The Path to A Future: Politicians!

Politics has become a dirty word, and politicians the definition of an untrustworthy profession. It’s not hard to see why, from blatant corruption to obvious incompetence the world is littered with good reasons to distrust anyone linked with politics.

Yet everywhere we still yearn for effective action, and nowhere more so than in the political arena. We don’t envy anyone the job; either because it is dangerous, or futile, or thankless, or all of those.

Being the chosen representative of your peers in the affairs of state should be an honorable and respectable position, a job that our best and brightest aspire to hold. We need to make being a politician a respected role, if we are to attract the quality leadership that we will need to guide us down The Path.

A politician is a representative of the people, selected to provide executive leadership of the government apparatus and civilian leadership of our societies. This is one of the most important roles that anyone can serve in our society. We not only want, we really need people of character, ability and integrity to provide leadership for our societies in this time.

If we are going to make being a politician a truly meaningful job that garners the best candidates from our constituency, and which commands our respect and trust, what do we expect that job to look like?

Here are some elements of what a political job description should include:

  • First and foremost, it has to be a position that allows the holder to get things done, to change what has to be changed and align the priorities of the government with the needs of the people. A politician has to have sufficient power and freedom to make decisions, and hold the civil service responsible for enacting those decisions.
  • They need the support of a legal framework that describes the extent and the limits of their authority clearly, so that they can be held responsible for that which they are responsible for, and not for what they’re not. A framework that also frees citizens to be responsible for their own actions, as partners in the process.
  • We want politicians to be dealmakers, but not consummate dealmakers. We want people who can put a manifesto in front of the electorate, and then go and get it done. Preferably with the support of as many as possible, but where a majority is a mandate.
  • They need to be paid well. Well enough to be comfortable, and well enough to make holding the job a reasonable prospect compared to other leadership positions in a constituency. Well enough to want to hold on to the job without other income or taking bribes, but not so well that they can afford to pay bribes!

In summary, a politician should be a leader, with the weight of their popular support behind their executive decisionmaking, operating in a clear and supporting legal framework, with sufficient pay and administrative support to allow them to focus on being the best representative of their peers that they can be.

Creating that is going to mean changing the political system. These changes are entirely possible in a democracy, and you quite probably live in one. They just require that you, the voter, demand them.

Let’s look at some of the attributes of a political system that will attract the kind of candidates that you would be proud to call your representative. Below are some of the facets of such a system, the kind of super-democracy discussed earlier in this book and laid out in detail in the Standards of LIFE.

Representative Mandate

In a super-democracy, a representative actually has the decision-making power of the voters that support them. A representative who wins 60% of the vote can get things done without the support of another who won 10% of the vote. At the same time, our representatives need to represent us in all our dimensions and diversity. To resolve these two requirements we need an assembly for each constituency in which all voters in a constituency vote for the same slate of candidates, and the elected representatives vote in their assembly with the weight of the share of the vote they received.

For instance, in a state election, everyone in the state votes for the exact same candidates; no subdivisions, no geographic areas and no sub-constituencies. One constituency and one list of candidates that everyone votes from. When all the votes are added up, the candidates with the most votes occupy the available seats in the assembly. But when the assembly votes, each representative votes with the full weight of the number of voters that supported them in the election.

Framework

Politics has to operate within a legal framework where the rule of law is paramount. The law protects the people and describes the limits of the power of the politicians. Part of this framework is a requirement for transparency, which is essential to restraining corruption and keeping the citizenry informed. This is what a constitution is for.

Aspects of a helpful constitution include:

  • A legal structure that accords each layer of government with the authority for their particular constituency. Power needs to originate close to the voter in local government, and only be promoted to regional and state layers by choice. This system allows for differences and provides harmonization. It uses a legal system called Variable Law, which allows for the promotion, and retrieval, of aspects of law between layers of government.
  • Election to office must be open to all citizens who wish to be candidates, and must provide equal access to mass media for all of them.
  • No presidents, no upper chambers or lower houses. Just one assembly for each constituency, full of elected representatives voting with the power of their direct electoral support.
  • No term limits: if someone’s good at their job and retains the trust of their peers and wants to carry on, they should be able to. (Obviously subject to fair-access election system, see above.)
  • No constitutional recognition of political parties. People are free to organize, join and support parties, but individuals are elected irrespective and independent of their party affiliations.
  • The assembly needs to be the highest authority in the land, under the Constitution. All civil and military services must report to, and be subservient to, the assembly. All management positions of those services that report directly to the assembly should serve at the will of the assembly, who may appoint replacements as they see fit.
  • Public funding of mass media access for campaigning to control the influence of money on elections and politicians.
  • No funds from outside the constituency or corporations.

Compensation

  • All representatives should be equally compensated and their pay should be proportional to the income of their constituency – something between 5 and 10 times the average income of their constituents would be about right. This links the personal interests of the politician directly to the interest of the majority of their constituents.
  • Administrative support and expense should be provided to each representative. It is in everyone’s interest that they are well-informed, able to order research and provided sufficient support that allows them to focus on the decisions.

A political system built on these principles, and working within this kind of framework, would be a lot more responsive and responsible to its voters, and would attract candidates who have the desire and ability to effect change.

If we can couple these changes to the job description for a politician with election campaign funding reform, will lay the foundation for the quality decision making that is so vital to our progress through the difficult times ahead.

Not only can we make politics a clean word again, we must. The changes we need to make to our societies and economies require quality leadership in our democratic systems. We need systemic change, and that means changing our system of representation.


A full description of how “super-democracy” is structured can be found at: http://www.StandardsofLIFE.org/Representation.
The full text of the current LIFE Constitutional template can be found at: http://www.StandardsofLIFE.org/Constitutional+Template.

Part 17 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

LIFE SPAN – 2011.08.20 – Europe’s Future

Special edition of LIFESPAN : A LIFE Plan for Europe.

LIFE SPAN 2011.08.20 – Europe’s Future

Situational Policy Analysis & News from LIFE

Situation – Debts and Dangers

Like the rest of the industrial world, the only way forward for Europe is to “grow” its economy, otherwise it cannot sustain repayment of its debts. Those debts in the short past are national debts, that were inherited in the medium past from profligate banks and governments, and in the long past belong to everyone in Europe because in the aggregate everyone was supping at the same table and gave their permission to those that sat at the head of the table.

While the discussions now are centered around the €uro as a currency and how to prevent individual countries inside the €urozone from going bankrupt; the real, underlying, critically important issue is how to foster growth. By “growth” what is meant is an increase in the economic activity that creates wealth, because if the interest on what you owe is greater than your rate of wealth-growth (which it is in pretty much every European country) you can never get out of debt.

All of these currency and growth issues are exacerbated by the fact that today’s practice of the European social model in not yet fully mature (see Policy below for the mature model) and so the European countries are continuing to rack up more debt every year!

If your situation looks like this (which it does in pretty much every European country), you’re in serious trouble:

  • Debts are already > 80% of your annual output
  • Interest on your debts is > 2.5%
  • Growth is < 2%
  • Annual additional borrowing is > 5%

But what comes next is the REALLY dangerous stage for Europe. This is not a prediction of what will happen, but it is a picture of what could happen if we don’t work to change course soon:

  1. In order to stave off the collapse of regional economies that would result from the failure of the Euro currency: the larger, more export-orientated countries will have to assume responsibility for the debts of all EU countries.
  2. Ironically, because the EU was not built on firm democratic ground there will be political backlash across the continent against a political class making fundamental decisions about what Europe looks like and works like, without gaining the support of their citizens for such moves. The “leaders” making the decisions lack the legitimacy of pan-European democratic representation.
  3. Despite the best attempts of Europe, America and China to maintain the financial world order, they will fail to achieve sufficient growth to make the system financially sustainable; never mind the fact that they aren’t even focussed on making it socially sustainable.
  4. European politics will polarize and degenerate to reactionary stances with insular perspectives, all the while sucking on the teat of petro-energy and destroying each other and the planet.

The situation is serious and dangerous. Serious because without growth in demand, there cannot be growth in the economies; and without economic growth pretty much every nation’s debts are unserviceable and, therefore, so is the entire world financial system. Dangerous because the collapse of the world economic order will result in conflict, and distract everyone from the urgent task of reaching sustainable balance. If we don’t want the middle of the 21st C to look like the middle of the 20th C, bathed in the added stench of climate rot, we need to come to grips with the situation we are in, and devise a path out of here that serves our most civilized intentions. The European model MUST succeed, and show the rest of the world the path away from conflict, towards sustainable prosperity – this is Europe’s responsibility and opportunity.

Policy – The LIFE Plan for Europe

The LIFE plan to get us from where we are now to where we want to be, consists of three major milestones:

  1. Re-establish the proposal for “Europe”, with a clearly laid out structure and schedule that leads to voluntarily unified social, political, fiscal and monetary union(s).
  2. Stabilize the short term, by defining the intermediate status of the currency, the nation states and all debts.
  3. Initiate the rapid re-democratization of regions and nations on the continent with the goal of being able to have pan-continental elections of voluntarily associated states within 7 years.

This ambitious plan is substantially more achievable than you might at first imagine. The nation states that make up the vast bulk of the European content already have well established democratic systems that allow their populations to make informed choices, so they can all reasonably conduct their normal democratic schedules and elect representation that can express their desires for or against specific unifications with other nation states, and do so within the given timeframe.

The dire need to stabilize the current situation makes a clear annunciation of intention in everyone’s interests, including all of the bond holders. The proposal is not complicated, it is simply that: the communities, regions and states that comprise the continent of Europe will freely choose their association, and in so doing create one or more transterritorial, integrated socio-political-fiscal entities which will in turn assume the assets and debts ascribed to them under the constitution, Section 1.

In the meantime, all existing bonds will be guaranteed in full and attract interest at their current rate or 2.5%, whichever is lower. Any bonds falling due between now and 7 years will be automatically rolled over for 5 years from their date of maturity. This protects the interests of the bond holders while removing the Sword of Damocles from the existing sovereign states.

The proposal for “Europe” shall be the creation of one or more Transterritories, each comprised of no less than 3 States, each of which shall be comprised of no less than 3 Regions. A skeleton Constitution will be universally adopted at the outset to provide the framework for the formation of the new, freely-associated memberships. Upon the election of each transterritorial Assembly, that Assembly will be at liberty to amend their constitution according to the wishes of their citizens.

Crucially the new Europe will be based on a new citizen contract in which the social welfare model is transformed into a wellfair model that provides comprehensive and universal social services, instead of the cash grant system in place today. That every citizen is endowed with access to basic services that support life and opportunity is maintained, but that such support is a mutual gift provided to the extent that it is affordable for all. This maturation of the empathic social model resolves the fundamental unsustainability of the cash welfare system by absorbing the hygiene portion of labour costs into the society and liberating the commercial economy to deliver on its full potential.

The growth that will make the inherited debt burdens sustainable will come from the unleashing of the latent microeconomic potential that industrial capitalism stifles. This large engine of wealth is obscured by the immature practice of both economic and social policy that is the norm in current European societies. It will require effort and diligence for Europeans to meet their obligations, but it is most definitely an achievable task within the standard timeframe for sovereign debt (i.e. 20 to 30 years). And at the same time that Europe is proving that it understands responsibility, it will also be proving that sustainability is achievable.

Analysis – A Light for the LIFE of the World

Change is not an option, it is a requirement. The truth is that the situation in Europe is not merely a circumstance that provides an opportunity for change, it is the eventual destination of all societies with immature social and economic systems. The confusion at the root of the industrial economic model and the arrogance of early democratic models means that they were fatally flawed from the outset. They were never capable of being permanent structures for a sustainable world, and yet we have persisted in their agenda beyond the end of their useful remit. Now we must face our responsibility to refine and develop our social and economic structures, to advance them beyond the visions of our ancestors, to fashion human civilization that honors, justifies and respects the influence over all life on Earth that the development of our species has imbued in us.

The achievement of a civilized and peaceful resolution of Europe’s problems, through the creation of freely-associated populations, working peacefully together for our mutual prosperity, while laying a sustainable foundation for our societies and our economies, will provide a shining beacon of light to the whole world that progression out of the darkness of conflict and the misery of crony industrial capitalism is not only dreamable, but is also practical. The whole world looks to Europe to show what they know is possible, and the people of Europe are ready to meet the challenge and shoulder the responsibility of demonstrating that sustainable peace and prosperity are the inalienable rights of all.

All of the great civilizations that proceeded Europe have enjoyed extended periods of peace and prosperity, some lasting for 100s of years. Europe has not competed a single century in the last 2,000 years that wasn’t defined by conflict and war. The modern world is a cake largely baked by Europeans, and now it is time to complete the process and ice the cake. Talk of Europe’s fading relevance and ossification are but excuses, it is plain to see that people in the rest of the world look to Europe to prove that the model they are adopting can be made to work.

News – LIFE Party launching in the UK in 2012, and the rest of Europe in 201… ?

Starting next year the LIFE Party will launch in the UK to run for the 2015 General Election. We can start LIFE Parties in every European democracy during 2012 to bring responsive politics to every corner of the continent that is the cradle of democracy. To make that a reality and be part bringing sustainable prosperity to your part of the world, send an email to start@lifeparty.org and we will help you get started with tools, frameworks and campaigns.

This the third issue of the newsletter from LIFE: Situational Policy Analysis and News (SPAN). LIFE SPAN is published online and provides more in-depth coverage of situations at the forefront of public policy at the current time.

To keep information flowing we encourage you to sign up for direct delivery of LIFE SPAN to your mailbox, so that any disruptions in the availability of Facebook, the blog site or the web wiki site do not affect your ability to get the latest news and updates from LIFE. Just subscribe to this website, you can always unsubscribe at a later date if you want to. We will never share your email with any other organization.

The Path to A Future: Economics 001

The economy, and implicitly the development of wealth, is a core issue that too often suffocates the debate about our options for change. Many of us come to the table with assumptions about the relationship between wealth and prosperity. We need to reevaluate these assumptions if we are to develop solutions to our problems. In this section we will revisit the basic constructs of economics and wealth creation, to make sure we are operating from a realistic and accurate foundation when we formulate the framework for our economies.

The typical policy debate today is about the balance between the social ills of the free market, and economic ills of a state-controlled economy. This suggests a built-in assumption that we must compromise our social security to let markets be free.

Why is that true? Why is it that market freedom is a function of social insecurity? What is it about economic theory that stipulates a need for the population to be prepared to pay a piece of their personal freedom, in order to get to a piece of the market freedom pie? The conventional answer to this is that the labor force needs an incentive to work, and that sometimes the appropriate incentive is survival. Apparently, without the threat of destitution, people will not take the jobs on offer in a free market!

Which leads to the next question: why would a free market create work that only those threatened with starvation would want to perform?

Oh I see, a free market doesn’t necessarily create undesirable jobs, it’s just that the free market rewards low cost, and low cost means work and reward conditions that only the potentially destitute would agree to work in.

Right?

This cyclical assumption that low cost requires undesirable work, which demands an insecure workforce, is fairly deeply embedded in our current cultural psychology, especially in the West. In fact it isn’t really challenged, because it is so widely held and so subtly integrated.

As I will show, the opposite is actually true. Secure populations, working voluntarily in jobs of their choosing, is the most productive economic model available. The “market” is not a policy model, it’s only a mechanism; it is no more an economic, or political, model than the explosion in a cylinder is a car.

Our desired outcome is prosperity. That is the destination everyone understands we are aiming for; everything else is just a means of achieving prosperity. The free market is not the destination, any more than collective bargaining is. So the first link to unhinge in our minds is that the “free market” is what we need. Keep your eyes on the prize: prosperity.

The “market” is a set of mechanisms that naturally directs resources to meet needs. While its principles are simple, in operation it accommodates a bewildering array of inputs, influences and outcomes. It’s like our brains: we know the principles on which they work, but that doesn’t mean we know how to work them.

Cost is a significant input to market mechanisms. When all else is equal, cost drives decisions to the most efficient outcome; that is the raison d’être of the market. But we should note that, almost always, cost is the last criteria in the decision tree; the item has to be fit for purpose first, and affordable second.

What about trade? Within a given market, does the locality need to be the lowest cost producer of the good or service? If trade is possible the answer is no, because if equal and lower cost items are available through trade, then trade will fill the need. Unless… unless the item is so vital to the survival of the population or the basic functioning of the society, that a breakdown of trade, for any reason, would be a strategic threat to everyone. There are certain items that are so strategically important that higher cost is not a barrier to local production, and the market must necessarily be modified in order to accommodate the higher priced, locally secured items.

This leads us to an important place on our journey and we would do well to stop and clearly annunciate our conclusions:

  • The market is a great system for almost everything.
  • The market is not an appropriate mechanism for the most important things.

Whoa! How did we get here? I’m a freemarket capitalist and I’ve been around for a while so I know a thing or two about the world I live in, and this doesn’t sound right at all! I’m going to have to go back and read those last few pages again. You’ve used some crazy commie logic to trap me into believing that the free market won’t solve these problems. Wait here while I reread.

Okay, back again. Well, um, I can’t see where I could disagree. It’s not like it’s complicated, right? There’s just some stuff in the world that’s too important to outsource. I can see that.

Thanks.

Now the other news: if there is no strategic imperative, there’s no reason to interfere in markets. This is where some get caught up in a different false linkage: they think that we can intervene in markets to make them produce social welfare and justice. In fact, the basic social welfare of our societies is not an output of markets. Markets do not have “well-being” as an output in any of their functional logic. Markets efficiently direct resources to fill the needs of consumers, that is all they do. The welfare of society and our quality of life have to be outputs of human endeavor, they are a function of choice. We do not have to choose the common good or a high quality of life, and we certainly won’t get either if we wait for markets to deliver them.

Let’s be fair to markets while we’re here: they don’t know how to benefit society, and it’s extremely unfair to ask them to do so. Markets, especially those catalyzed by modern banking systems, are good at creating wealth; but wealth is not the same as prosperity. Prosperity is a mixture of wealth, peace and freedom that delivers a high standard of life. So if we want prosperity, we have to mix the output of markets, with the output of our choices to promote peace and freedom.

When we can clearly see these distinctions, and the properly differentiated roles for economics and politics, we can formulate more coherent policies that are more likely to deliver our intended outcomes.

Economic policy should concern itself with:

  • the maintenance of markets
  • the management of the monetary system
  • the administration of strategic resources

Political and social policy should focus on:

  • the cessation of hostilities
  • the protection of liberty
  • the general welfare of society

Let’s look at each of these policy areas in turn, so that we may more clearly demarcate their boundaries. Once we have separated them in our minds, we will be better able to act in the right places to produce our desired results.

Economic Policy

The maintenance of markets involves trying to ensure that they function as freely as possible by correcting naturally occurring defects as much as is possible. The two most common defects in market function are the imperfect distribution of information and the exclusion of external costs.

  • Making as much information as possible available to consumers, with the lowest barriers to acquisition, is the best we can hope for; you can take a consumer to information, but you can’t make them know.
  • External costs, “externalities” in official parlance, are those costs that can be directly attributed to the lifecycle of a product or service, but for which there is no one to demand payment during that lifecycle. Nature is a good example of a non-payment-demanding party to many transactions. When these externalities are recognized, the proper maintenance of market function requires that these costs are imposed on behalf of the non-paymentdemanders, usually in the form of some kind of tax, duty or other loading of the item’s cost profile.

The management of the monetary system is primarily about preserving the value of the currency. Given that there is no real basis of tangible value in a modern currency unit, it is important that the quantity of money in circulation be managed in line with the output of the economy. Furthermore it is essential that the banking system charged with the care of private deposits, debts and equity be regulated for stability. Modern economies based on monetary systems require a trusted banking function in order to operate, and so the maintenance of that system’s stability is paramount. (Banking is entirely different than investment management, which is not really a banking function at all, and should be kept separate from banking. In fact, the term ‘investment bank’ should be abolished.)

The third leg of economic policy is the administration of strategic resources. As discussed earlier, there are resources that are so important to the sustenance of a society that trade cannot be relied on for their procurement and distribution. These resources must be identified and their supply purposefully managed, such that their availability is as guaranteed as it is possible to achieve. Chief amongst these resources are shelter, food, healthcare, education, transport, energy, information and the legal infrastructure of democracy (the same services that form super-security). In most situations only a subset of the total market for each of these resources is strategic, and only that subset need be the subject of public policy. For example, the availability of clean drinking water is a matter for public policy but this does not need to extend to the bottled water market. Similarly the provisioning of primary health care as a public service, does not preclude the availability of specialized procedures in the private market.

Those are the elements of economic policy and maybe you’ve noticed certain absences that you might normally expect to be part of contemporary policy portfolios. Before going further, let’s do a quick review of the complementary political policies that accompany our economic policies, to shed some light on those absences.

Political Policy

We have said already that political policy should concern itself with the establishment of peace, the protection of freedom and the provision of welfare. As regards the economy, the establishment of peace and the rule of law are precursors to enterprise and trade. The freedom of the people is necessary for proper market function, the development of business and the fostering of innovation. Indeed, the freedom to choose and the freedom to fail are essential to the fluidity and effectiveness of market mechanisms.

The provision of public welfare is commonly understood to be the primary function of government, but the policy framework to deliver effective results has eluded most, if not all, to date. Public welfare policy has been colored by our history and has yet to free itself from the shackles of our legacy perspective. During the last century or so we have developed levels of efficiency and productivity that have created the capacity to provide universal welfare. The capability of the population to sustain itself, without reliance on the grandesse of a ruling elite or the magnanimity of magnates, means that we can truly deliver the bare necessities of life to all, at a reasonable cost to all.

The cost of universal shelter, sustenance, healthcare, education, transport, information and democratic freedom is about one third of the total output of modern economies. That’s right, for about 30 cents on the dollar we can afford basic housing, a healthy diet, primary health care, reasonable education, local public transport and universal digital information access for everyone. Not everyone is going to want or need every service, but if they did, we can afford to provide them today; with the same tax rates we are already paying.

So why aren’t we doing it? The primary reason goes back to the starting premise of this section: the idea that the provision of such welfare would fatally undermine the economy, the very system that produces the wealth that makes it all possible. And we’re back to the same logic we questioned at the start. Do we believe that the motivation to work, to innovate and to be more productive will disappear if we aren’t afraid of starving to death in the gutter? This is not reality. It misunderstands human nature, and the meaning of “welfare”.

Human nature is full of aspiration; that is what has driven our development over time. Once we have filled our bellies we desire taste; once we have rested we desire comfort; once we have seen color we desire lights and once we are satisfied we wish to contribute. The religions of the world are the ultimate examples of our capacity for aspiration, far beyond the mundane practicalities of life. Providing a roof, a bed and a bowl of soup does not satisfy the aspirations of anyone. Would it satisfy you? Wouldn’t you still want to see a movie, eat some chocolate or wear different clothes? Perhaps you’d rather own a mountain bike, become a photographer or grow some vegetables? To believe that providing the bare necessities of life to someone will blunt their motivation and dull their aspirations, is to negate what you know about yourself. It’s simply not a reality, not of anyone, anywhere.

So what should public “welfare” policy actually provide? The policy should aim to satisfy a basic, mutual social contract between neighbors: that no matter what fortune befalls you, you will have the bare necessities of life, and as much opportunity to make the most of your life as can be afforded. Viewed in this light, welfare policy is not a benefit that anyone is entitled to, it is a service delivered to the best of their neighbor’s ability.

Public welfare policy is really about delivering personal security and opportunity. As such it does not involve the transfer of payments, instead it delivers services that fulfill the social contract. Housing is made available to provide secure shelter, food sufficient to maintain health and medical services as can be afforded for all. Think of them as services, not dependent on the largess of some individual or group, but provided universally, as a birth right of citizenship. No cash, no luxuries and only what can be universally afforded from a reasonable tax.

Now start to imagine the impact of such a public welfare system on the economic system. No need for a minimum wage. Everyone has their basic sustenance taken care of, so they are free to provide or pay for labor at whatever rate they choose. On almost every level required for a flourishing market economy the situation is improved: workforce mobility, propensity for risk, innovation capacity, skills development, productivity, confidence and satisfaction. The implementation of universal personal security will have a dramatically beneficial impact on economic output, at the same time that it enables “low cost” production.

Because delivering universal services frees labor to be priced according to its marginal value added, the “cost” of labor throughout the economy is significantly reduced, especially at the lower skill levels. This in turn, has the knock on effect of reducing the nominal cost of delivering the universal services themselves, because a high proportion of the cost of delivering those services is labor related. In effect, providing universal services reduces the cost of delivering those same services.

A fundamental and progressive effect of universal personal security will be the stimulation and expansion of micro-enterprise. Freed from the pursuit of mere survival, the population will be able to use their more unique skills and interests to create micro-services and products that meet the needs of very small markets. This micro-economy has the ability to boost general satisfaction by allowing specific needs to be met more directly, at the same time that it further enhances the economy by dramatically increasing transaction volumes and efficiency. Child care that allows bicycle repair, that saves resources, that are diverted to power buses, that get people to work faster, that allows more family time. The feedback loops that reinforce the productivity, efficiency and diversity of the economy are endless. Additionally, as more needs are satisfied more directly by micro-suppliers, the dependence on mass production and long-distance transport is lessened, the resilience of local economies is strengthened and production becomes more environmentally sustainable.

Conclusion

When we can separate and distinguish between economic and political policy, we can make effective choices that will lead to the prosperity we desire. We don’t need an economic policy that creates jobs, we need a political policy that allows jobs to be created. We don’t need economic policies that encumber businesses with social responsibility; we need political policies that deliver real social security.

For our economy we need economic policies, and for our welfare we need political policies; each, unto their own. Far from economic growth resulting in social ills, or social growth resulting in economic ills; economic and social growth are mutually enhancing. Delivering universal social security will not erode productivity, it will enhance it. Unfettered markets will not drive social well-being into the ground, they will lift it up.

If we can just uncouple our unfounded assumptions about the relationship between enterprise and welfare for long enough to see again with clear eyes, based on what we know about ourselves, we can pave a Path to prosperity for all.


Part 17 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

LIFE SPAN – 2011.08.10 – Fire, Riots & Remedies

LIFE SPAN 2011.08.10

Situational Policy Analysis & News from LIFE

Subscribe at lifespan@standardsoflife.org


Situation – No Growth without Fire

The industrial world is trapped, surrounded by a ring of fire. The only way forward for them is to “grow their economies”, but they are finding that they cannot grow. They cannot grow for two reasons, a double ‘liquidity’ trap:

  • Their economies are based on oil, and every time it looks like growth might be picking up, the price of that liquid shoots up and sucks the gas out of the engine, so to (s)peak.
  • There is insufficient ‘demand’ (i.e. people can’t afford to, or won’t, buy).

Today’s industrial economies everywhere are hydro-carbon economies: they are reliant for the majority of their power on oil, gas or coal (except France at 78% nuclear – see SPAN 2011.05.01). The supply of these non-renewable resources is constrained and possibly dwindling, so whenever the expectation is that industrial economies will grow the price of these energy resources goes up, the higher the expectations are for growth the higher the price of the energy. Basically we are in a trap, the cost of growing is too high and any wealth generated by growth is syphoned off to the sellers of oil, gas and coal.

Demand growth is non-existent because wealth-creating production has been separated from wealth-spending consumption. Production is now located in economies that cannot afford to consume the output, and the proposed consumers are located in economies that are no longer producing sufficient wealth because the production has been relocated to somewhere where people can afford to consume even less. This is true of Germany, USA and just about every other industrial “economy”. So, on top of the heavy debt burden that people (aka “consumers”) in the developed nations have assumed, their means of wealth generation has been removed.

There are two options proffered by the old, left of center traditions: increase government spending and borrowing to increase aggregate demand, and increase the supply of money so that money is so cheap it will be worth investing in almost anything rather than have it lying idle. Both of these have been tried in the current situation and both are failing. Governments and people are already so debt laden than they cannot borrow any more without reaching evidently beyond their capacity to repay, so they cannot spend any more without raising taxes, meaning that they would not be increasing aggregate demand. The second option of increasing the money supply has already been done as much as it possibly can be, and now central banks are tapped out and in a ‘liquidity trap’ (where printing more money does nothing, and interest rates cannot be lowered because they are already at 0%).

The situation is terminal. Without growth in demand, there cannot be growth in the economies; and without economic growth pretty much every nation’s debts are unserviceable and, therefore, so is the entire world financial system. This is a serious situation: for the last 100+ years we have been investing the security of our civilizations in the development of an internationally and intercontinentally accepted trading system (aka ‘finance’). We need a way out of this before too many people notice the emperor has no clothes, otherwise our common advances in civilization will be set back by more than a few riots. This is not to say that we should save the bankers, far from it! But we can transition peacefully to sustainable prosperity, if we decide to – it takes more work and greater courage than sitting back and watching it all burn down, but that’s what being civilized is all about.

Policy – Fighting Fire with Water

There are two ways to grow without running straight into the fire:

  • Unleash the internal markets in our local and regional communities.
  • Decarbonize our infrastructure.

Deliberate policies focused on these two objectives will deliver wealth-producing growth in the economies and societies that have the foresight to enact them. And the industrial societies are best placed to engage in them.

The water that will nourish our local communities is symbolized by water itself: water is a natural resource that everyone recognizes as being the free entitlement of everyone else, to procure in sufficient quantity to sustain their life. Through this easy example we reveal to ourselves that we all believe that everyone else has the right to the bare necessities of life. Now if we take that insight as a principle, we can easy develop a social structure that embodies it as policy, and in so doing we unleash the natural microeconomic potential of our societies to generate wealth. There is no such thing as unemployment, there is only wasted time.

The most urgent task in front of us is also where we will be able to generate the greatest wealth: developing and modernizing the infrastructures on which our civilization stands. We have much work to do to simply achieve the basics of clean water for everyone and renewable energy for all; these two endeavors will keep a generation busy in productive work.

But both of these simple turns require that we deliberately develop policies in our societies that make them a priority and a reality. That means having governments aligned with them, and that means electing representatives who will ensure they are the priorities. Are you waiting for someone?

Analysis – A Bonfire of the Polities

The riots in London, the student protests in Chile, the drug wars in the Americas, the uprisings in the Middle East and the protests in China all point to the same chasm separating the ruling polities and the politics of the people. Even in the most established democracies we have disjointed the interests of the ruling classes and the interests of everyone else. To see the politicians consistently and continuously act against the interests of the great majority of the people they purport to represent, you’d think that they’d have to lie to get elected!

Here’s a sampling is widely held opinions in the populaces of today’s industrial ‘democracies’ that the elected politicians don’t seem be able to bring themselves to enact:

  • we shouldn’t be imprisoning people for taking drugs
  • better quality education needs to be more widely available and more accessible by all
  • nuclear power is just too dangerous and too badly managed to be better bet than renewables
  • we need to do big things to decarbonize our infrastructures now
  • the banks should be working for the people, not the other way around
  • banks that go bust, should go bust
  • there should be more social services universally available, especially medical care
  • more local control
  • more responsive, accessible and accountable politicians
  • no wars, no arms trading, no nuclear weapons
  • more freedom and better information

There is a basic disconnect between the people and their politicians, and lot of that has to do with scale – the world’s population has multiplied many times over and we are still using the same government structures we were 100 years ago. Without multilayered democratic structures we cannot have accountable representation.
Fixing the disconnect is going to mean making big changes to the way we organize ourselves and our politics, so we have to be prepared to make big changes. We are going to have give up on our “not as bad as the other guy” voting, we are going to have to accept that we are all in this together and we are going to have to grow into our full responsibility for each other and the planet that homes us. Many of our tired attachments will have to go onto the bonfire if we are to escape the backdraft. Burn, baby, burn! It’s OK, it wasn’t working any way… time to try something new.

News – LIFE Party launching in the UK in 2012

Starting next year the LIFE Party will launch in the UK to run for the 2015 General Election – to win! We will be looking for strong local candidates to stand in every constituency on a LIFE Party ticket to bring responsive politics to every corner of the land that is the grandmother of democracy. To be part of the movement that will bring sustainable prosperity to the UK and then the rest of the world, send an email to uk@lifeparty.org and we will keep you informed of developments as they happen.

This the second issue of the newsletter from LIFE: Situational Policy Analysis and News (SPAN). LIFE SPAN is published online and provides more in-depth coverage of situations at the forefront of public policy at the current time.

To keep information flowing we encourage you to sign up for direct delivery of LIFE SPAN to your mailbox, so that any disruptions in the availability of Facebook, the blog site or the web wiki site do not affect your ability to get the latest news and updates from LIFE. Just send an email to lifespan@standardsoflife.org and we will add your email address to the distribution list, you can always do the same to unsubscribe at a later date if you want to. We will never share your email with any other organization.

A Brief History of TEA

Total Economic Awareness (TEA) is used in this article to describe a philosophical framework, adopted by many people today, in which every activity is perceived as being of monetary value. It is not entirely new, King Midas had a touch of it, but it has never been so broadly adopted as it is now that it has become a defining feature of industrial capitalism. It is worth understanding a little about the evolution and development of TEA so that we can perceive it more accurately, and determine where it has infected otherwise functional systems.

TEA is essentially a completely commercial view of the world, encompassing both living things and inanimate objects. It is the “business” view of life, a mindset that sees everything as tradable and therefore worth something that can be traded for something else. In theory there is nothing wrong with this, and it is used in the theoretical study of economics; in practice, most traditions and religions warn against its adoption as a singular focus, or its use as an exclusive lens for life.

In the pre-capitalist world there were always some who adopted a TEA mindset, and they became the bankers and traders of their time and place. But their actions were always a minority of total activity, and they existing inside a wider context of other frameworks that had greater standing in their society, like religion and culture. It has only been in the last 50 years or so that TEA became such a widely adopted world view, and that is has become the definition of culture in certain societies; so much so that people refer to themselves as living is a “capitalist society” in which economics has come to define the culture they live in. This increase has been spurred in recent decades by the adoption of fiat currencies, which have allowed so many more people to avail themselves of greater wealth. The early industrialists and oil men at the turn of the previous century adopted TEA as a brazenly deliberate approach to life, developing grand plans for their businesses in which people were simply units of resource, borrowing the dislocated condescension of the aristocracy that preceded them. They set an example of grand achievement by developing huge industrial empires and amassing great fortunes without regard to the toll extracted from the ‘resources’ they used. The damage caused by their activities was obscured by dramatic advances in production and technology, and by their industrial contributions to war efforts.

In the middle of the 20th Century, as fiat currencies replaced gold standards, the example set by the early industrialists was adopted more and more broadly by the populations of the industrialized countries, encouraged by the innate desire for competitive advantage and the apparent absence of consequences. The early TEA adopters never had to acknowledge the real support provided by their societies, which constrained their excesses and caught the fallout that they ignored. So long as the purely commercial world remained a minority of all activity and was constrained to its own sphere, the TEA mindset of a minority could not destabilize the society.
But the untrammeled pursuit of advantage through wealth has a limit, and that limit is defined by the size of the consequences that it ignores (i.e. the extent to which it is exploitative). If 20% of the consequences are unaccounted for, then 80% is the maximum TEA penetration that a society can tolerate; if 50% of the consequences are ignored, then 50% is the maximum. But the theoretical maximum TEA penetration into a society has to be modified by the amount of social support that is present by default, without any commercial activity, and that is, at a minimum, 20%, rising to 50% as the prosperity of a society increases.

The formula for determining the maximum penetration that a society can tolerate is:
Population – Default Social Need – (TEA Penetration x Exploitation Factor)
Assuming that TEA activity has a 20% exploitation factor, then the maximum penetration is 65% is an underdeveloped society with a 20% default social need
100 – 20 – (TEA Penetration x 20%) = 80-20% = 65
and 40% in a developed society with a 50% default social need
100 – 50 – (TEA Penetration x 20%) = 50-20% = 40

The absence of fiat currency in pre-industrial economies meant that TEA penetration never reached much above 10% or 20% and could easily be tolerated, even if the exploitation factor was greater than 100%. If exploitation factors reached up into the 300%-1000% range (slavery) then those activities had to be exported to remote lands (colonies) so as not to destabilize the domestic society. The domestically sanitized presentation of the wealth acquired from TEA exploitation abroad gave it a legitimacy, and allowed the domestic audience to focus more on the benefits of the greater prosperity than on the costs of the fallout from the exploitation.
The introduction of fiat currencies effectively removed most of the barriers to broad adoption of TEA and so the only limit on its growth became the tolerance capacity of the society. The concurrence of increased access to wealth resulting from fiat capitalism and the growing dependent demography, caused by increased life expectancy and greater education requirements, created a collision course between the penetration of TEA and the maximum tolerable penetration rate for TEA. It became a race for individuals to adopt TEA (commonly known as the “growth of the middle class”) before the social tolerance level was reached, meaning the point at which there would be no more room on board that bus.

Constraining the exploitation factor allows TEA to penetrate society at closer to its maximum percentage, and in the beginning of broad TEA penetration this was an almost universally adopted convention – manifested in “a growing middle class with strong labour unions and safer workplaces”. But, as the maximum potential TEA penetration approached, it didn’t take a rocket scientist to figure out that even if exploitation was reduced to zero there still wasn’t room on the bus for much more than 50% of the total population of a modern society. So some people adopted the ultimate TEA rationale, which was to increase the exploitation factor by exploiting those running to get on the bus. If there wasn’t going to be enough wealth to give everyone comparative advantage, then you’d may as well stop playing by even the most basic social rules and adopt TEA as a total philosophy, in which those who didn’t grasp the finite nature of TEA should rightly be the victims of it themselves. This final and terminal stage of TEA is where we are today, in which a small minority of TEA adherents have callously figured out that their own advantage is best acquired through the maximization of exploitation. This maximization is achieved through the deliberate obscuring of the exploitation’s effects at the same time as the cynical promotion of TEA. Examples of this terminal TEA include denying climate science while promoting consumer credit to boost wasteful product consumption, and complete destruction of Appalachian communities to produce climate destroying coal.

An alternative to TEA is here.

The Path to A Future: The Great Gamble

We, as a species, are engaged in the greatest gamble of our brief existence. The outcome will affect all of us, but not everyone has a place at the table nor is everyone playing with the same hand.

The gamble we are taking is embodied in two questions. Questions we have to answer if we are to consider ourselves masters of our own destiny.

  • Do we need to change the fundamental structures of our societies and our economies to avoid catastrophe?
  • If we do, when do we need to start making those changes?

The easiest answer to both questions is that we do not have to make any fundamental changes, that peace and prosperity will be ours without changing anything very much. This answer demands the least from us and would seem to have the least impact on us, assuming the answer is the correct one.

For the majority of this world’s inhabitants, that answer would be inconceivable. Most people can see their environment changing, their water being polluted or disappearing, their crops yielding less, their opportunities diminishing and their freedom out of reach. They do not live in peace and prosperity today, and they know that something’s got to change fundamentally if they or their children are going to have any chance of either peace or prosperity.

If you live in peace and prosperity today, you probably live in the “developed” world or are a member of the ruling elite of any nation. If this describes you, then you are sitting at the table and you are taking the gamble; you are a card player. As the lucky recipient of peace and prosperity today, you have the greatest stake in and influence over everyone’s peace and prosperity. Your fate, your peace and your prosperity are the bets on the table, and you are doing the gambling.

If your answer is that nothing substantial needs to change, then doing nothing is a bet that will pay off. But if fundamental change is necessary to protect your peace and prosperity, and if the necessary changes are going to take a few decades to effect, then doing nothing today is a very poor strategy. The risks of being wrong go up every day, as the odds of being able to make the changes in time go down.

“Doing nothing” encompasses a range of different positions and actions, all of which are the equivalent of doing nothing, because they waste time not making changes.

Doing nothing includes trying to prop up or resurrect the status quo; it may feel like action and it may look like action, but it isn’t making the necessary changes; so it’s the same as doing nothing.

Fatalistic abstinence is doing nothing. Deciding that nothing can be changed is a self-fulfilling prophecy. It is a failure to be here now, to live in the place that you exist in. You’ll never know if action could have changed things if you don’t act. Predicting dire futures that are rescued by the indeterminate resurrection of some amorphous possibility may be a satisfying justification for inaction, but it is still doing nothing.

Doing nothing includes going about your day doing lots of things, being busy and accomplishing the goals you have set yourself. But if you don’t change anything, if you don’t see a need for change or aren’t supporting change, then you are doing nothing too.

In the face of mounting evidence that something needs to change, doing nothing, in all its guises, is supported by two arguments: we can do something later, and doing something now will be just as deleterious as doing nothing. These arguments are only relevant if you’re on top of the heap today, a card player sitting at the table.

The risk of leaving change for tomorrow is that you need to have an accurate notion of how long it will take for changes to take effect, and of how much time is available. If it takes longer to make the changes, or if the time available is shorter than you expect, it will be too late. So if your bet is that change can be forestalled, then you better have a really good grasp of how long it will take to implement the changes required, and how long you’ve got to complete them in. Your risks are compounded by the fact that neither of these variables are really knowable with any degree of certainty. Fundamental changes to the world’s societies could take decades to complete, and there’s a big difference between two decades and five decades. The impact and timing of climate change are also unknowable; we can have a good guess, but the planet is a massively complex system with a myriad of feedback loops. So a strategy of wait and see is extremely risky, because there’s no way of knowing whether waiting even one more year will be too long. You just can’t tell, and the downside of being wrong is that it is a game loser. Betting on this option is the equivalent of putting all your money on one number, for a single spin of a 1,000,000 slot roulette wheel.

The other reason to do nothing is that you are doing so well right now, that virtually any change is bound to reduce your prosperity, your security or your advantage. You may be tempted by the advantage you have today, to feel that under almost any circumstances you’re better off without fundamental change. The political leadership class of virtually every society in the world falls into this group, and that represents a serious obstacle to change. These are the high rollers at the table, the players with the most to lose and the most cards in their hands.

These high-stakes players are crucial determinants of how the game will play out. There are two factors that can influence how they act: control, and mutual results.

In a democracy, these high rollers are there by the choice of the people they represent; if the electorate develops a different view of how important fundamental change is, they can replace the players with other representatives who will act for change. The same replacement process can happen in societies that don’t have democracy; it just tends to be bloodier and messier.

The probability of mutual results could also influence those high rollers that retain their political control. Mutual results is the reality that however the game plays out, we are all affected in the same way, in the end. The high stakes players and the lowest stakes players will all experience the consequences of getting it wrong. If fundamental changes are needed and not enacted in time, the resulting chaos and destruction will affect everyone everywhere on the planet; no matter how rich, how clever or how remote they are.

Mutual results may influence the big players, but it may not. It may seem to them that the odds of a negative outcome are not as bad as they appear to be for the vast majority of other people. In this situation, wresting control away from them will be key to our mutual survival.

A big part of this gamble is the assessment of risk. To stand a reasonable chance of a life lived with peace and prosperity, we are going to need to make accurate and clearheaded calculations about the odds of success for any course of action we take. There are risks inherent in the decision to make fundamental changes to our societies, but the odds lean towards a favorable outcome for the vast majority of us. If we start making the right changes now and we’re too late, we won’t have lost anything. Probably the biggest risk we run is that we make the wrong changes and exacerbate our problems. But if we focus on improving our decision-making processes while reducing the environmental impact of our economies, the chances are good that we’re doing the right things anyway. Nevertheless, what to change and how to change them are very important things to get right; and that’s what this book addresses.

So we have a high-stakes game in which our chances of living in peace and prosperity, maybe even our survival, is at play. The game is mostly being played by a few of the people in the room, and even amongst the players there are those with significantly more cards in their hand. Everyone in the room wins or loses together. The cards represent changes we can make. We can keep them close to our chest, only putting out the minimum number we need to keep the game going; or we can play big, put down a royal flush and go for it. Because everyone wins together, the royal flush strategy has very little downside, but it does mean that the pot will have to be divided amongst all those present in the room. The alternative of a cautious game, favors the players who are at the table, because they don’t have to share their stakes while they have them on the table and the game is still going on.

The risk is that the game will end without anyone playing their winning hand, and everyone in the room loses.

So if the game clock says that there are about five more minutes left to play, what would prevent the players at the table from putting down the strongest straight in their hand? This is where we are. This is the risk we are running.

We, the players, have to look hard at the clock, and ask ourselves if we really think it’s too early to play our strongest hand.

Apparently, we haven’t decided to play our hand yet. Apparently, we still think there’s time and that it serves us to keep our cards for now. I say this because we have not collectively summoned the will to align our actions with a different outcome. We are still on basically the same path and the same trajectory that we have been for the last 100 years: industrial growth that will ‘float all boats’. That’s the equivalent of keeping all our cards in our hand and if we’re wrong: we’re screwed, along with everybody else. Just in case that is the wrong strategy, let’s look at the facts of our situation and review the state of our game today.

Are we relying on our instincts to make the right choices for survival? Are we making choices today that will deliver the results we want tomorrow? These are important questions if we are betting our lives on them. Never mind doing the right thing, have we fundamentally miscalculated the odds? Have we even calculated the odds at all? If not, we could be making a dooming mistake on an evolutionary scale.

In our daily lives we routinely select making better choices tomorrow, in favor of easier choices today. We select personal safety, over the rights of others. We select not looking, over knowing. We select the safety of established opinions, over the dangers of an open mind. We select how it was, over how it could be. We select low price, without recognizing the unincorporated violence embedded in that price. We select personal enrichment today, over the consequences for others tomorrow. In most cases we don’t really think about the choices we are making, our gut tells us that these are the right choices. But are they?

We have a hard time choosing between peace and money. You probably don’t think of it that way, but many of our conundrums can, and should be, expressed as peace versus money. We equate money with security, and that is the phraseology we consciously use to justify and rationalize our choices. We say to ourselves that we are choosing security, not money.

We accord money with the equivalence of security because of a gut level instinct that money should bring us personal security from hunger, hardship and deprivation. This is quite likely true for many of us in the short run, but we would do well to note that our real desire is for security with peace, not the money itself. The money is the means that we believe will enable us to create the security which will allow us to live in peace. We actually desire peace, it’s just that we believe money will give us peace.

We are attracted by the notion that we can own money, that we can possess and protect our money. Whereas peace is not a tangible asset. We understand that peace exists only in the moment of time, dependent on our mutual intention that it should.

When we choose money over peace we do so because it seems more likely to reach us personally than the notion of peace, which we are dependent on others to attain. We choose money over peace when we support oppressive regimes for access to minerals. We choose money over peace when we buy products made from those minerals. We choose money over peace when we make drugs illegal, and buy them anyway. We choose money over peace when we begrudge paying taxes to help others. We choose money over peace when we build more prisons. In every case we argue that our aim is our security. What we mean is our personal security, a very close and narrow view of our personal security, right here and now. The security of our supplies, the security of our morality, the security of our low prices and the security of our lifestyles.

But we are not choosing peace.

We really do desire peace, but we do not actually choose it. We know that helping to oppress the freedom of others is not a choice for peace. We know that poverty does not foster peace in our communities. We know that locking people up does not lift them up. We know all of this, and yet we still choose money over peace. And guess what? Our choices beget our rationale. The oppression, the poverty and the violence that we create, and now see all around us, are further fodder for justifying our decisions to choose money over peace. What d’ya know? Whodathunkit? Our inward facing, narrow, personal logic (aka instinct) has led us to create exactly what we feared all along.

But we still want peace. That hasn’t changed. All the money in the world is no good to us if it does not bring us the security of peace. We know that too. On some level we know that we are taking the great gamble. We are gambling that the personal security we purchase, will last the longer than it will take for the un-peaceful consequences of our choices to catch up with us.

We know that the unfree will seek freedom, that the impoverished will seek their own security and that the put down will rise up. We know all this because we know that that is what we would do if we were there. So we can even see the circular counter-logic of our own arguments, but we still choose money over peace. We are engaged in the risk-reward gamble that has defined our evolution, and which is a fundamental, natural part of our most basic makeup; what we call our “gut instinct”. A set of animal reflexes designed to ensure survival from one moment to the next.

So let’s work with this a little. We choose money over peace because our basic instinct tells us that money is a safer bet than peace. The reward of security bought with money now, feels like a safer bet than the risk that peace will become unattainable where we live, within our lifetimes. We are betting that the wars will happen somewhere else. The poor will not steal from our kitchen to feed their children, and that if they try that we will be able to lock them up and put them away. We are betting that the wars and the poor can be kept at bay, at home and abroad.

If we have got this wrong, the consequences of our choices will destroy our peace before we can experience our purchased security. That would be a mistake that money would be unable to redeem for us. A cool-headed evaluation of the odds is necessary here, before we simply accept our assumptions.

Perhaps one of the first and easiest rationales that comes into our heads, is that we are simply doing what anyone else would do. But even if we can argue that everyone else would make the same choice, that isn’t really relevant, because it is only those of us that have the opportunity to make the choices that are actually defining the consequences. It may be true that others would do the same, but we are the ones making the choices and taking the gamble. It is our choices that are actually determining the outcome. Besides which, mutual poverty of rectitude is not an assessment of risk; it’s just an excuse for inaction.

So let’s evaluate the three primary mechanisms that we believe tilt the odds in favor of money being the right choice for us. Those are:

  • any consequence of war or conflict will not visit us personally,
  • the poverty of others will not directly affect our lives
  • we can erect a system of legal protection, that will insulate us from any risks that escape from the first two assumptions

Wars will Stay Over There

That wars will stay over there, is the first part of our gamble. Certainly this used to be true, but increasingly we can glimpse the chinks in this armor. We call it “terrorism”, and it is abhorrent to target civilians, but we would be well served to recognize that to others it is the globalization of freedom fighting. The same technologies and facilities that smooth the flow of modern commerce are being used by the disenfranchised and the oppressed to spread war outside the pretty confines we would prefer them to stay within. Terrorism is the last resort of the ignorant freedom fighter, but maybe we should figure out that when we see terrorism, it means that some people may have reached their last resort. It would seem pretty obvious to conclude that suicide bombing is the very last resort of anyone, and if we dismiss it as merely the act of a lunatic, then we are not making a cool-headed assessment of the situation. The reality is that war is now mobile, it will not stay over there.

Your own intuition, and every security professional in the world, will tell you that you cannot prevent the manifestation of terrorism, you have to act on its root causes. On the whole we can keep the affects of remote conflicts out of our everyday lives with ever more secure border controls. But the risk that they will spill into our lives through any one of countless opportunities for disruption, from hijacking our transport to poisoning our food supply, is very real. Even if we can keep the actual wars away, can we keep the violence out of our lives?

The Poor can be Kept at Bay

This is the second factor in our calculations of the odds for our gamble. Implicit to this is the acknowledgment that there are poor people (intentionally); so it is not the existence of poverty that is our risk metric, it’s our ability to mitigate the impact of their poverty on our lives. Fundamental to this calculation is the ability to “manage” poverty. That is to say: to control the depth of the poverty, and the location of the poor. If the poor aren’t actually starving, if they have at least something left to lose, then they are less likely to be a threat to our security. Also if they aren’t close to us, the less of a risk they pose to our security, however deep their poverty is. So keeping the really destitute as far away as possible, and the poor that are closest to us out of total despair, would seem to be the tricks to maintaining the odds in our favor. Or, to put it the other way around, the risks are: that the really poor will come over here, and we will not sustain sufficient hope in our local poor.

Of course this gets a little difficult, because the more we help our local poor, the more attractive it becomes for the remote poor to move closer. Even this is manageable, if we can stop the poor from moving around. The trouble with that is that really poor people, denied the ability to improve their situation where they live, tend towards migration and revolt. Those feed into the aforementioned terrorism and war problem; which is another relationship we will have to factor in, when making our final calculations.

So “managing” poverty is a little more complicated than it might appear to be at first. There is no doubt that the local poor represent the most immediate threat to our security, so we have to make sure that we use some of our money to keep them at bay. We can improve our odds if we can keep them from starvation, hold out an advertisement of opportunity and, at the same time, keep their life expectancy low. Just enough support to keep bellies full of cheap food, just enough glitz and glamour to provide the illusion of opportunity, mixed with low levels of education and healthcare to keep their actual ability for progression to a minimum. This formula to create a “happy poor” has worked pretty well for the last hundred years, but it is not actually new. The Romans, the Mayans, the Egyptians, the Ottomans, the English and the French have all given this strategy a jolly good go in the past. The trouble with it, as a stand-alone risk mitigation strategy, is that it doesn’t deal with population growth; poor people have a tendency to have lots of children, as a means of increasing their personal security. Unless you can reduce the average life expectancy of the happy poor below the age of reproduction, you can’t stop their numbers growing. The more of them there are, the more of your money you have to spend on keeping them happy. Sooner or later the balance is going to tip, so you won’t have enough left to buy your own security because you’re spending too much keeping the poor happy. Past attempts at fixing this conundrum have included sending the poor off to die in wars before they can reproduce, or sending them off to reproduce abroad in colonies. The former has reduced potential nowadays on account of prohibitions against using children in the military, something that wasn’t a problem anywhere only a hundred years ago. The latter is problematic today due to the lack of places left to colonize. So the risks posed by local poor are more difficult to mitigate these days and, to make matters worse, we have to face the fact that any version of “happy poor” has its limitations; because even modest levels of education and healthcare are going to result in larger populations and higher demands.

The Law will Protect Us

This brings us to the third risk mitigation factor in our calculation: legal restraint. If we can’t get the poor to voluntarily restrain themselves from rudely interrupting our purchased security, we can always try using a legal system to control their unsociable activities. We can increase the odds of our successful use of money to buy personal peace, if we use some of our money to keep the most troublesome poor out of circulation. When we can’t keep them away or happy, then we can lock them up. On paper this looks like a reasonable strategy, but it has some real problems that limit its effectiveness. First and foremost amongst these is that it requires that we pervert the natural course of justice; the consequences of this have an insidious inclination to detrimentally affect the quality of our own peace and security over time. If we are to use the legal system to keep the poor down or out, we have to develop a legal structure that specifically discriminates against the poor. It has to target crimes that the poor are more likely to commit, and attach penalties to those crimes that are sufficiently punitive to keep the guilty effectively repressed. To support those two objectives, it will have to include a legal process that ensures high rates of conviction by suppressing the poor’s ability to use the system to defend themselves.

Now, while those are all well and good on their own, and we have shown that they are perfectly possible to enact, they include a fundamentally unbalancing consequence that bodes ill for our overall odds: they don’t make the poor happy. While we are trying to suppress the top tier of troublemakers, we are actually increasing the dissatisfaction of the great majority of the rest of the poor. Again, this is only a risk factor and it can be managed by upping the quantities of cheap food and distracting illusions of opportunity. But it does have its limits, and sooner or later you reach the point where you just can’t afford to keep putting poor people away, and down, at the same time. It all costs money, especially putting people away – it’s far cheaper to kill them, but that avenue is increasingly closed as a realistic option, especially in large quantities.

So how do the odds look now? What are the chances that our choices to buy personal security with money will outrun the consequences of selecting against peace? I’d say that the odds look a little short, and they look to be getting shorter every day. Obviously it has worked in spurts over time, but we live in a different world today where the opportunity to mitigate the risks is very different than it used to be, and even those opportunities that do still exist have very definite time constraints. Populations are growing, weapons are proliferating and people are starting to evaluate the quality of law against the justice that it delivers.

It really comes down to time. There’s obviously a fuse on this stick, and the gamble comes down to how long you think it’s going to take to burn down. Is that enough time to make choosing money over peace now the right choice for you? And even if it’s the right choice for you today, how long will that remain the case? Do you perceive that at some point in the future the scales will tip, and it simply will not be possible to buy personal security while ignoring the consequences for peace around you? If you do think that that time will come, when will that be? Next year? What about a decade from now, or when your children are grown? And then how will the transition happen, when the odds flip the other way? What will be the consequences of your choices today, when the time comes that those are no longer the right choices? Will the consequences of today’s decisions magically evaporate as soon as you start making different choices? I think not. Right? I mean, you are still the same person and you did make those prior choices, and you could reasonably be held personally responsible for having previously chosen money over peace. Even if you aren’t held personally responsible, French Revolution style, you will still experience the consequences, unless you’re dead.

So how long is that fuse? This is the heart of the gamble. For how much longer is it going to be the right choice to have selected money as the option that delivers you the rewards, and when will it become the choice that only compounds the risks and blows oxygen on the sizzling fuse? I would argue that that time has already passed, but I am obviously in a minority, albeit an increasingly large one, on this matter. I think that every day we continue choosing money over peace we exacerbate the situation. We sponsor more wars, we create more poverty and increase the violence of our societies through oppression, subjugation and deprivation.

Now let’s throw in a relatively new factor: global climate change. Again, this is possibly subject to a discussion about timing, but its reality is no longer the subject of debate. What climate change does, is throw all of this into stark contrast. Not only are many of the historical avenues for mitigation already closed, now the pressures on our global society are going to increase from every angle. Climate change directly and negatively impacts all the significant factors used in calculating the odds of money being the right choice over peace. Climate change puts pressure on resources, increases the likelihood of mass migration, and these in turn increase the likelihood of war, poverty and erosion of the rule of law.

Given that climate change, by itself, threatens peace everywhere; what does that do to the odds for making decisions that further reduce peace in the world right now? It makes matters worser, faster. I think climate change changes everything. The time scale for the impacts of climate change are short; maybe a decade, maybe five, but anyway you look at it, they fall into the bucket of now. Now, because we all know that having chosen money over peace for centuries, it is not going to be reversed in a few months, or even a few years. The consequences of our past choices are going to take decades to be mitigated, let alone stopped. Reversal could take many decades. We know this, it doesn’t take a brainiac to figure out that getting to peace, from where we are today, is going to be a lot of work and take quite a lot of time. The harder we work at it now, the less time it will take; but it’s still going to take some time. This is relevant, because if it’s going to take, let’s say, 30 years to move our societies onto a peaceful footing (the equivalent of extinguishing the fuse) then we, personally, have to start choosing peace over money 30 years before the flame reaches the stick.

Here’s the choice we face today: will we extinguish the fuse before it reaches the dynamite? Will we figure out that the odds have changed and that choosing money over peace today is the wrong choice? Can we see that we are almost at the point where it is no longer a question of risk that we are making the wrong choice? We are entering a time when it is a certainty that peace over money is the only survival choice we have. If we can’t lift our heads up for long enough to look out over the landscape of our consequences and discern the changed nature of our times, in time, then we will let the fuse burn down and the stick will ignite. Our wildest fantasies of greatest dread will pale in comparison to the reality of the times after that event.

I, for one, am for extinguishing the fuse, turning the corner, recognizing the reality of the odds, and choosing peace over money now. There are those, I know, who would say it’s too late, that we have already passed the moment when the fuse was extinguishable; and now there is naught that we can do, save prepare for the explosion. I am not one of those. I can see a different future. I want to gamble now that choosing peace today is the right choice, the survival strategy, the best chance I have. That is the gamble I want to take. I choose peace over money, and I choose to do that now.

If you’re serious about choosing peace, then the next question has to be: how do we get there from here? What do we need to change and what are we aiming for? Those are the questions addressed in this book. A path that leads from where we are now, to where we want to be. It’s not for the faint hearted and it requires that you have decided to choose peace; but if you have, it provides a map for changing the world.

You take your first step, and we can go the rest of the way together.

 


Part 16 in the serialization of the The Path to A Future – originally published in 2009.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

 

The Path to A Future: Two Words about the Destination

Sustainable prosperity.

It’s a simple description that will not get embellished much in the course of this book, hopefully because it is self explanatory. But it is worth taking a moment to clarify what is not included in that description.

  • It is not utopian.
  • It does not suggest equality of outcome.
  • It does not speak to the veracity or ascendancy of any particular worldview beyond the simple context inherent in the word “sustainable”.
  • It does not include any necessary configuration of peoples or places, nor does it to accord credence to a situation based on the history that led to the way it is now.
  • It is not a guaranteed or self-fulfilling prophecy; it will require choices and work all the way there, on arrival, and thereafter.
  • ‘Prosperity’ is intentionally modified by the adjective ‘Sustainable’.

What the destination is, is wedded to practical outcomes in the natural world and it is, above all, realistically achievable.


Part 16 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

The Path to A Future: Congruity

Congruity, [con-gru-ity]: simultaneous,mutual reinforcement in proximity and extremity.

Congruity is our word used to describe the process of building The Path. It symbolizes the unification, interdependence and broad reach that our actions must have, because although we can accurately describe The Path as linear, going from peace to security to sustainable prosperity, we will have to embark on all these processes concurrently.

The reasons for this are twofold: we are short on time, and each step reinforces the others.

We are really short on time! We’ve probably got a decade to get the ball rolling, a decade to get processes up to speed and a decade to spread the changes across the globe. Even once we are on The Path, we will be leaning on advances we will have made just to cope with the wrenching climate changes that will still come our way over the next half century or more. If we can’t get the ball rolling in the next ten years, then we run the very real risk that the changes being forced upon us by then will drive people to reaction, and the opportunity to promote our common good will narrow or even fade completely.

The second reason for congruity is the corollary of why attempts at peace have failed in the past. Peaceful people in the past, particularly prosperous and peaceful people, have been subjected to the crude interruption of the brutally violent. The reason for this was because the prosperous and peaceful were unable to spread the benefits of their prosperity to those others. If we are to succeed on our Path to A Future, we will have to bring rapid change to as broad an audience as possible, as fast as possible and to spread the benefits as widely as possible. Partly because we are all dependant on each other’s actions as we inhabit a single biosphere, and also because our path must travel through peaceful lands, it cannot be built with fences.

As we explore the practical applications of The Path you will see that the elements that make up The Path are interdependent. Peace is a critical element, without peace we cannot afford to secure our social fabric and our personal security is necessary to liberate our prosperity. All of these processes reinforce each other.

On The Path, not only must these congruous processes happen in one place at one time, they must spill over to impact the lives and societies of others at the same time.

That is “congruity”.


Part 15 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

The Path to A Future: Landscape Lessons

So what can we glean from this brief review of the features (conflict, traditions and morality) we must navigate on our path?

• First, all those features do exist and must be navigated. We cannot wish them away.
• Second, they have formed naturally. That is to say that they represent some basically natural aspect of our collective makeup that we must individually own up to. They are not aberrations that we can dismiss as unfortunate. They are simply possibilities that we can seek to exclude from our future, by choosing different aspects of our nature. The difficulty of our passage through them can, and should, serve as a reminder to us about ourselves.
• Third, they are unavoidable and natural, so it behooves us to seek a path that is in harmony with the landscape, which takes advantage of the natural slopes and shelters in the coves eked out by the passage of time. The Path must get across the landscape in order to deliver us to our final destination, and it serves no one to make the journey about flattening mountains or filling valleys. Passage is the password and having built the Path, it will allow everyone to travel along it, from wherever they are now.

In summary, there are three aspects of the world we live in that our path of change has to accommodate: conflict, traditions and morality. These are all reflections of perfectly natural aspects of our human nature, and to fight against them is both futile and fatally distracting.

We have to remember that our purpose is to reach our destination. To do that we need only define a path that navigates the landscape. We need conflicts to be calmed, to reduce their senseless waste. We can allow traditions to fill their role, so long as they do not stifle progress. Morality can continue judging, if it is not harming. To do other than these is to try to change our natures, and that is not the purpose of The Path. The goal of The Path is to show us the way to a sustainable and prosperous future, with, if necessary, all our imperfections unremedied.

So if we’re not going to change these features, what will we do about all the people who have come to identify with them?

Carry on building.

When The Path is mapped all the way to its destination, when they can see the value of the destination and the holistic coherence of its route; their aspirations will trump their old attachments and they will travel with us on the same road.

Fear not!

There is a path across this landscape. We can determine its course, and we can build it.


Part 14 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

The Path to A Future: The Quagmires of Morality

The most dangerous of the landscape features that need to be navigated are the bogs and swamps of the lowlands. These seemingly flat and vegetated expenses are the premature terminus of many a journey.

Offering the delusion of easy passage, their self-reflecting pools and slippery sod are the perfect traps for fools. Seen from a distance they show neither the steep ascent of mountain ridges nor the obvious cut of valley grooves, and would seem to represent a clear distinction between the hubris of the high and the laments of the low. In reality, these are the mosh pits of morality.

Quagmires are the places where we lose sight of our real purpose, and get caught up in the attempt to assert our moral standards over and on to others. Being right is not the objective, getting to our destination is.

Without delving into moral judgments about morality, let’s consider what happens when attempting to cross a quagmire: you get bogged down. Endless effort is expounded in simply moving from one pit to the next, and soon the entire endeavor becomes focused on navigating the swamp; forgetting that there is a destination beyond there.

Path building is an intensely practical task and there is much ground to be covered. It is a service to all beings on the planet and does not discriminate between opinions; we have neither the luxury of time, nor the surplus resources, to engage with matters less practical than reaching our goal of sustainable prosperity.

Because we often have difficulty identifying quagmires from a distance, we must develop our sensitivity for recognizing when we are entering one. As soon as we find the ground shifting beneath us, we must turn and seek the firm ground that surrounds the swamp. Don’t worry, there is always another way; a course for The Path that is lit by the lamp of freedom.


Part 13 in the serialization of the The Path to A Future.
A new section will be posted every 2 weeks during 2011. Enjoy!
To get a free PDF of the book go to www.standardsoflife.org/thepathtoafuture.

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