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Capitalism

The basis of capitalism is the exchange currency. Who has the right to consume material resources are those people that have the capital as the basis of exchange for goods and services. This text aims to unravel everything that walks behind capitalism, their relationships and attitudes with regard to social behavior and human values​​.

 

One way adopted to quantify the work is through compensation. She is an exchange basis where the effort to produce goods, services, knowledge and physical effort are rewarded by currency. There are quotas determined by the value of complexity and / or excellence of the tasks performed.

 

In compensation a part owns the means of production and pays for it if the profit achieved by the business. The other part lives on the quantification of their effort that prays on the contract, not being anything other than what they are condoning.

 

In capitalism when business goes bad there is a rupture of the social contract with the remunerative paid can do whatever they want, within the law, with its business, provided they pay what is due to those who helped keep the business when it was profitable.

 

The profit for the owner is only the appropriation generated by the use of equipment, structure and facilities, since participants already remunerated non-business owners for their efforts. But some types of businesses in capitalism predict that non-owners can take part of the profits, contractually, to which the owner is just an incentive for unpaid make use of work tools more intensively and thus increase further profit / capital business.

 

For non-owners the increase in pay that portion of the profit is a relative advantage because their idle effort, outside the service, which earned him no dividend will now have as a store of value where the extra time required to generate new products and services for owners generate an additional income generating greater satisfaction in obtaining a higher amount of products and services that may acquire generating more comfort for you and your family.

 

The legitimacy of capital accumulation occurs by three factors: merit, luck and heredity. In case merit the person surrenders to consume goods and services to save money and to accumulate. Luck when the person does not have a direct cause and effect, for example, get a good donation to a stranger or win a prize in the lottery (return on risk of expending a small amount). And heredity when the person receives capital, whether in the manner of its ascending and descending scale.

 

The accumulation process is a hierarchical social leveler. Higher levels tend to have a larger share of money than the most basic levels. The physical exertion of the lower layers have a tendency to be paid less than the mental effort of the higher layers.

 

The division of labor follows clear rules of specialization. The degree of knowledge generated establishes a stabilized economy differentiation into layers of non-owners who are divided into intermediate levels of power through positions and functions. The functions reflect a potential difference between the supposed underlings. But in a capitalist world, when a deal goes bad the surplus labor of the base and the higher functions are the first to go out of business. The functions are reoccupied by less experienced and willing to earn lower wages than the occupant of the old post non-owners. For the non-owner without experience is as if he won a chance to show their worth and human potential. For the non-owner who lost the function will be a problem, it will have to show to the market that its differential is worth the compensation that will keep your level of income in the same manner as before.

 

For a government that is capitalist is bad for the owners to have it as a competitor. So capitalist society, influenced by the owners of the largest portion of capital pushes the government for activities such as regulation, advice and social divider. But when the capital to be invested in a company is huge and there is no expectation of return, or this is too slow, then the company charges the government to take care of certain areas of production to other activities that owners can emerge and generate more capital.

 

In capitalism there are opportunities for everyone. It is each discover the industries that need to be exploited or leveraged to generate wealth. The market differential is related to the factors: creativity, expertise, proper use of intelligence, opportunity, initial available capital and innovation capacity.

 

A person having capital does not mean that businesses will be able to play. If there is no feeling for investment fatally person, the owner of capital, will lose their reservations need to be paid for his work survive again.

 

Capitalism generates layers of the population in the range of survival that need to be supported by the government. These layers do not usually have high level of education and for that, took the market and are unable to frame in any field of activity because they lack qualifications. The government as a social divider is responsible for bringing these people back to the consumer in a way that they can rejoin the management of state social programs accumulation of knowledge society.

 

The consumption in capitalism is sometimes exaggerated to those sections of the population who do not have a sparing mentality. People in this case rather spend a result of this effort received as payment. For the economy's excessive spending for goods and services generates a growing demand for non-occupation of the owners enabling more people leaving the marginalized section of the population that subsists.

 

Moreover wasteful consumption generates a shortage of materials in the medium term endearing products and decreasing the value of the currency in order to generate inflation and destabilizing society. People stop buying products and services, the owners have reduced their profits, business decline, non-owners are idle and finally are dispensed to adjust to the new market demand.

 

In a capitalist society there are major deviations from the psyche that can progress very accumulating capital, as also by the excluded. The first lose track, in many cases, the true role of money and live the luxury for luxury. Spend in order to not care about the value for money that the currency provides, but the advantage of this behavior is that it is the occupation generator for non-owners. The second camp, living the frustrations of not being able to purchase goods or services essential to their existence. Regulates life in order to continue to exist for better days.

 

The range of values ​​of society and its ethics defines acceptable relationships that provides the capital. So, the moral code, laws, behavior and social rules embraces capitalism and gives him legitimacy. The system itself is unbalanced generator especially when there is a good relationship between owners, non-owners and government.

 

A person may own in capitalism, non-proprietary and government at the same time. The relationship between people derives from the complexity of links between family owners and government. The degree of relationship that a person has is sometimes crucial for it to be successful in their remuneration.

 

The friendship between people is a huge channel structure decision that makes a person get a high salary or get an occupation and participate in the sharing by producing products and services of a company.

 

Capitalism also makes the sharing of earning foreign exchange in a society. Only that distributes unevenly according to the categories previously discussed merit, luck or heredity. Those who are left out should be assisted by the government, whose transfer to this attitude is funded by the owners and non-owners.

 

When there is no merit to the accumulation of capital and it was not acquired by luck or heredity the state is responsible for legal ways to subtract the amount that the agent had no right to possess. As an example the assets and rights accumulated by drug trafficking. The confiscation of unused land in which the law requires to be productive. And many other reasons.

 

In the case of inheritance to be valid the agent shall not participate directly or indirectly in the death of the person who left the capital of inheritance for themselves. It is the moral factor here is that the law is valid and allows a clear rule that makes relations more stable and friendly people.

 

The government administers owners and non-owners. It is responsible for temperance in the relationship between the parties. It is the balance between big and small. Exercises its police power when needed. As a regulator provides punishment for crimes and excesses. Guides administered as the way forward through campaigns, public events, advertisements, programs and projects.

 

The power comes from the fiction of capital and is in respect of whom can influence through money a lot of people. The influence can be direct or indirect. Directly when the blockade of the capital by the dominant agent means that there is a decrease in the income pattern of non-owners. Indirectly when the ratio of decrease in income standard is not identified immediately occurs over a distance from the progression of income by a factor which impedes its progression.

 

Accumulate assets is a generator status. Consumption creates articles of luxury, desire, pleasure, comfort and satisfaction. So a person who has numerous articles about tertiary need is a sense of security, to be well protected, privacy and convenience. A person becomes what is the product or service that you can use.

 

The volatility of capital ensures a high degree of occupation. If an economy people are willing to only save capital then there is no balance of accounts and the capitalist system collapses due to lack of buyers of products and services. The state should encourage the administration to save little more than their surplus, so that it may in the future acquire goods and services higher.

 

It is interesting to capitalism have economic classes C1, D and E very high because these classes have little purchasing power. The ideal for a capitalist economy is that the owner does not pay to spend 3 times the sum of all expenses and reinvestments (including non-owners). But in a capitalist system there are no limits to profits and gains. Being part of the excess amount withdrawn through mechanisms such as the income tax. But if individual prices are deemed abusive the government may intervene to limit the profit for that specific excess.

 

If the owner of the means of production have consciousness and limit their profits and reinvest much of it will be strengthening the productive chain and its heritage. The reinvestment implies expenses and generating occupation causing great benefit to society as a whole.

 

If non-owners have the notion that it is necessary to specialize, then seek for new knowledge, new techniques, new structures of behavior, new paradigms to follow and could have a differential inside your profession that would make it attractive for an owner of capital wanted to develop a profitable business.

 

All dream of a non-owner is to become an owner of capital. And once the dream owner status to be able, in turn happens to be getting power. Other parallel drift forms are also experienced as culturalisation, pursuit of leisure, world view, consistent with the body and mind ...

 

Capitalism is not unkind to the human being, is that its use should be regulated by the government. In a society where everyone wants to win an invitation to common sense is required for all agents of society also share their obligations so that the profit is shared more fairly between all involved.

 

When a loss is a profit? When the limit imposed to preserve capital a set of people from an incalculable damage to life, dignity, conscience and human character. A capitalist activity should be regulated according to the basic guidelines of survival, the environment, property and individual effort.

 

The breakdown of capitalism to another system requires in tinkering with numerous social values ​​on which the society is seated more than 500 years. Any model that will replace the same phases of division of power, paradigm shift, as share capital more equitably and search for a new benchmark.

 

Capitalism is responsible for the economic backwardness? Not.'s Responsible for the Brazilian economic backwardness is the thinking of the agents. Businesses are predatory, we must create a culture for a self-sustainable model. The government in the same way that tries to manage the administered non-homeowners who are at risk of poverty must also manage the owners with instructions and information to better maintain their business and thus increase the capacity allocation of agents in private companies.

 

Money as expansion or contraction factor: economic multiplier determines whether an economy is accelerating or not. So, if people are too circulating currency in the economy that can generate an inflation factor for the dispute of the demand for goods and services. But this is felt in segments that have little competition. In segments with enough supply this effect is not as meaningless.

 

In the capitalist world, a government measure should be followed by other measures to regulate the effect of the first. And how to cascade the government should always act in front to predict market behavior and thus the scale necessary for balance in full employment actions.

 

The government can not retract investments in structural areas, as the delay in the modernization of determining the physical flow of production structures can have an unprecedented loss for the future. The state should provide for the growth and advance the material benefits needed to meet business demands, namely the construction and renovation of roads, bridges, education, ports, airports, ...

 

Wild capitalism and the aversion to capital are contrary to the capitalist system. The first to act in a predatory manner, not respecting rights and the second for wanting to destroy a base exchange that was invented with the formation of mankind and is already rooted in each. Capitalism exists in pure socialism. What differs is the division of both capital governing other sources of thought.

 

Do not try to flee the capital, because in any system he will accompany you. Learn to live in harmony with the exchange ratios established. For the foundations of a future exchange evolve and people can be happier. Remember that the Japanese after World War II studied a lot in other countries and returned to Japan and improved products and services of their instructors.



05/08/2014 - Max Diniz Cruzeiro
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