances of that Product typein the future.  This causes all consumers to incrementally gain co-ownership in the Means of Production for the products they need, and so also have the real insurance that property provides as future product.

4.) Any subgroup can secede for any reason

This is to solve the Tyranny of the Majority.

Subgroups of co-owners can sell their shares to others consumers (probably just put them "up for sale" which will cause the late-payers to blindly buy those shares as they pay Profit) or they can actually split the Means of Production in cases where the Means can be realistically divided.

For example, you can probably split a large dairy into two small dairies, but obviously you cannot feed one-half of a cow grain and avoid feeding grain to the other half.

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