The history of
social development can be explained as the use of profit making part of
population by wealth. Farmers produced a larger part of wealth for centuries supporting
sustainable population growth. “Noble”
people had harvested the excess profit of food and primitive technical
production before effective industrial-size mechanical tools were invented and
workers replaced farmers as the excess profit maker. A few centuries
exploitation was hard and the working class produced more and more profit allowing
replacement of “noble” by the owners of growing factories – capitalists. To
protect property the force of knights was replaced by the “power of law” enforced
by bought police and court. (Bought means that their budgets are controlled by the
governments where the representatives of wealth prevail.) Mechanisms were
relatively simple as demanded high skills including masculine power. Workers
were the creators of value but the norm of excess profit was relatively small
per working hour and a larger part of population had to be involved in
industrial production together with farmers with relatively low but increasing
productivity. Education was not a production asset and social life was
extremely polarized between a small group of the richest and masses.
The next step was
related to the increasing electric power behind industrial production, which demanded
more educated specialists/engineers covering routine processing and further development.
Services also started to develop at an accelerating rate in order to sustain the
health and productivity of the population part providing the highest input to
the excess profit. Specialists, together with highly skilled workers, formed
the middle class. Education become the driver of economic growth and fast
wealth growth. The skills of an average worker became less profitable asset. The role of the middle class as social life trend
maker was high.
This golden age
was not long, however, compared to the periods of farmers and workers as the
prevailing profit makers. Computers changed everything and ordinary line
engineers were declassified to average workers. Computer champions became the
excess profit makers. Wealth (0.1 per cent of the population) now days gets the
highest portion of GDP (GDI) ever. As a result, the household median (real) income
has not been increasing since the late 1990s. The excess profit is and economic
profit was privatized by the wealthiest part of population. Engineers and
specialists (except the most effective and productive) lost their power in
social and economic life. Computer geeks are quite different as humans - less masculine power and more creativity
sometimes close to psychic illness. Since these geeks provide an extremely high
rate of excess profit as individuals unlike chain (production line) workers and
engineers the search of these profit makers includes intensive support of their
(sub-) culture sometimes in many cases conflicting with the conservative values
of the golden age. The larger part of population is excluded from the interest
of the wealth first time since the Greek republics. The clash between the
wealth defending the profit makers and the conservative majority slowly
recognizing own extinction in the process of economic development is the core conflict
of the present. The modern liberals
serve as lubricant to detach the majority from the political and social power. Conservative
views are not welcome because they suppress unlimited creativity. It needs more
money, well compensated by the highest rate of productivity growth provided by
the creative minority.
I do not know how
far this conflict will go in the near future and do not care about the winner.
The problem is that the next step is likely related to further shift of the
excess profit makers to the most creative people at the border of schizophrenia
merged with the AI.
This is the way of
wealth, not the humanitarian society. This society is dying every minute when
the income share of the richest increases.
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