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[ox] RE: Stefan Merten commenting Marcins paper in Oekonux



[1  <text/plain; iso-8859-1 (quoted-printable)>]
Hello all,

 

Here are two excerpts I found interesting.

 

Because of specialization in a complex world, one has a narrow focus 

and a decreased ability to make connections or to determine 

cause-and-effect relationships, such as connections between human 

organizational structures, technology, and ecology. This explains the


need to be well-informed in such a society to cope with the 

complexities of life in the Information Age.



Not at all. Nothing prevents you from specializing to the connections
and cause-and-effect relationships. You are only unable to put *all*
available knowledge in your head.

 

It is obvious that the complexity of this world is stretching our mental
capacity to its limits. The phrasing of Marcin's could be changed to
address the fact that much of the issue is how we think and budget our
time. Still our existing ability capacity to process and deal with
information is relatively static while the amount of information that we
need to process as modern consumers and producers is exponentially
rising. Very soon the two curves will cross and a crisis will emerge. I
believe there is evidence that this has already begun to happen. There
is increased mental illness due to computing and the stresses of modern
life. Much of this is the may be the result of people being unable to
make the necessary connections in the modern world. People commonly
refer to being overwhelmed in the modern age of information and this is
related to the passage below. We need to train ourselves to use our time
wisely.

 

************************************************************************
**************

 

     For example, it can be shown that 5 John Deere tractors from the

     1950s, costing $1K each, which are still in common use today,
can

     do the equivalent work of a $200K modern tractor. Moreover, the

     modern tractor depreciates rapidly, while the old tractors
retain

     their value. This represents a savings of $195K, which
translates

     to a liberation of a huge financial burden and a corresponding

     reduction in working time for purchasing the tractors. The high

     capital inputs in these case can be replaced by labor (4 extra

     tractor operators), which are a renewable resource.



Your ignorance is once more amazing. If the additional labor is a

renewable resource then all tractors on the world are as well. You

confuse renewable in the sense of solar energy with no cost. In an

exchange society labor has a cost, however, and all products are made

from some raw materials and mainly human work which is reflected in

the price of the product.

 

Possibly Martens is overestimating the ignorance of those whose views
he wishes to not fully understand because those whose views are
different from his.

 

Marcins point is a strong one I feel. I dont feel Marten is fair to
call this ignorance. It is a basic premise of the open source and
sustainability movements. Modern technology is not being effectively
deployed on effective gains in productivity but is focused on frivilous
creature comforts and fancy flashly designs. Depreciation is particuarly
high in areas where a large section of the population is fooled by such
product design and marketing, and where others find value in the used
products that the more affluent users quickly disregards because it is
not flashy and new.  

 

Juliet Schorr of the Center for the New American Dream makes similar
arguments in relation to labor. I think the deminishing returns that
Franz himself recently cited in an email demonstrates this. The point is
simple the rapid gains in GDP have tranlated into coresponding gains in
quality of life. While GDP continues to grow this is not reflected in
gains in personal well being. In short people are being ripped whether
it is health care in America, new cars, software, environmenal
protection, national security or tractors. 

 

Fortunately the open source revolution as described by Steven Weber,
is providing people with alterantives. What is the real value o a 200000
dollar a year stock broker to the well being of society when as the
stock market exponentially goes up as the natural capital reserves
corespondingly go expontentally downward?

 

Many experts in software and ICT have taken note of this. The flashy
graphics while alluring focuses on not the content but the style. They
also consume gobs of computing capacity. Lets see this as something
positive, there is need for products that do jobs well at low cost
without the frills. Case in point Andrius webdesign style. If we design
an economy based on this thinking we can create added value and focus
that on developing quality of life augmentation rather than superficial,
immediate gratification gains.

 

 

Jeff Buderer | jeff onevillage.biz 

Sustainable Design/Project Development 

oneVillage Foundation USA | http://www.onevillagefoundation.org  

oneVillage.biz | www.onevillage.biz

 

102 Ballatore Ct.

San Jose CA 95134

 

Cell 408.813.5135

Yahoo IM: jefbuder

http://www.ryze.com/go/Jefbuder

 

 ******************************************************8

 

-----Original Message-----
From: oekonux-bounces post.openoffice.de
[oekonux-bounces post.openoffice.de] On Behalf Of Franz Nahrada
Sent: Wednesday, December 22, 2004 4:20 PM
To: Jeff Buderer; Richard Nelson; marcin sourceopen.org; ms ms.lt
Subject: Stefan Merten commenting Marcins paper in Oekonux

 

Stefan Merten wrote some comments on Marcins speech after publishing it
in

the oekonux list.

 

interesting material to digest!

 

I will comment on this later.

 

Franz

 

----- Urspr|ngliche Nachricht -----

 

                        Mittwoch, 22. Dezember 2004 22:01:36

Niederpriorisierte Nachricht

Von:                liste oekonux.de

originator:       Stefan Merten <smerten oekonux.de>

Thema:           [ox] Re: Marcin Jakubowski * Open Source Ecology,
Inc. -- An

Operational Model fo

An:                  list-en oekonux.org

liste oekonux.de

Cc:                  Stefan Merten <smerten oekonux.de>

Bcc:                Franz Nahrada

 

-----BEGIN PGP SIGNED MESSAGE-----

 

Hi lists!

 

Here are some comments on Marcins contributions.

 

It is useful to provide a brief summary of world economics to date,

with respect to the provision of human needs. Conflict and warfare
has

been a common route to securing life-meeting needs if resources of
one

group were scarce, and today this trend is on an upswing. (ref) At
all

times in history both the elite class and subsistence class was able

to meet all of their needs relatively well.



Subsistence class had often major problems based on the influence of

both nature and nobility (hunger revolts).

 

Some people always had

more access to resources than others in non-indigenous populations.

Formerly, it was typically possible to find a new frontier for

resource base expansion. Today, physical frontiers are mostly closed,

with accompanying overpopulation and increased resource scarcity

pressures.



Physical frontiers on the demand side are not closed when looking at

the (non-)emerging markets in former SU and all of the third world.

There are only market frontiers preventing a capitalist expansion

into these areas.

 

Where the physical frontiers are actually *closed* on the supply

side?

 

This provides an opportunity for an increase in the quality

of resource use, as opposed to the quantity of resource use.



Not at all a new opportunity arises. On the contrary the expectable

frontiers in resource use need to be enforced by states but largely

this seems impossible for the smallest of goals - the Kyoto protocol

is a very good example here.

 

Today, the economies of the industrialized world are increasingly

specialized, where each member of society provides an ever decreasing

fraction of society's needs. One individual is typically not in a

position to produce all of any person's needs. In pre-industrial

times, before the deskilling and specialization of labor, each person

was more self-sufficient. The number of one's dependencies on others

today is hard to calculate. Craftspeople turned into well-defined
cogs

in the industrial machine.



Deskilling has only been one aspect of the process of

industrialization. On the other hand a number of new skills had to be

developed and today skills of a wide range are needed more than

anything else. Or would you say that a computer expert is less skilled

than a farmer 300 years ago?

 

In a deskilled economy of specialization, access to information is

becoming more and more important due to the increased complexity and

interconnectedness of society. Access to information determines one's

ability to produce and market. This is called the Information Age.



Specialization has nothing to do with deskilling. On the contrary

specializing in a certain area means acquiring skills there.

 

Also it is no longer possible to put all the skill available to

mankind in one head during a single life time - not even the skills

available at one single point in time. So the concept of skill you're

seemingly using is inadequate to modern societies.

 

IMHO the Information Age is not marked by the higher degree of

interconnectedness you are putting in the focus. Interconnectedness

means only a higher degree of socialization ("Vergesellschaftung").

Instead the Information Age is marked by the transfer of the center of

gravity of a society from the production of material goods to the

production of information goods - which we are currently experiencing

the stone age part of.

 

Because of specialization in a complex world, one has a narrow focus

and a decreased ability to make connections or to determine

cause-and-effect relationships, such as connections between human

organizational structures, technology, and ecology. This explains the

need to be well-informed in such a society to cope with the

complexities of life in the Information Age.



Not at all. Nothing prevents you from specializing to the connections

and cause-and-effect relationships. You are only unable to put *all*

available knowledge in your head.

 

In the information economy, access to information is access to

capital, is access to the means of production, is access to a

democratic foundation of society. This is where the need for

transparent access to information becomes an obvious democratizing

principle.



Well, access to information has always meant access to capital and

democracy is of course build on public access to information. Insofar

there is nothing new in "information economy". However, there seems to

be a change concerning the meaning of information.

 

Information has always been connected closely to means of production.

The flint stone to get fire as well as the combustion motor. What

changed was the - hmm, how to put it? - the amount of information put

into a single piece of means of production. The more modern means of

production get the higher the amount of information is "condensed" in

them. Because information is a societal effort and can be copied an

arbitrary number of times the price of the means of production did not

raise according to the amount of condensed information. Indeed it is

only the amount of labor put into this single piece which counts. A

thought I never had before BTW.

 

Today we can say we reached a new level on these grounds. Information

needs no longer be embodied in a stone or the exact carving of a

cylinder for a combustion engine. Pure information in its real virtual

and volatile nature is now a very means of production by using

computers: Put another software on it and the computer including its

robotic hand does something different.

 

I think this is the point where the important shift towards

information society takes place.

 

Many do have access to wealth. Many don't. Most people have to work

long hours to make ends meet, and the first casualty in working on

something not consistent with one's passion is meaning and

perspective. Meaningful employment that helps one to evolve as a

person is in short supply in an economy where each member produces an

ever-decreasing fraction of their needs. Perspective is impossible if

one doesn't have time to reflect.



Again I think it is not in the first place the degree of

"completeness" of a task, the degree of division of labor to make

Selbstentfaltung possible. If it would be so large tasks like flying

to Mars would not be possible at all. However, in the contrary I think

goals like this are a source of Selbstentfaltung for many (technical)

people.

 

As most probably expected IMHO the alienation of labor from people

accounts much more for Selbstentfaltung being impossible in a

alienated task than anything else. The only remedy for this is

logical: Don't act for reasons which are not your own, which are

alienated.

 

Open Source Ecology refers to the integration of the natural,

societal, and industrial ecologies aimed at sustainable and

regenerative economics. Participatory models of production represent

the core of any truly democratic society. It is only in such a system

that a balance can be found between human activity and the
sustainable

use of natural resources. Part of this process involves the

exploration of societal structures and productive activities to

determine what is truly appropriate to meeting human needs. The goal

is to provide human needs while liberating our time so that we can

engage in exactly that which each of us wants to be doing in this

life, instead of spending all of one's time on the necessities of

survival.



Well, I think there is no single notion of "what is truly appropriate

to meeting human needs". The very notion smells like dictatorship.

 

Also I'm not sure how you mean "while liberating our time". If you

mean "while at the same time and as part of the same process" then I'm

all for it but if you mean "while in a separate space" then I'd

strongly disagree.

 

The open source method is relevant to regenerative economics in that

it allows a large set of applied information to be collected as a

route to integrated economic models. Integrated economic models

require a large set of interdisciplinary knowledge, which may not be

easy to acquire in a system of extreme specialization. We believe
that

the creation of truly sustainable systems is difficult, if not

impossible, within the mainstream economics framework, because the

components that are already available are hard to link due to various

boundaries to integration and collaboration. Difficulties within the

present system that make regenerative development difficult include

overspecialization, where too many "hands in the pie" drive costs up;

there is also proprietary information; a legal and financial system

which promotes specialized, short term gain; the general lack of

genuine wealth-distributing cooperation, and excessive overhead
costs.



You did not mention the biggest problem: A society based on exchange /

money. In the followin therefore I conclude you do not want to change

this.

 

If you refuse division of labor and specialization on such fundamental

grounds as you do in effect this means to reduce technicalization back

to a degree where virtually everybody is able to do anything after

some hours of introduction. This means reverting industrialization

back to an agricultural level. To me this looks like one of the

biggest cruelties I can imagine - and I think those millions of people

who were used to an industrialized life style would really like to

return to it instead of continue to live in the poverty of the

agricultural live style they are now pushed back to. Examples are the

former Eastern bloc and some countries bombed back to stone age.

 

In the contrary I can remember of many occasions where I thought that

it would far better if this or that employee would be *more*

specialized in the sense of s/he knows what s/he does. I'm working in

the software industry and during boom times many firms employed

everyone who could type "computer" correctly. I can tell you it's a

pain in the ass to work with people who are largely under-educated

("unausgebildet"). It makes processes longer, a pain, and the overall

results are always worse.

 

But this applies not only to software work but also to agriculture. I

remember the organic farmer I'm getting most of my food from how he

describes his years of gathering experience with exactly the land he

is working on. Sure open sources would have helped him and for sure

the high classical agricultural education he had helped him.

Nonetheless he needed to specialize very much to his sort of work

under his conditions.

 

Absolutely contrary to you I think technicalization is in general a

good thing. It need to be part of Selbstentfaltung of course but for

me technicalization made possible the degree of Selbstentfaltung

visible today. Specialization is an absolute prerequisite for any

level of technicalization worth thinking about and a good education

("Ausbildung") is a prerequisite for specialization.

 

Also high skilled people are more able to selbstentfalt than low

skilled ones because high skills give more freedom how to complete a

task. Also high skilled people are able to produce higher quality

products of all kinds and high quality products in turn are another

prerequisite for Selbstentfaltung.

 

And yes, open sources do further skills, but no, open sources doesn't

replace skills. This is exactly the difference between information and

knowledge.

 

We claim that there are inherent threats to the democratic process

that are embodied in a proprietary intellectual property model. We
are

not indicating that private property should not exist, but that
access

to it should be equitable. We are trying to make a case that only if

the best designs are developed collaboratively and shared freely, the

development costs can be reduced drastically, time could be liberated

for other endeavors, and equitable distribution of wealth may come

closer to reality.



Property is the very possibility to deny access. That's what property

is good for and that's what it is used for. I can not see how this

very feature of property can be combined with equitable access which

is the opposite of the option to deny access.

 

Overspecialization



     Market actors are forced to seek more and more narrow niches to

     fill because of the access barriers and protectionism associated

     with existing enterprise; with open source development, access

     barriers are not there, and increasingly integrated economic

     models can arise





I think this is grossly wrong. Market actors need to specialize

because they are not able to sell even more standard products which

are sold by other market actors already. This would be no different if

of all the production knowledge would be open source. The sellability

of a product has nothing to do with how easy it is to acquire the

production knowledge for it.

 

In the contrary: If production knowledge is easy to get then the

market actors competing for the limited money available for spending

on a certain standard product will get harder and prices fall which in

turn is bad for the market actors. In an exchange economy it is only a

logical reaction to look for niches where competition is low and

profit high.

 

Or in other words: As long as your are talking of market / money you

are talking of a live-or-die competition. And as long as you are

talking of a live-or-die competition looking for niches is a useful

strategy and open source models will prevent this strategy from being

successful. This all changes immediately if you drop market / money

but I can't see this is your intention.

 

Overproduction



     Open source information fosters integrated business models that

     provide a larger fraction of one's needs, such that one is less

     dependent on other products for survival, and one does not need

     to overproduce to gain the extra income necessary for survival



It is absolutely common to speak of (physical) survival. However,

(physical) survival is a category which is relevant as a societal

topic before industrialization. Any utopia which goes beyond

industrialization needs to build on the level of civilization

industrialization already achieved and where thus survival is simply

given.

 

Overhead costs



     There are "too many hands in the pie" in any sphere of economic

     activity. Overhead costs are reduced when functions are shared
in

     integrated business models.





I would agree that the barriers created by contracts and the

contradictory interests of market actors (maximizing profits while

minimizing expenditures) the contracts are trying to confine are

overhead costs. However, given the degree of division of labor

wishable for a next society there would be no less "hands in the pie".

However, given money vanished the interests would be less

contradictory and thus overhead costs lower.

 

In contrary to your assumption I'd expect even more "hands in the pie"

especially if you want to act conforming to ecological or other human

oriented principles. Given the power of modern production capabilities

you can't asses the impact of your actions if you are not specialized

in the given field so you have to ask someone / some group to help you

with this. Today *these* hands are simply kept out of the pie because

of which a lot of people fight for integration of ecological and other

purposes in production.

 

The land acquisition is the main thrust of our effort since this will

provide the land base for permanent income generation via
agricultural

production, and it will be the base of a research campus which houses

our experimental and demonstration facilities with associated

personnel. Our operational strategy is to minimize overhead costs by

structuring operational activity in the form of internships (check on

4th world movement model), where agricultural production provides 90%

of our diet, the remaining 10% coming from barter economics. Housing

will be provided on site, and our energy needs will be based on

renewable energy sources. Our research program will be based on

subsistence activity, including the development of flash-steam solid

fuel combustion systems based on dry feed corn, as well as waste

vegetable oil, on-site grown vegetable oil. We are investigating

hydrogen internal combustion or external combustion engines as a

longer-term option.



How is this different from the goals of country-side communes form the

1970s? The open source thing seems a bit less to make a difference. If

not much of a difference: Why do you think that your country-side

commune will succeed and promote societal progress while they failed

then?

 

Shortcomings of "pure market forces" refers to the incomplete

effectiveness in terms of economic systems to provide for human
needs.

It should be noted that there is no "pure market forces," or some

abstract power that guides the economic process. Instead, economies

are guided by human will. Features that make economic systems

ineffective are part of overall system design or of executives'

decisions. True, the executive powers are forced into unethical

behavior by system design - such as making big returns or a company

would collapse from competition. System design is where open source

thinking can be utilized.



Every economic system based on money / exchange turns into capitalism

and you are grossly misleaded if you think that any such system exists

to provide human needs. It exists for itself. It *is* an autonomous

machine the visibly actors are only a dependent part of. Economic

theory knows this and clusters this in the terms incentive or

interests. Provision for human needs is only by chance an effect such

a system can have.

 

Contrary to popular belief this can not be remedied by any intrinsic

change but only by making exchange as the basis of the society

superfluous. Free Software demonstrates this. It is indeed an economy

which provides for human needs. Any production stripped of the need to

earn money tends to provide for human needs - otherwise it would not

be worth the hassle.

 

If information is fully available, as fostered by open source

transparency - then feedback on issues of performance - ecological or

social - is available.



The more hand in the pie I mentioned above.

 

Issues such as pollution, inequity,

overpopulation are acknowledged, as downstream effects of

environmental degradation and inequity are visible. If

cause-and-effect relationships can be understood, there is a chance
to

correct systematically recurring negative features of our economies.

Transparency of the underlying cause-and-effect relationships can be

fostered via interdisciplinary, open source learning. This learning

can occur at the level of our educational systems or at the level of

an informed population. Skills necessary to correct or address these

causal relationships can be attained if barrier-free,

interdisciplinary, applied rapid learning is nurtured. This is the

goal of open source learning, while trade secrets, propaganda

machines, advertising, patents, scholastic disciplinarity, and other

barriers stand in the way.



I think much of the knowledge is already there - open or not. The

problem is that the system based on exchange "lives better" when such

knowledge is ignored.

 

What is a completely educated individual? It is our opinion that the

absence of abundant disincentives to holistic understanding,
mentioned

above, would result in individuals who know how to grow food, produce

their shelter, and become involved in other creative endeavors that

are fundamentally related to the human psychological stability. We
are

not promoting a life of toil, because we have enough knowhow and

technology to remove survival pressures from dictating our political

choices. We can have a generally enlightened society, or a society

that is significantly more wise than today.



You are defining how humans have to behave and what is a "completely

educated individual". Then I for one am out because I *never* will be

interested in growing food or to build shelter.

 

There's a catch here. We assume that people, the economic actors,

care. That is, we assume that if they have a complete information
base

for making wise decisions, they will make ethical and ecological

decisions. Many would agree that such care is in short supply in

today's world. This is a matter of speculation, since this can not be

proven one way or another, given the presence of human will. Humans

have a choice to make decisions, if free from abject poverty that

reduces their choice to base survival. Since it is not the abject
poor

that control our economy, but instead by those with ample means for

survival, we can hope that these leaders will make wise decisions.

Yes, you can choose to care or not to care about something.



This is nice. Above you say that an "completely educated individual"

is one who has knowhow in exactly those things which in the following

paragraph you are naming as those things you need to care for if

poverty forces you to. I am not able to point your program out better:

Reduce wealth industrialization achieved to a poverty where everyone

needs to have knowhow for base survival. No thanks.

 

The practical implementation of an open source product development

process can manifest as a foundation or nonprofit research
institution

which generates the knowhow that is freely available for all to use

and build upon. The foundation or nonprofit organization can be
funded

publicly, while anyone can privatize resulting income by engaging in

productive activity. However, no one can privatize the information

itself, and an equitable governance should encourage further

developments to be placed in a common pool of open source knowledge.

This has been demonstrated in the Linux model of open source software

development, and we are engaging this method for developing products

and services at OSE.



This is exactly the model of state financed research. Please note that

Free Software largely has *not* been funded this way and thus is a bad

example.

 

I agree with you that in a society based on exchange public goods like

information available to all can not be produced by market actors

because in general they can not profit from it - which they need to as

long as they are market actors. Such public goods need to be financed

by non-market actors like the state or the various models employed by

the Free Software community.

 

The problem with your approach needing the state or similar external

public institutions is that it doesn't work without these

institutions. In other words your model can not function without them.

This can only be solved if you aim to make funding unnecessary because

every human being has the means of living at hand and exchange, money

and the like is thus superfluous.

 

A general trend in human history is that groups and regions were not

self sufficient. Trade routes and merchant commerce were present for

thousands of years, and the current phenomenon of globalization is
the

limit of such exchange, where electronic transactions can travel

across the globe in a fraction of a second, and physical products can

travel to the farthest reaches of the earth in a fraction of a day.



Self sufficiency is by no way a wishable feature of any future

society. Self sufficiency limits freedom because your options are

reduced to what is available from your own local activities. However,

I find neither bananas nor coffee, nor computers with their highly

integrated microprocessors needing very specialized machinery and

skills to be produced neglectable parts of my life - to name some

arbitrary examples. Self sufficiency would reduce me to a life style I

would do anything to prevent. If you call for self sufficiency as a

model then you want to worsen my life. And I'm absolutely sure that

this applies to 90% of the people who had contact with

industrialization.

 

Because all human knowledge can be collected in any location rapidly

by information and communication technology, and because technologies

are increasingly efficient in producing goods and services, there now

exist conditions under which high levels of prosperity and wealth can

be the norm in just about any region of the world. We call this

autonomy, the self-determination of regions free from pressures such

as random global market forces or the necessity of war.



Though information today can be indeed everywhere this is impossible

on a basis of self sufficiency. Information can be everywhere exactly

because there are a few globally *centralized* production facilities

which produce the hardware necessary for these information flows. This

is a feature of the physical production in some fields and thus

nothing you can discuss away. The Chinese tried exactly your type of

self sufficiency when they tried to produces steel in every community.

Check the results of this disastrous experiment to see what negative

impact self sufficiency can have on nature, people and society.

 

1.   Sustainable management of regional resources exists to the point

     that the local population stabilizes according to its regional

     resource base.



Given that the most highly populated regions on this planet to a good

share are located in the rich North-Western countries you need to

force people to move to regions like Ukraine because there they can

produce more food than they need at the moment. Stalin would have

applauded probably to such plans.

 

3.   The appropriate use of technology is a prerequisite to
generating

     autonomous regions. Inappropriate technology choices will not

     save time or money when all costs are considered.



     High technology choices require an extensive infrastructure for

     their production and upkeep. For technology to truly serve human

     needs, it needs to be used wisely for it to save time and

     increase the quality of life. The level of technology should be

     such that it genuinely increases the quality of life, instead of

     leading to the "myth of the machine:" that misguided notion that

     machines always save time. It appears that the general present

     trend is unwise technological choice: people work long hours,

     even when the level of technology is sufficiently high that with

     proper management, the time it would take for all human needs to

     be taken care of could be reduced many-fold, simply because a

     machine can do the labor of many people. For the machine to be

     used wisely, the requirement is that it takes less time to

     produce, use, and maintain it than it would take to perform a

     given task without the machine. Apparently, unwise technological

     choice is rampant in the USA, because people are working

     increasingly long hours. Poor distribution of wealth and

     inefficient governance accounts for some of the longer hours,
but

     a lot of the trouble stems from poor technological choice.



It's amazing how you ignore basic (exchange) economy facts. I agree

that machines are used unwise in an economy based on exchange - wisdom

simply is not a guiding principle there. Work force is simply cheaper

than machines and this is a result of too low wages and effects of

deregulation. Intrinsically this could - in theory - be remedied by

raising wages to unprecedented heights. Well - you'd probably agree

that this will stay theory until the end of capitalism.

 

Again this can be resolved when exchange no longer makes sense. Wages

do not make sense then either and human activity necessary for a task

is based on Selbstentfaltung. *Exactly then* wisdom has a chance.

 

     For example, it can be shown that 5 John Deere tractors from the

     1950s, costing $1K each, which are still in common use today,
can

     do the equivalent work of a $200K modern tractor. Moreover, the

     modern tractor depreciates rapidly, while the old tractors
retain

     their value. This represents a savings of $195K, which
translates

     to a liberation of a huge financial burden and a corresponding

     reduction in working time for purchasing the tractors. The high

     capital inputs in these case can be replaced by labor (4 extra

     tractor operators), which are a renewable resource.



Your ignorance is once more amazing. If the additional labor is a

renewable resource then all tractors on the world are as well. You

confuse renewable in the sense of solar energy with no cost. In an

exchange society labor has a cost, however, and all products are made

from some raw materials and mainly human work which is reflected in

the price of the product.

 

The sweat equity model may be hard to explain to financing
institution

or other mainstream agents, but it does rely on a fundamental need of

humans to shape their own environment, and as such remains a viable

option in spite of the industrialization of house building. The

economics of such an arrangement are motivated by the builders'

passion.



I'm not sure whether I understood this sweat equity model completely

but to me it sounds like unpaid work by laymen. I've seen enough

results of such laymen construction to know that I'm not for it

generally.

 

Also I'd agree that there is a basic need of humans to shape their own

environment. However, what type of environment they want to shape is a

very individual thing. Many people don't care much about their living

conditions in the sense of buildings while other environments are

important for them to shape. Once again take me as an example. Your

focusing on the physical level of subsistence ignores the needs of

people like me and thus is anti-emancipatory.

 

 

 
Mit Freien Gr|_en

 

 
Stefan

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