provocation 262 Competition and losers
Why competitions? Why do we need competition?Competition makes winners. But it also makes losers. Can we afford losers? A large share of the population is being turned into marginalized losers. This seems very dangerous. Within the US the point zero one percent are treating themselves as though they own the country (they do) and the rest not as fellow citizens but just takers. And should be further marginalized. Maybe covid and climate will take them off the planet, so goes cocktail conversation in 15,000 sq ft homes. Competition is taking us into cyber war, where major events happen in nanoseconds, and there is not time to respond, as was the case in mutually assured destruction. Our brilliant computers will make those decisions for us. Eric Schmidt originally from Google gave an interview with the Center for Strategic International Studies in Washington, and he was all for more and more innovation and more competition – “otherwise the US will become a loser”. He wants more competition with China. Never raises the possibility of cooperation. Competition and growth, two rising exponential curves. Why does economics so much more frequently go along with this logic rather than propose alternatives? We are watching the fuse burn down to the stick. As the mystic says, “wake up my beloved, wake up!” How can economics help turn us from competition to cooperation – and in time?
Market dynamics leads to wealth concentration. Why did Keynes not see that in his “grandchildren” paper? He saw increased production leading to better lives for all. What can economics say about why this did not happen, what happened instead, and what we can do about it?