Home > Business-Economy, Current Affairs, Living > Getting to the root of world’s real problem – Global poverty (Part 3 of 3)

Getting to the root of world’s real problem – Global poverty (Part 3 of 3)

Now for the finale… having understood what the problem is, what the current system is doing to amplify this problem… time to get a glimpse of what a to-be state of the economic system should be.

Amongst many other details of the futuristic economic system, I see 5 key pillars:

1. Understanding that world’s resources are in abundance and not scarce as proposed by economists like Adam Smith

2. Recognize the problem of poverty and solve it to offer home, health, and food security as a fundamental right of all human constituents

3. Manage resource control effectively… important to understand that all the world resources can be classified as either belonging to an individual, the State, or the public

4. Ensure equitable distribution of wealth by making sure that individuals/ organizations don’t hoard wealth but rather use it thereby increasing wealth circulation (think of this as if a neighborhood is independently run as an economy and there are $1,000 worth of wealth and everything has to be run within itself, if people start hoarding cash and not using it, eventually, everyone will have cash but there wouldn’t be any means of earning for so many people who could have otherwise been employed to offer goods/ services for that wealth)

5. Focus on productivity in creating a “real” economy
_ Do not sell what you do not have (you can see how not following this principle has screwed the whole financial services industry and precipitated the crisis)
_ Introduce the gold and/or silver standard to support real wealth creation and not just currency paper printing
_ Eliminate interest from the economy and introduce profit-loss sharing in all financial transactions

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