The status quo action would be amusing if the repercussions weren’t so alarming.
Rather than gaze at empty racks, you have two alternatives for diversion: you can don a virtual-reality headset and cavort with dolphins in the metaverse, or you can trade numerous types of phantom wealth that always go up (pleased pleased!) since the Fed.
Neither distraction in fact fixes any real-world problems, a truth we can call the Vengeance of the Real Life We have actually entered a strange stage in American history in which impressions of wealth and control are the preferred interruptions from the unraveling of the real world economy and social order.
Printing trillions of currency systems can’t bring back the worldwide supply chain or social cohesion, Rather, jacking phantom wealth to the moon is only speeding up the collapse of the social order and the economy even as it achieves definitely nothing in regards to solving real-world issues.
Let’s start with the core economic realities of the 21st century:
1. The variety of high-consumption (“middle class”) individuals doubled from 1 billion to 2 billion. The human people has actually broadened to 7.9 billion people, however poor individuals who do not have enough cash to consume large amounts of energy, goods and services provided by the worldwide supply chain do not have much of an impact on worldwide usage of energy and resources. It’s the variety of people jetting around the world playing their part in the garbage dump economy (toss the old one, purchase a brand-new one) who drive “development” (i.e. waste is growth).
Strangely enough, there are real physical limitations to resources being transformed into junk being discarded in the garbage dumps. Mankind’s rapacious hunger for things has drawn out all the cheap-to-extract resources and now all that’s left are the increasingly expensive-to-extract resources.
2. Corporate America offshored the majority of the production of vital to exploit the low labor and energy costs, very little ecological requirements and currency arbitrage of abroad production. The net result has been an astonishing boost in business revenues.(see chart)
But a funny thing occurred on the way to Corporate Revenue Nirvana: America became depending on foreign supply chains. In essence we traded national security for business earnings. Now the real-world costs of that myopic greed are becoming apparent.
3. International supply chains have been optimized for inexpensive energy and cheap credit. This optimization stripped away all the buffers as a method of maximizing revenues. As soon as the system veered outside the narrow band of optimization, the entire system lost coherence and unwinded.
Now that the whole global supply chain has been optimized to take full advantage of profits as the expenditure of buffers, the buffers are too thin to save the system from collapse. (see chart) The entire reliance chain depends upon cheap energy (all those low-cost seats on wide-body airplane were supporting the air cargo beneath the passengers’ feet) and cheap credit, as consumers can’t buy enough with revenues to keep the device well-oiled.
And companies in the dependence chain require sufficient cheap credit to work, as lots of have receivables that extend over 90 days. Without low-cost credit, these companies would need to shut down.
The status quo action would be amusing if the consequences weren’t so alarming: we don’t need no stinking buffers! The supply chain for the land fill economy will be back up to complete speed any day now, or perhaps next year, but don’t you worry, the conveyor belt from China to big-box store to the garbage dump will be fully brought back.
In the meantime, cavort with dolphins in the metaverse and trade tokens of phantom wealth to amuse yourself. We’re depending on magic to put it all right, and if that does not work, then the real life’s vengeance will be something to see.
< img align ="center"src=" https://www.oftwominds.com/photos2018/buffer-collapse5-18.png "/ > If you discovered worth in this material, please join me in seeking solutions by ending up being a $1/month patron of my work through patreon.com.
My new book is offered! A Hacker’s Teleology: Sharing the Wealth of Our Diminishing Planet 20% and 15% discount rates (Kindle $7, print $17, audiobook now readily available $17.46)
Read excerpts of the book for free (PDF).
The Story Behind the Book and the Intro.
Current Videos/Podcasts:
Keiser Report|The Catastrophe of the Treadmill (25:30)
My current books:
A Hacker’s Teleology: Sharing the Wealth of Our Diminishing World (Kindle $8.95, print $20, audiobook $17.46) Check out the first section totally free (PDF).
Will You Be Richer or Poorer?: Revenue, Power, and AI in a Traumatized World
(Kindle $5, print $10, audiobook) Read the very first area for free (PDF).
Pathfinding our Fate: Avoiding the Final Fall of Our Democratic Republic ($5 (Kindle), $10 (print), ( audiobook): Read the very first section for free (PDF).
The Adventures of the Consulting Philosopher: The Disappearance of Drake $1.29 (Kindle), $8.95 (print); read the first chapters totally free (PDF)
Money and Work Unchained $6.95 (Kindle), $15 (print) Check out the very first area for free (PDF).
Become a $1/month customer of my work by means of patreon.com.
KEEP IN MIND: Contributions/subscriptions are acknowledged in the order got. Your name and email remain personal and will not be given to any other individual, business or firm.
|
Thank you, William J. ($54), for your splendidly generous contribution to this website– I am significantly honored by your support and readership. |
Thank you |
, Dennis S. ($5/month), for your marvelously generous pledge to this site– I am considerably honored by your support and readership. |
|
Thank you, Tom L. ($5/month), for your magnificently generous pledge to this website– I am considerably honored by your support and readership. |
Thank you |
, Dennis G. ($5/month), for your magnificently generous pledge to this website– I am greatly honored by your support and readership. |