Skeptic Project

By James S. Albus, Ph.D.:

http://www.hplusmagazine.com/articles/economy/peoples%E2%80%99-capitalism-pathway-abundance

Of course, the Austrian economics cultists will object to it because it preserves the Federal Reserve and uses fiat money.

I think it's impossible, because stability in capitalism relies on some being property owners and some being wage earners, not everyone can be "a capitalist" as the article says. Plus the United States and others exploit third world labor to help bring down prices for production, in order to maximize potential profit.

Then you have the problem of artificial scarcity; in order for capitalism to work for items that are very common (like snack cakes) there has be artificial scarcity. That means whoever is selling the snack cakes has to "pretend" they're worth more than they really are by raising the prices. They do this so that they can still make money. Increases in automation, lowering of employment for the property owner, means that they're so cheap to make if they were to sell them with say a 10% increase, they still wouldn't make as much money.

A great example are CDs, which cost less than a cent in some cases to create, but are sold for $12 - $15 USD. There's no reason they should cost that much, even with licensing, most artists make only 25 cents (sometimes less) off of each sale.

Imagine if tomorrow every single person was a millionaire, it's almost impossible to imagine how it could ever work, because it couldn't.

At least, that's how I see it.

Kinda went off topic with my last post..

Basically, the idea of everyone being rich to some extent can't work because inflation will occur to where $1 million isn't really worth shit anymore.