🇳🇱
@avlcharlie How is it a oxymoron. All capitalism is is any system which includes free market trade, that is, trade in which natural supply-demand pressures dominate the markets pricing.
Nothing about that implies greed or altruism, it only implies everyone is trying to maximize their own fitness function (get the most utility for their resources). Its about effiency not greed.
@freemo @avlcharlie well, unless people attempt to develop some level of sophistication, efficiency turns into greed, because thoughtless accumulation is the easiest thing to do. This is reinforced by a social environment where chronic accumulators are considered successful by chronically accumulating media.
Bow ya figure that makes no sense. Accumulating resources in a vault untouched is the least effecient form, you literally have negative effiency as inflation devalues assets. A person would achieve effiency by investing thrir mo ey wisely and ensuring other people are using those resources to effectively increase the total resources in the market.
You are getting stuck in the fallacy that someone havibg authority (ownership) over those resources means that other people cant use it for their own gains as well which is entierly contrary to the reality. Those resources will be in others hands and used by them in some agreement to use them for mutual gain (investment in others).
@freemo @avlcharlie maximisers would invest for profitability and not for sustainability. Clearly this conversation is way too abstract and way too generalising, but rich people investing in cheap resources is a real problem in times of pressing change.
Optimising is by definition deprived of vision, ask effective altruists ;)
Who said anything about sustainability. We said utility, that may or may not line up with sustainability. They will pick sustai able when it has the most utility.
Similarly thry dont buy cheap if cheap is less utility. Somethi g at half the price that breaks in 1/10th the time is a bad investment, so no thry dont just go with what is cheapest. Rich people dont invest in cheap resource they invest in what gets them the most utility, which is what prfitability is.
Optimising has vision, for the thing you are optimising for.
@freemo @avlcharlie the problem is that environmental cost are not part of the final price. Instead they are internalised by those with weaker negotiation power.
Examples:
- miners from poor countries pay with their lives to extract resources that unaccountable mine owners then can sell at competitive prices
- wildlife gets pushed away from investment-grade land
I can go on with Amazonian rainforest, Russian taiga, Australian Coral reefs, African rhinos, l Mediterranean fish, orangutans, polar bears,...
@mapto I think what you're illustrating is NOT that the costs aren't included, but that you personally don't agree with the costs.
You want those people to place higher value on their resources than they do. Their valuation doesn't match your own, and you're insisting that you're right, wanting to impose your personal values on them.
Let's be clear about what you're doing here, including the way it has associations with colonialism.
The people in those poor countries need to be fixed in their valuation of their resources?
The issue is deeper than that. Utility is contextual. Utility means something different depending on the rules of the game AND the players. Capitalism only maximizes utility. Its all the other aspects of a government that ultimately have nothing to do with capitalism that define the rules of the game and ultimately define what has utility when playing within those rules.
The failing is what it always is when people talk about capitalism, its that thinknofnit as one big monolithic thing rather than just a single principle among thousands with nuanced interplay.
@volkris @freemo @avlcharlie I agree with your other comment.
My diagreement is not with the current calculation of the costs. I claim that any explicit calculation by default (due to the complexity of the real world) excludes some implicit aspect that optimisers then readily ignore.
Also, utility is not only contextual, but subjective. To someone a million dollars might be enough to secure a lifetime, to someone else it could be enough to buy a house, to a third person, it might mean buying some nice nice stuff to show off.
> Also, utility is not only contextual, but subjective.
Half-true.. the utility of a single transaction is subjective. But you are maximizing for the aggregate utility, that is objective.
> To someone a million dollars might be enough to secure a lifetime, to someone else it could be enough to buy a house, to a third person, it might mean buying some nice nice stuff to show off
That statement isnt describing utility.
On a re read i think i see now where you got it all wrong. You are assuming, incorrectly, that money and utility mean the same thing. They dont. Moneybis the resource, not the utility. Utility only exists when money is in motion. Utility is how much you can accomplish with the money, not the money itself.
@mapto but it is *because* utility is subjective that your complaints about costs not being included are on shaky ground.
It's likely enough that the thing you personally consider important is being left out of the equation because others don't consider it important.
So it is a disagreement with the calculation of costs.
@mapto
They are part of thr final cost when they are part of the utility of the investment. If they are part of the utility or not depends largely on the laws.
For example if there is a huge fine for enviromental damage then causing such damage has significantly decreased utility and as such the market will price itself to avoid enviromental damage.
@avlcharlie