Competitive individual ownership is the biggest find to drive progress

INFOBAE – The planet’s natural resources have not changed since the beginning of time. However, the populations learned how to arrange themselves, to house more and more people. Starting in the 1700s, they accelerated their progress. In the following 170 years, the period of the most famous discoveries, the world’s GDP tripled. And in the last 40 years it has intensified even more.

More than inventions and new technologies, institutional changes were the real causes of progress. Because they weakened the so-called Law of Malthus, the English economist and demographer who formulated it. From the beginning of time, until the 18th century, humans, like all species, expanded their population to the subsistence level, marked by food production.

With each increase in food availability, the population grew. Until hunger and disease wiped out the remaining people. Right to life? The vast majority survived, barely, at the limit of subsistence. The worst fed, the weakest, succumbed silently.

In 1688, the Glorious Revolution, in England, marked an institutional change, deepened a century later, with the Constitution of the United States and the French Revolution, whose motto was “the same and equal law and measure, for all humans, for all the times”. The demand for the same measure emerged in “the notebooks of complaints”, the survey commissioned by the French Convention, in all towns and villages.

The injustice that, in all transactions, the “boss”, the hierarchical superior, imposed the measure of what was delivered. In reaction to ensure the constant unity of measurements, they bequeathed the Decimal Metric System, today the International System that governs the entire planet, greatly facilitating world trade.

The consequence of these innovations was the rights and evolution of competitive individual property. Who discovered individual skills to meet new, unthinkable personal needs. From then on, all people could aspire to greater joys, which were previously the exclusive patrimony of the privileged kings and lords.

By suppressing privileges, this is unequal rules, they achieved greater enjoyment, extended by the societies that agreed to the justice of the same rules and measures for all. By suppressing privileges, this is unequal rules, they achieved greater enjoyment, extended by the societies that agreed to the justice of the same rules

Such innovations gradually weakened Malthus’ law, while recognizing the advantages of competitive individual ownership. People could already contract with others to increase the value of income and arrange it over occasions and times.

Unique income gap

Competitive individual ownership frees humanity from the condemnation of destitution by agreeing on the same rules for all humans, and generated unique aggregate results.

GDP / HAB measures dollars of similar purchasing power

However, and despite the fact that scientific knowledge is available to all interested parties, competitive individual property rules more fully in the few nations whose political systems make them advanced. These nations comprise just 10% of humanity and generate half of the world’s income, averaging USD 55,000 per year per inhabitant.

In the other 170 countries, where property is less recognized, more hampered, income averages between USD 240 per year per inhabitant and USD 37,000, depending on their acceptance. In the other 170 countries, where property is less recognized, more hampered , incomes average between USD 240 per year per inhabitant and USD 37,000, well below that obtained by developed nations

Competitive individual ownership recognizes that humans have different abilities and needs, educable as long as they compete, specialize, in the tasks that best suit each one. To this end, they agree on institutional frameworks that release redundant obstacles to individual transactions. }

Stable and equal rules for all, eliminating the privileges of unequal treatment. A more complex organization, but similar to that of competitive team sports and activities, where each player occupies the place where they are most valuable.

Competitive individual ownership results in each person being remunerated according to the value they produce by satisfying the needs of others, over time and occasions. And you can spread that income over time, as you see fit. No one has the right to receive payments and goods for values ​​greater than the satisfactions produced for others.

Individual properties are less competitive where they are enervated by impositions, claims, appropriations, of those who do not contribute by satisfying the needs of others contracted.

While voluntary transactions generate value, the impositions of forced transfers always impoverish. The balance between the remuneration received and the values ​​of the satisfactions produced for others is a condition of competitive individual ownership. The more valuable the freer of redundant impositions.

How do you recognize that the imposed charges are excessive? To the extent that some charge more than the satisfaction they produce, they are being subsidized by those who charge less than the satisfaction of other people’s needs they produce.

In sum, the obstacles to competitive individual ownership, the poverty of the average income, measures the injustices of the differential rules that privilege some and impoverish the rest much more. Societies err when they seek to remedy these injustices by imposing new and greater burdens.

In the last 40 years, Argentines cut their individual income by less than half, when world income almost doubled. The painful consequence of worsening competitive individual property by imposing privileges on the elected with increasingly unequal rules. The greatest injustice drives the increase in poverty.

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