tag:blogger.com,1999:blog-7820485130017459619.post6914176234867637439..comments2023-10-24T01:46:47.151-07:00Comments on CynicusEconomicus: Greece, Spain and Germany, and the WorldUnknownnoreply@blogger.comBlogger3125tag:blogger.com,1999:blog-7820485130017459619.post-463244620608936392012-05-26T12:48:34.755-07:002012-05-26T12:48:34.755-07:00Once an economy reaches full capacity price inflat...Once an economy reaches full capacity price inflation would kick in. In the case of counties like Germany, they appear to be self sufficient, but don`t have natural resourses (oil). Even if they had unlimited commodities they would run out of labour eventually. Also, not all production would make the producing country wealthier by over consuming all their own goods and services. The utility of a good or service has diminishing returns to the point were there is waste. Are you richer if you have clothes that are never worn in a wardrobe? Do people have enough time in their lives to watch 200 channels on the TV? etc.wuddychunkhttps://www.blogger.com/profile/14149431158253803094noreply@blogger.comtag:blogger.com,1999:blog-7820485130017459619.post-46371291486571459312012-05-22T17:14:11.725-07:002012-05-22T17:14:11.725-07:00This makes very little sense. Why would an economy...This makes very little sense. Why would an economy produce much more than they could consume, if there wasn't some form of coercion involved, some pressure was applied on workers at all levels to keep increasing production? <br /><br />Globalization came about because developed countries needed new resources to exploit and in order to satisfy shareholder demands for growth growth growth growth. Unfortunately, nothing can grow forever.A Real Black Personnoreply@blogger.comtag:blogger.com,1999:blog-7820485130017459619.post-3457598593967890542012-05-16T09:16:11.300-07:002012-05-16T09:16:11.300-07:00If a german workers wage is dependent on consumpti...If a german workers wage is dependent on consumption of a person from a different country, irrelevant whether in exchange for goods or debt, than the very principle on which such economy operates is faulty. Imagine a scenario when a countrys economy is self suficient in fulfilling its needs of goods and services. In such a scenario the economy will run ad infinitum without major problems,all workers will have their jobs and wages to buy goods and services from one another. Now imagine the second scenarion when the economy is many times more self suficient, which means that the completely self suficient economy can produce much more goods and services than their citizens can consume. Common sense says that the second scenario is a better option since the citizens of an economy will have more wealth for the same work or less work for the same wealth.Believe it or not, I say that in such a scenario the economy which is run on present principles will quickly crumble.Why? Because workers will keep producing goods and services, but those goods will not find markets within their economy.The goods will be accumulating in the warehouses until they reach capacity, then the workers will be laid off since there is no work for them, and they will have no money to buy the goods they themselves produced,the same goods which will be lying in abundance in the warehouses all over the country.Such an absurd situation only shows that workers are basically held hostage by those who are in control of the means of exchange of goods and services.And the captors pay them for the sake of working not for the sake of results of their work.So in order for the system to work, the superfluous production will always have to find a consumer regardless, and it is not the worker who will reap the fruits of his work.<br />This perfectly self suficient economy is called the global economy.In this global economy production always equals consumption. In parts of the global economy some produce for others and some consume from others but in aggregate the world economy is always in perfect balance.Anonymousnoreply@blogger.com