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martes, enero 10, 2012

A New Spontaneous Monetary System

We know, as a priori revelation, that an observed persistent order in a transcendental complexity -in its very very vast finitude, or its vast infinitude- only arises spontaneously. There is no place for a command-control center in such subtle organization. The vastness of this complexity will erect an unbeatable boundary which precludes all sort of successful centralized organization into this complexity. If an organized complexity is called to exit and persist, then all entire dominance of its vastness tips the balance in favor of a decentralized organization. Why?.


One of the key reasons why a centralized solution is not a possible one is due to the fact that in this kind of phenomena it has been lost the principle of simultaneity. Doesn't exist some simultaneous events. For example doesn't exist the simultaneity between the state of a complexity and its eventual instantaneous interpretation and therefore commands issued to change the state. So the interpreted state obtained at the time of observation could be not the same state of the complexity at the time of issuing commands to change, or not, the state; therefore a sequence of centralized interventions could not converge to a desired organization or, if converge to some one, it wouldn't be possible determinate their certain causes and the effectiveness of commands.

It is simply impossible that from a central entity arises an arrange of vasts aspects -of vasts elements of a reality- to obtain all relevant information of such complexity, to process such information, and then to issue all elaborated and specific commands to each elements while the observed state remains fixed. The elapsed time between the observation time and the issued commands time is not a void time, and the state of the complexity may change along it; thus the information gathered about of state of the complexity becomes irrelevant to organizational ends.

In a social organization this limitation for centralization is clear. For example when Hayek, correctly, says that such supposed given information for an economic central planner isn't never given at all -while it is imperfect, incomplete, some time wrong, or biased pieces of information- he is accepting that no one individual in a society has the ability and capacity to obtain and harness a so complex and vast pile of information about of each from infinite aspect of the real world; and so no one central planner has such ability and capacity too. The piece of time demanded to obtain and harness such pile of information will be enough to turn this information into irrelevant. In this way any attempt of an individual to gather a detailed prospect of the reality is doomed to fail. So each individual is naturally forced to gather only a vary small, incomplete, and imperfect portion of dispersed information which will be used to understand "his or her" relevant world to make "his or her" feasible economic and social decisions.

All transcendental complexity is, fortunately, doomed to a not central persistent organization. In general, any transcendental complex order must be a decentralized one. In particular, a persistent order in a social complexity will be decentralized. The history of the more important and persistent economic institutions for the prosperity of the mankind are only some manifestation of such true sentence. Some undeniable examples are: the true rule of law, the private property rights, the free market economics, the governance rules, and the money. We are witnesses that all attempt made for controlling or centralizing these institutions has induced evident social or economic catastrophes. The utter destruction of money institution is something that the mankind has been making in the past one hundred years. The total central control of the money which has been imposed from the governments powers around the world can illuminate us about the consequences of destructing a decentralized complexity.

The monetary spontaneous order -free monetary system- derived from the social effort of decentralized cooperation among million of people, has been now replaced by a centralized fiat monetary system imposed coercively and commanded from the state, -from the government-. The money system which emerged from an spontaneous order, like an institution to support and promote economic prosperity in a society, has been turned into a coercive central instrument to defraud people and destroy economic prosperity. The relevant decentralized information that each people use to make an spontaneous monetary order has been annulled and replaced by information supposed relevant only for a central banker, or a president of a country or a reduced group of friends, whose -like a central planner- are trying to take total control over a vast and incontrollable complexity. The final fate is known: its total fail.

The solution to this trouble is a natural restitution of spontaneous monetary order. But the means that the society has to restore this order not looks so clear. I have heard the logical idea that it should be withdrawn the central control powers from the government, to be restored to each individual on the society. I have heard too that a shocking revolution could reach this end and I have wrote something like that in a precedent post when I'm talking about of a “great revolution”.

I think that this last expression "...a great revolution..." has a sense not only of a logical revolution but mainly of an spontaneous revolution. An spontaneous revolution here means that the only mean that the mankind has to restore a broken spontaneity is a new spontaneity. So the only mean to restore the sound money is through a new spontaneous money. If people wish sound money they must, in spontaneous cooperation, meet the challenge to build a new monetary system. An spontaneous side order that overcome to the dying coercive central fiat monetary system. So the solution of the restitution of the spontaneous monetary order is A New Spontaneous Monetary System.
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sábado, enero 07, 2012

The EURO Must Die

Imagine you a world which is dominated by a single imposed fiat money. A world where a cult of privileged men has a total control over the money that all people on the earth are forced to use. A world where this sect has a supper monopoly throughout which it controls the use and issues of a single fiat money. A world where generally, a single man, would decide the quantity of money and the arbitrary distribution of such issued money among seven billion of peoples. Surely such a controlled world would look like a world with seven billion, but one, slaves. That is the meaning of final implications of the fiat monetary system: to enslave people.


We know that a slavery world -like socialism or communism- is the worst of all social organizations. At the beginning let me make an ask: why the fiat monetary system leads to social slavery?. The resounding answer is that such monetary system overrides freedom of people while they aren't free to choice money. In a social organization while people aren't free to choice money they aren't free to choice anything because all other thing are interchanged, one and others, and valued using money. The quality to choice money is a transitive property given that the money is a mean of payment. But the more important fact is that the quality of liberty is a transitive property too. So, if someone hasn't a full exercise of his or her aptitudes, then he or she hasn't a full disposition of his or her goods, not a full deployment of his or her personality. In other words, he or she is like a slave.

So, a society living with a fiat money system is a pseudo-free society. If a society isn't free to choice anything they don't live in a capitalist economics organization. Then, like Ludwig von Mises has said, a not capitalist society is a socialist one. The fiat money is a governance instrument of the socialism. Under fiat system the government has the power to determine the quantity of money, it has the power to force all people to use it, and it can issue money to meet the harmful demands and to benefit particular groups.

In this way, government create inflation because this additional issued money doesn't cover a sound rise in the economic demand for money but serves sectional interests. In this way the value of money -and therefore the value of all economic goods- is given by the coercive power of state and not by free people acting in a free market. This is a socialism system for the simple fact that it is the state, and not free people exercising all their rights of ownership, which has the power to determine the value of all the pile of economic goods. That it is the state which has the last properties rights of all economic goods in a similar way that Hans-Hermann Hoppe calls the fiat property rights.

The EURO -the common fiat money of a vast collection of European countries- is an attempt to generalize a unique fiat money monopoly over a vast social diversity. It is an attempt to limit the natural predisposition of each country -predisposition of all people who live there- to choice their own money and to use all these moneys to compete one and others and so to preserve the value of such moneys. Then, the EURO is a perverse attempt to dominate and to slave all European society, it is an attempt to induce a process of wealth accumulation and then to defraud and plunder all private properties of all European society. In the same way that a fiat system leads to enslavement within a country, the EURO leads to enslavement within Europe.

Fortunately, the EURO, like all attempt of totalitarian domination, must collapse. The collapse is the inevitable fate to this perverse socialist plan. Although men have chronic illness of some facile and petty selfishness, men also manifest prevailing feelings over life, liberty, and property. These sentiments seem to be recorded on the foundations of our biological constitution: the genes. So these sentiments become eventually dominants and its manifestations spawn a great revolution. At this time another great revolution is about to occur: fiat money must expire; The EURO Must Die.
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