Interacting-for-Benefit > Government & Prosperity > Valuing Commerce (L1)

Valuing Commerce (L1)

ClosedTHEE Note:

If you don't yet know what interacting-for-benefit is about, look at this, and then check out a summary.

Challenges for meta-economic management emerge in a hierarchy. This starts from a market-based foundation. The distinctive levels correspond to the order of approaches in interacting-for-benefit.

The hierarchy is made up of principles. i.e. the Levels focus on underlying widely accepted values in the approaches, rather than dealing with their core methods and activities. The limitations of principles at each Level, plus implications of their success, become the stimulus to move up to the next Level.


ClosedTOP Note:

No economic expertise is required for this Section.

To reiterate: The investigation here does not deal with economic concepts like capital accumulation, inflation, balance of payments, consumption levels, rates of return, &c.

These matters do need to be measured &/or addressed—but only within a wider framework relevant to the governance of society. It is this encompassing meta-economic framework that is examined and mapped here.

However, a common-sense understanding of money, wealth, prices and lending is useful and can be found here.

Commerce is Important: Market-centred

The situation is extremely simple:

Prosperity depends on commerce, and

Commerce depends on enterprise, and

Enterprise depends on individuals who are market-centred.

ClosedEconomic activity and wealth-creation is amazing. ►

All the government can do is appreciate and respect personal enterprise and encourage self-reliance through work.

But this is not a trivial demand. ClosedMore ►

Many governments seem ambivalent or even unable to value commerce. As a result, too many people seek and get public sector jobs with employment safety, higher salaries and better guaranteed pensions. This means more power for government: as explained in the inquiry into politics. Governments do not produce wealth, they consume wealth, and the public sector overall weakens prosperity. One problem may be that rather few politicians or civil servants are themselves primarily market-centred. See choice of mentalities.

Government has a duty to unambiguously affirm the importance of commerce and of entrepreneurial endeavours.This includes affirming market-centred values Closedlike ►

Prosperity flows from willing producers, consumers, buyers and sellers, who freely interact and exchange goods and services for money via markets. These markets are a common good emerging spontaneously in any society.

Bringing Social Tensions under Control

Because an economy depends on markets, property rights, the law of contracts and so on, governments have an unarguable duty to prevent fraud, distortion or unfair manipulation by powerful interests. This entails wielding social power, being coercive and actively enforcing society's laws and regulations.

This power-centred viewpoint is distinctive and sits at the next Level (L2) to prevent abuse of weaker individuals in society.

Brute legal force cannot deal with all social tensions, and needs to be complemented by inputs from yet higher Levels (L3 & L4). L2, L3 and L4 are progressively more effective ways to manage social tensions that can interfere with the economic activity of individuals.

All posted material is part of a scientific project and should be regarded as provisional. Visitors are encouraged to think through the topics and propositions for themselves. Copyright © Warren Kinston 2009-2016.
All Rights Reserved.

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