tag:blogger.com,1999:blog-4110453241691716899.post311846455585135459..comments2013-04-29T12:17:04.661-04:00Comments on Trickle-In Economics: Welcome to Trickle-In!David N. McCarthyhttp://www.blogger.com/profile/09495803210569177619noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-4110453241691716899.post-89440247481355651032008-07-01T15:20:00.000-04:002008-07-01T15:20:00.000-04:00Hi David!Here are a couple of my models for petrol...Hi David!<BR/><BR/>Here are a couple of my models for petroleum production:<BR/>http://peakoil.com/fortopic29558.html<BR/>http://peakoil.com/fortopic32777.html<BR/><BR/>Then buried in here is a rather brusque dismissal:<BR/>http://www.theoildrum.com/node/4171 <BR/>As we discussed this morning, I see our ideas about money and ownership and debt as all ways to coordinate our activities. Acting in an uncoordinated way, we would go extinct overnight. What makes humanity so powerful is at root language, in particular our use of language to coordinate our actions. Once human culture comes to the stage of agriculture and civilization, the whole coordination problem has exceeded any individual's purview, so these intermediate structures arise like accounting. <BR/><BR/>One huge factor in coordinating is planning for the future. But we don't really know what's going to be happening in the future. So that is a tricky business, how to plan, & especially to negotiate a team plan, in the face of uncertainty.<BR/><BR/>Something related to this - it's funny to realize that usury was a crime not very long ago, and is still a crime under Islamic law. How can an economy function without lending at interest?<BR/><BR/>I think the answer has to do with risk. Suppose I buy a share of your business - I give you X dolloars for Y percent of your business, and now you will pay me back a regular Y percent of your profits, until you buy back that fraction of your business again. How is this different than lending you X and receiving that Y as interest? The different is in how risk is shared or not shared. As business partners, we share the risk. If you don't make any profit, I don't get any dividend. But if I am getting interest, I am still owed the interest whether or not you make a profit. <BR/><BR/>Anyway, just some thoughts to get the ball rolling!JimKhttps://www.blogger.com/profile/16167191806249119508noreply@blogger.com