Tag Archives: throughput chain
The Idea of Proportionate Flows Applied to Wages: the Great Depression
The Great Depression of the 1930′s has been very thoroughly gone over in the literature and there would be no need to mention it here except that it is necessary to describe it in terms of the concepts presented in these posts and to link it with the present day. … Read more
Solar Energy – a Special Case
The term solar energy means not only the direct radiant energy of the sun, but also its stored forms – plants, animals, fossil fuels.
The sun’s radiant energy is not a resource, but the result of throughput of a resource – that being the sun’s matter. … Read more
Production?
Structuring, or realising, wealth into goods and services is currently called production or output, as though wealth were being created. In fact, this structuring or realisation is part of the process of throughput of wealth.
The use of goods and services, now called consumption in the sense of being opposite to “production”, is really a subsequent process in the throughput chain whereby wealth is degraded into waste matter and heat whence it may be renewed. … Read more
Ratio Distortion and Consumption
Before and during the Great Depression there was under-consumption due to chronic under-payment of workers – fewer goods and services were being consumed than available workers and plant could structure. But what of the stagflationary situation, when chronic overpayment of workers was the distortion affecting more perfluent economies? … Read more
The Throughput Chain
The throughput chain comprises several “links”, different processes that follow one another but do not all necessarily take place at the same rate. The processes commonly are: the extraction or controlling of wealth; its rendering or structuring into saleable goods and services; the sale of those goods and services; and their subsequent degradation into waste matter from which wealth may be renewed. … Read more
Digression – Flat Earth Economics; Capitalist and Communist Varieties Contrasted
Communist systems could not be maintained without coercion and authoritarianism, which tended to exclude the great majority of the people from participation in administration and policymaking.
Communication with the governed was restricted because suggestions for change or adjustment of policy were regarded by the government as criticism and therefore as a potential threat; and by the governed as an act of daring best not undertaken. … Read more