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Inefficiency at delivering improvements in life quality compared to even a couple of decades ago in the US. I look at the characteristics of capitalism across
by dv_dt 9y ago
Inefficiency at delivering improvements in life quality compared to even a couple of decades ago in the US.
I look at the characteristics of capitalism across two different zones of operation. One a sort of pre-industrial/pre-buildout phase and the other a post-buildout phase. The performance was great in pre-buildout where it's pretty easy to direct just about any additional economic activity to creating new value. So just about any activity that increase profits - increases general well being in the region.
But for nations in the post-buildout it's pretty sketchy, mostly more and more capital allocation going to momentum activity (three years of provable ROI...) instead of fundamental value creation. Increased profits don't necessarily spread out to general well being.
Nations like China, and many African nations, etc are in the earlier phase and it is certainly improving human quality of life in those kinds of regions - but other nations in post-buildout it's a very mixed bag where fundamental improvements are flat or even reversing. China is arguably in the middle of build out and may have another decade or two to go where current capitalistic tools work well for it. Africa is even earlier on that curve - but the US is definitely in the post phase.
I'm not even advocating any specific change - just observing that there's a big difference in the effects of economic activity in the two phases. And that the US in the second phase is really not delivering quality of life improvements to society at large in the same way as earlier. If one agrees with my observations though - it is easy to think that some sort of change is warranted.