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Economics is defined as the study of unlimited wants chasing after limited goods and services. The problem of economics is how to allocate scarce goods amongst these almost infinite wants. This is accomplished by the use of money.

Currency is an asset created in units that are multiples of itself to represent an almost infinite range of values. The use of money facilitates the exchange of goods and services. But this statement holds true only so long as there is money available.

Money allows us to quantify the value of what we are buying or selling instead of having to relate it to some other good or service as is done in direct barter. The downside to money is that even if we have assets these do not help - we need money before we can buy. If we have no money we cannot, in an economic sense register our Demand or economic need. The market has no foresight it sees everything in hindsight. A person who buys a bungalow registers a Demand for bungalows but the person that does not buy any form of housing has no voice in the housing market. But even in this case the market only sees that a bungalow was Demanded in the economic sense of the word, it tells the business person nothing about the future. Future projections are always guesses made on the basis of past events.

A weakness in the economic development strategies the world uses is that it works from a causalist perspective. Idealists pur ends before the means they try and control events because they wish to acheive a particular goal or result. Idealists do not see giving people choices as a positive course of action because anything other than the fulfillment of their ambition and ideal is seen as chaos. Anarchy is not veiwed as being an opportunity for self-government and cooperation but as disorganization. Idealists do not wish to be dependent on the need for cooperation because it allows others to have the opportunity to take a different path than that envisaged by the idealist. Idealists tend to envison systems in which control is so effective that choice has been eliminated and the outcome has becomes predictable; predicated on the imputs provided by the Idealist.

If people are not buying goods and services businesses are not given an incentative to expand production and hire more workers. As we know it is the worker who is the active consumer. In a very real sense the worker has to exist before the consumer exists but economic development has trouble creating workers when the Demand is not already in place.

Demand exists in exchanges because the money the Exchange uses is created by the Demand for goods and services. Our money is the measure of the Demand created not a seperate entity.

Governance in an Exchange is part of the Exchange. Exchanges do not use supervision or political oversight in the way the world understands it. It is a market  that allows goods and services to be bought and sold without the limits imposed by currency shortages and debt.

 

 

 

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