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Attempting Integral Economics...

I thought that the first piece on Integral Economics was a basic step towards applying the integral map towards economics and had a couple of conclusions which I thought were useful, but this is not what I feel should be discussed to really get to the issue.

Yes, in the middle is where we meet; this is true of every conflict both interpersonally and culturally.  I don't think this is the grand elucidation I was hoping for from this peice. 

Simply put, our currency system will not be able to create sustainability.  That is the bottom line for me.  We have one planet and its the best I've seen so far.  We need to start to utilize Stewardship and understand that we are now the sheperds of the planet and that neither of the solutions you offered will be sufficient.  You are indicating some of the bridge zone between current corrupt policies and an integral government which strives to make its peoples' lives better.  Our currency system is centrally based and promotes greed and scarcity.  The politicians don't have a chance to make this situation right with policy, we need to fundamentally change the way that we interact and use money to do so.  This is Integral Finance and not Integral Economics, but I also feel it plays directly into this situation.  I would encourage anyone wanting to understand the history of our currency system to read Richard Wagner's, the Integral Finance Center Director, eZine http://www.inside-money.org and specifically watch one of our blog videos which outline the inevitibile crash of our currency system.  We need a currency which is based off of value and values the extractions we take from mother earth.  Every tree has a value and if you use a demurrage currency system it is more economical to have the tree grow than to turn it into toothpicks and put the proceeds in the bank (which is our current motivational paradigm).

http://inside-money.org/blog/money-as-debt/

I'm sure that this piece was informative for many people, but I just don't see this as getting us any closer to a solution.  We have killed a significant acreage of the plants which help sustain us and take from the ground with impunity.  The political schema is looking positive, but there seems to be an insurmountable number of problems which needed fixing yesterday.  I want something which will give me insight rather than just overlaying the quadrants and altitudes on top of economics.  I also still say that it is ineffective to use altitudes so heavily and automatically lead the conversation down a comaprative dialiectic of "I'm more evolved than you"... which speaks directly from an egocentric center of awareness.  Watch out for boomeritis at every altitude, not just Green.  We need to have a full and healthy vMemetic stack if we're going to make this planet sustain life for the next couple thousand years.

Thanks,

-o-Jkare

IT  is

TI me

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Response to "Attempting Integral Economics"

In your response entitled Attempting Integral Economics to my program, you ignore my reference to Pigouvian taxes and subsidies.  Exploitation of the trees you mention is, in part, due to the external cost to society of cutting down and processing the trees that is not borne by the logging company or consumers of paper and other products.  One useful way of dealing with this problem is by taxing the tree equal to the value of the external cost.  This would increase the price of products dependent on the trees, discouraging over-exploitation.  Logging could occur at a more sustainable rate since only those uses with the highest return would pay for the higher expense.  The tax revenue can be diverted to forest maintenance.  Hemp is a very cheap and sustainable way to provide paper.  It can be grown quickly in a wide range of climates.  Not using hemp is a consequence, in part, of the fundamentalist war on drugs, and in another part, of the artificially cheap access to trees. 

It could be helpful to point out additional systemic problems if it can lead to a way forward.  Yet, by pointing out other problems as a way to deconstruct an otherwise helpful suggestion of Pigouvian taxes and subsidies misses the point of including the parts of existing economic theory than must be included in the transcendence to an integral economy. 

Now in reference to your charge that this is an elitist or a condescending approach, let me state that, generally, a policy in which the social costs are more than the social benefits is improper to society.  A policymaker or supporter of such a policy is then a supporter of improper policy.  I find it useful to call it a fundamentalist tendency within these policymakers and supporters because such a policy appeals to something in someone that is either i) not interested in societal welfare, but only personal, or own-group welfare, or ii) is not knowledgeable of the implications of the policy.  I'm not calling this person a fundamentalist, rather the tendency to support the policy is fundamentalist.  I don't agree that we can design a better system and implement it without consideration of these fundamentalist tendencies.  So I continue to conclude, it is not an elitist approach as you suggest.  In fact, this program, goes further by acknowledging the societal conditions that encourage fundamentalist tendencies.  It suggests a way to heal these tendencies in society.  So I thought it was compassionate, but not idiot compassionate, if you are familiar with the distinction that Ken Wilber likes to make.

 

 

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A couple thoughts on currency systems and Integral Economics

So, I just looked up a bit of information about Pigouvian taxes.  My first take at this idea is that this type of taxation is idealistic and doesn't account for systemic demands of our currency system motivating greed and scarcity.  I think an Integral Economics will conclude to use multiple currency systems which resonate with each other and motivate healthy economy and interaction.

Money has 3 basic purposes.  Money is

   1. a way to exchange value

   2. a way to store value

   3. a way to account for the value which has been exchange

Beyond this scope, all rules are what we make of them.  The dominating currency is a masculine type, centrally based and eternally deficient currency.  By this I mean that the Fed is a private organization that decides how to regulate the currency system and if we don't continue to create loans at an increasing 4% rate per year, that system will crash.  Every dollar you have ever possessed was created by someone's mortgage or car loan somewhere.  If there is no debt, there is no money.

We have used other systems throughout history.  A dual currency system tends to be the strongest in which one currency is used for day-to-day trading while the other currency stores value.  Take the Yak Islanders for example.  They canoed to a island and mined a huge rock which was used as the store of value for the family.  They carved a hole in these rocks, which is what made them valuable (value is a belief, very interior).  They obviously didn't bring this rock to market, etc. and they had a portable currency that they would use for day-to-day transactions.

The Egyptians used Demurrage, which is the opposite of our currency.  By this I mean that currently if you go and put money in the bank in a savings account, it accrues value.  The Egyptians were an agricultural based society and used grain as their means of exchange.  If a farmer deposited 10 bags of grain in the granary and came back a year later, there would be 8 bags vs. 12 in our current system.  This motivates people to remove their holdings in the bank and sell and exchange their goods rather than having it stored somewhere not moving.  A dollar spent 20 times is worth $20 instead of $1.  This is a hot potato type of currency.

Using this currency vs. the Pigovian tax is much more effective at creating an environment and economy which supports and benefit infrastructural improvements such as forests.  I don't have the slide in front of me but basically if you look at the value of a tree over 100 years using demurrage vs. a fiat currency, it is in the fiat currency user's best interests to take a tree, turn it into toothpicks, sell the toothpicks and put the profit in the bank rather than letting the tree grow.  In the Demurrage system this investment is accounted for and is worth the multiplied value that is logically inherent in a 100 year old tree.

I don't have an answer for what the next healthy system will look like, but the LR motivations implied here are that a fiat system which requires constant expansion is insufficient to create sustainability.  I know your piece was pointed towards economics, but if we can't sustain this planet, economics will be one of the first things to break down.  Taxes are a way to change motivations some, but it mostly looks like a way to slow down expansion and change cost-benefit analyses rather than motivating our culture to invest in our children and planet's future.  How can we make clean and green (not vMEME) economy?  I agree with Brian O'Connell with respect that you must look at all first tier memes simultaneously rather than focusing on a portion of the rainbow.  Integral implicitly accounts for all memes all of the time, right?  I also think that you have an insurmountable task to get taxes like these passed.  The powers at be are in power and will use that power to make sure the current system continues to benefit them.

One last major ontological hurdle for you to overcome is the fact that Economics commonly teaches people that money is value neutral.  Just a number in the equation, that is all.  I have outlined a couple of the complimentary currency systems used in the world today, each of them has a different way they motivate the users.  These currencies will be a part of the solution.  Complimentary currencies are a portion of the monetary system, which Americans just tend not to be educated about.  I've seen Australians come in for an Integral seminar and know exactly what LETS currencies are and use them on a regular basis.  There are portions of Japan where they use LOVES and have credit cards that interact with multiple currencies at once.

I just think Integral Economics should account for these variations in how currency can be used.  Each of these systems lead to a different set of LR motivators which in turn lead to different results as to what is best for a person as they use these different systems.  When one system starts to over inflate, it becomes more beneficial to use a complimentary one.  We've been doing this for thousands of years.

Take two examples of 1) WWII and the Weimar republic and 2) the great depression.  In both of these cases the primary currency was defunct.  In Germany, the currency began to hyper inflate which caused the Weimar populace to create their own currency for local exchange.  The government made this exchange system illegal and forced the public to use the national system.  This forced hyperinflation and the rest of it including Hitler becoming democratically elected.  We made a similar set of systems during the great depression in America.  I grow corn, you grow pumpkins, lets help each other put a good dinner on our tables.

The scary part is when you try to implement these same systems today.  How many farmers do you know?  Will they help you out if the grocery store can't?  Most people have a week or so worth of food in their pantries.  Most grocery stores have about 2 weeks worth of food.  What happens when it the grocery stores can't pay for their deliveries? If people can't eat, they are thinking in a purely beige to red mode of thought.

We have to create a system that will help us take care of each other.  A system which will motivate us externally as well as ethically to take care of each other and ourselves; to breed a healthy interpersonal interaction.  I believe that if we found the right set of currencies, it would be the single greatest thing we could do to reduce suffering around the planet.

Money is a Perfect Artifact and we have now gotten to the point of evolution where we can choose what sort of system will work best for us. We can now create an economy that will motivate us to take responsibility and Stewardship for our planet.

Thanks,

-o-J

 

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Waiting for part 2?

I share in your sentiments on Part1. I was suspending judement till part 2 but you made this post. There is HUGE CRITICAL elment that Integral misses that makes the integral economics not in touch with how economics ACTUALLY WORKS. It is understanding the monetary system not just in theory but how it is actually done in our society. The video Money as Debt is a good start. I posted the same video on integral naked ( 9 months ago , not sure) and did not have any comprehending responses except from garbageman. I have been aware of the monetary reality for seven years and it is very fustrating to see such a blind spot in awareness of this, even from the so called experts.

Some how people confused modern economics with banking. We have a phony civilization that has the image of being modern and postmodern when really it is a civilization contolled and designed by a few shadow families that own the central banks. How does integral comprehend that the central banks are PRIVATLEY OWNED outside the juristiction of all government. This will not fit into the map very well unless we regresses its projection of a amber orange or green society when it is really RED with amber and orange, green pedals that can easily fall off. Integral is looking at the conflict between amber/orange/and green thinking civilization has curbed red. I agree for regular humanity, but their has always been the elite. And just what have they done? What is the history of the elite? Its a non-fiction horror story. Think of all the atrocities man has gone through in the past century and it was all planned by this very small group of elite international bankers. In the past others on integral naked put out the conspiracy theory label. Ah, what is happening now in banking? Think it was just natural market failure. I agree, but the elite used these systems knowing they were going to fail and to use that knowledge to concentrate their power. Look at all the global meetings. Do you understand this in a comprehensive way? I will wait for Part 2. I do not have any great expectations.

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Video on FED and the real conspiracy

I found a good series of videos on the banking system and its shadow structure. The first part is retro followed by recent commentary. This is a crash test course on banking history. Based off of Carroll Quigley's work. This is very pertinent to current events.

http://www.youtube.com/watch?v=BPU8w7Bxc0A

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FED UP

To the fed is an evil conspiracy out to destroy all trees clan.

If you understand the Integral map, then how could a purely lower right system 'The Fed' be the root of all economic evil? All systems can be traced to a creator and reduced to a cabal, because they are artifacts of the creative process of human problem solving.  So what if any system has a originating intelligence? Does not the entire universe? Or do you mistrust that creator as well?

Are you creating an economic system in your own image? Are you the economic god?

If a system exists, it was evolved and thus should continue to evolve.  No system, the fed included, just popped up one day solely created to oppress and enslave people or trees. That is such an insidious and obvious personal shadow, one I suffered under for waaaaaay to long myself, so I feel your pain brothers and sisters.

I don't know your particular history of the fed (rather subjective, no?) , but I can spot mean green meme retro romantic saturated rhetoric from a mile away, regardless of the topic.  I remember when I believed our monetary system was the root of all suffering including my own, but thanks to Ken Wilber, I now know better and can breathe and maneuver within a less than perfect system, but a system that is more perfect than tribal trade rituals of yesteryear. Anytime anyone proposes reinstitutionalizing systems (as if that was possible) of an idealized ancient past as a solution for a rapidly approaching and idea blowing future, I get pretty freakin' frustrated. I also pretty much ignore your sources because your whole premise is so mean, self serving and tired that I know there is always an internet source to back it up. More power the people!

I'm actually all for alternative currencies, but would they not exist on top of the fiat system? Bringing novelty, depth and variety to a more fundemental system that retains a solid and tested foundation? Transcend and include? Active evolution.

The current economic crisis has a little to do with the fed and a lot to do with the narcissism of a culture that has lost its moral and ethical DEPTH- Boomeritis comes to my mind. The same narcissism that creates hedge funds to short whole banking systems is the same narcissism that would replace the fed with Mayan seed trading.

I don't think your 'throw out the current system and replace it with MY system' diatribe is of any use at all. I don't think the extremely tired 'Ken wilber and the Integral elites' whining ever served anyone towards a higher learning. And if you think I'm being mean, I mean to be


GOD, I wish there was a mean green meme silencer ray. BZZZZZZZZZZZT

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How can I help you?

You made alot of assumptions about my perseption of the monetary system and how it relates to the Integral Map. I share in all of your thoughts. Some how you think I want to return to something. I am also all for a pluralistic currency system. Our laws do not allow for alternative currencies. The FBI has taken down the liberty dollar last year. Basically a pluralistic currency would be a huge change from what we have now. The FED is a real bank with history. Yes our understanding of history involves our subjective self but it is not a fantastical concept since it involves physical history. The FED has it own reports. If your not informed about how the FED expresses its own function then ones statements would just be subjective relativism. Pretty much your whole comment. If you have to beleive then your not involved in a exterior validating process. If this topic was on culture then your comments would fit right in. In the context of a LR system you look like your placing your self as knowing this subject. Self centered orientation. Green, green naive green. 

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The FED is in charge

Point taken about the greater green cultural venting I spiraled into.

But, the FED expresses its own function? And how did the FED evolve? Are you claiming that it just appeared like a species? People were not involved? Are they not involved right now in and influencing it? Will it not change due to pressure/ situations? Is 80 years too long?

I just think it next to hopeless to focus on one system and portraying it as some force outside of our experience. I don't see how removing the hub of our system (if I understand you right) is a bright idea? Are hubs not good in networks? Would it not create more suffering to replace it than to correct it?

You clearly know more about economic theory, as do many others on this thread. As far as your history, It just smacks of the all the stuff I heard over and over as a mean green that's all.

I probably chimed in way to quick. There are much smarter replies than mine now!

Ciao,

Ev

 

 

 

 

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Altitude finger pointing

  I agree completely with Jacob Wagner's comment that any discussion involving the implication: "I'm more evolved than you" will lead to failure, since all it usually does is piss off the other person.  However, what I'm thinking (hoping?) is that the IntegralLife website is a culture that is evolving and thus perhaps we could take this as an opportunity to explore what might be done to obviate this issue.

  Whenever I find myself wanting to point fingers at others (or more frequently, after I've already done it), I look to my shadow to see if I can find the urge that led me to do so.  Usually I can find that something in me that is like that person that is irritating me, in which case I try and become aware of that irritant so I can make it conscious and integrate it better (..once again, since I find I tend to back slide quite a bit).  It doesn't always work, but it's better than not doing it.  I find arrogant, smug people the most irritating, so I suspect I've got quite a bit of that in me.  It doesn't make me feel good about myself to understand that, but as this is part of my overall goal of development, I understand that at this point, it is not something to beat myself up over, as I am a process in development.  Thus, in the long run the cringe effect of looking at myself outweighs the failures I would have self-inflicted on myself in the future, if I wouldn't have at least looked into my shadow.

  That said, what I'm wondering is if "behaving integrally" actually means being aware of my own altitude and the other's altitude and using that insight to create a diplomatic and respectful reply to the other's position in order to create a bridge, not a barrier.  I'm with Wilber in his idea that no one can be 100% wrong, so when dealing with people at different altitudes than myself (some higher, some lower), I try and at least give them the credit for what they have right.  That doesn't mean a "behaving integrally" person has to pander to everything the other person says, but saying "You're lower altitude!" is also not the way to behave.

  Since I also realize I'm a product of my culture and have blind spots due to that "inter-subjectivity" factor, while I may think I'm absolutely right in what I say, I also realize that even if I am absolutely right, it is only within my particular context.  Thus, another person may also be absolutely right within their own context.  Thus, we both may be right (this is a conundrum, not a contradiction).  In the past, this impasse was usually resolved with power and the one with the most power won.  Now I think it possible to have win-win or at least "draw-draw" resolutions to most discussions by being aware that it ok to agree to disagree, since 2 people may have different world views and each may be correct in their own right.

  Ok, so this brings the conversation up to green meme and multi-pluralism, but the problem with the green meme is that everything is based upon inter-subjectivity and thus there is no way to actually make a decision about who is "right" and who is "wrong."  However, Wilber has also discussed how to resolve this, I believe in his "Integral Psychology" book, where he describes holon-archies or hierarchies of greater moral good, etc.  Thus, to resolve the green paradox, a judgment (gasp, choke, this is hard for me to get past my green meme consciousness), has to be made.  "Theoretically" this can be done by determining the altitude from which the different world views are originating and picking the higher one as the "more correct" (read "more encompassing") one.  I say "more correct," since there are even higher world views where the "more correct" one is now incorrect.  This sort of knowledge helps to keep me (somewhat) humble.

   In the paragraph above I also stated that "theoretically" this judgment can be made.  This is because for this to happen, there has to be some way to "objectively" or "scientifically" determine the world view of the people involved.  According to Wilber and other authors, this can be done through getting a consensus of "experts" in this particular area under consideration.  Right now we don't have that sort of team available to appeal to, thus, we have to fall back on our own devices, which is what I'm presently attempting.  But, perhaps in the future, we can have an "IntegralLife Dear Abby" to whom we can submit our conundrums for analysis and possible resolution.

  In the mean time, for myself, I simply try and avoid any sort of fingerpointing (and if it seems I'm doing so here, I apologize, since I don't have any particular blog in mind as I write this).  When I find myself wanting to finger point, I stop (well, I try) and try to analyze where my and their world views are differing, and thus modify my response so as to respect their world view as much as I'm able, yet respecting mine also.  Yes, this often leads to wishywashy me not taking an absolute stand as well as often just agreeing to disagree, but it is better than my evil shadow twin taking over and trashing the whole dialogue.  I think that this way at least leaves a door open for further dialogue, since as time goes by, more information becomes available, and, shock, people evolve and their worldview changes, well some of us...

  It is this sort of integral approach process that I think is one of the bases of the power of the integral method.  While it is slow and paradigms change by funerals, not revolutions, it does occur.  And by dialoguing, not bashing each other over the head with each other's worldviews, we can evolve together and develop an IntegralLife culture like the world has not yet seen.  Sounds trite, but I think it is true.  Remember:  Evolution R Us!