36 ms·
Stop using markets (or "prices") for allocation. Instead track resource/labor contents of products directly and "price" resources according to their pollution/
by orthecreedence 6y ago
Stop using markets (or "prices") for allocation.
Instead track resource/labor contents of products directly and "price" resources according to their pollution/known externalities.
One of the biggest problems we have is that markets can price labor costs effectively, but are terrible at pricing resource/raw material costs. Supply and demand has nothing to do with ecology and known externalities of resources. We should be able to set the costs of fossil fuels directly democratically (and same with rare earth minerals) either on a per-resource basis (if the use of the resource has known costs) or a per-process basis (if the process of extracting the resource has known costs), and have those costs trickle through the economy via companies that are effectively acting in a distributed productive relationship (like a market) but without using prices for allocation. Instead use orders directly, and then have consumers cover the costs of products on purchase, at which point the money they earned from their (negotiated) wages would be destroyed and not circulate the productive economy.
Markets can only effectively price resources in a democratic setting. This is impossible in a globalized capitalist system.