Archive for the ‘capitalism’ Category

money wants to expand its reach

May 17, 2007

I have written that money keeps on getting ‘lighter’. As a result of this, it can embolden its reach. The granularity of transaction will expand. I define a transaction as the point where cash moves from one person to another, that person can be an individual, business, partnership, government, website owner etc etc. The result of a transaction is the transfer of cash from one to another. Once the transaction is complete the receiving party is ‘free’ to take that cash (money acting as a store of wealth) any where they choose. I make a point that just because a transaction is successful (if you like legal) it does not mean to say it is of value to society/the world.

Capitalism has been happy to create these transactions and has found ways to create derivatives from them. Just look at the financial markets, cattle futures in Chicago have expanded to a range of financial derivatives that dominate the volume of transaction in the economy. Derivatives of derivatives are created to fine tune financial risks to the realities of the world. Along comes the Internet.

A new curreny has been created. The financial market have a rival. Think of the financial markets as a top down application of capitalism. It sees the real word and try to model it in risk tied to money.

Think of the Internet as a currency as a bottom ups application of capitalism (I like to call it life capitalism). It is the real world and it now looking to create its own currency that allow the change of value (human) and model to the creation of stuff in the world that those present in the world, individuals to have while they live.


attention focuses on life, money is just money

February 25, 2007

The train crash at the weekend took the life of one person, injured many more. The BBC are now reporting that it looks like a track points part was completely missing. Routine maintenance should have prevented the accident the article I reports.

I want to use this tragic series of events to illustrate how an economy focused on attention will make this another preventable crashes less likely to happen. The focus of a monetary economy is cash. In the train industry, the passengers fare, wages of the staff, the purchase of the trains, their fuel, cost of the track, maintenance contracts etc. Rewards focus on these transactions. In an attention economy the transaction looses its priority to all the individual parts that focus on sustaining life, in the case of a train operator, the passengers, staff, trains, fuel supplier, track. Notice the difference. The incentive system will be clearly identified with attention services and all rewards and information focused on monitoring attention services will be real time on its status. Transactions never focus on life, they focus on the money. Money is not life, never will be and the quicker we celebrate the successes of monetary capitalism and release it to be base on attention, the new currency, the quicker we will reduce the probability of such tragic preventable accidents occurring again.

Human Capital: Attention on the record

January 23, 2007

Society has made significant progress with establishing a financial capital market. A framework on which a Monetary Capitalism Economy has thrived and succeeded. There is still that last pocket of opportunities under this intellectual model to be realised but the next stage of Capitalism is showing its hand, the Attention Capitalism Economy. I personally like the term Life Capitalism as this describes the focus of the new game and a human capital market will be created by society to realise this world.

I was pointed to this blog posting, document human captial or you can listen to the insightful interview , via an email from the CEO of OpenYear . NB. This business is sponsoring this series of blog postings by way of disclosure.

The blogger interviews a pioneering economist that has used his risk management intellectual thinking to visualise risk, personal and aggregated to society risks to show opportunities available now and in the future. He talks in term of expanding the financial system to new areas where information is more transparent, more realtime. But what I would say it is not so much financial data that is being used but attention data. I also feel the risk management terminology is to look at the vision from the wrong direction. From the corporate looking out rather from the individual looking out. Now, individual are corporations putting aside the legal status the law has given them. So, we are all talking about the same thing in reality. In short, this new market is dependant upon visualising more data, thus this data is required to be captured (yes with nil effort), sharing the data under ‘my’ privacy empowerment choices, and the expansion from merely recording the transaction to all the interactions that lead up to the simple financial event, we call the transaction.

I agree that the creation of this society is inevitable and this blog posting and pod-cast provides an intellectual stimulus for those freely willing to gain knowledge on this area.