The First Law -- Nominal Price

The First Law of Value states: Every thing in the universe has an existential value, otherwise it would not exist.

This law is derived from the Third Law of Thermodynamics which says that absolute zero temperature is impossible to reach or maintain. In Supereconomics, this manifests as Nominal Price which can be positive or negative.

Negative prices, such as the waste of resources from overcooking, leading to burnt unsellable food, still contributes to the final product of a sellable dish in the long run, especially if the cook’s self-purpose is to cook.

Nominal Price: The Purchaser’s Valuation

A purchaser assigns a nominal value to any good or service that he needs or wants after his mind realizes that need or want as an effect of desire. This value can be denoted in 3 forms:

1. Money as tokens - Examples are currency & cryptocurrency
2. Moneyless Tangible - Examples are goods and services
3. Moneyless Intangible - Examples are goodwill, reputation, mental satisfaction or peace of mind

Nominal price is exchangeable value denoted as a numerical object.

• In a money-system this number-object manifests as money
• In a moneyless system it manifests as points or strings or any system of notation. Strings were used by the Inca Empire to represent nominal value and account balances

Supereconomics uses a moneyless system based on grains where 1 point is based on the retail price of 1 kilogram of basic rice or the common grain of the society. This is similar to how the Big Mac Index compares real prices between different countries using the Big Mac as a universal reference.

For example, if 1 kilo of basic rice is $1, an iPhone 16 is worth $800, and a toothbrush is $2, then the iPhone is worth 800 points and the toothbrush is 2 points. The relative value of the iPhone and the toothbrush is 400:1 or that it takes 400 toothbrushes to buy an iPhone.

Assume that in the next year, rice goes up to $1.50, the iPhone to $900, and the toothbrush to $4.50. The nominal price of the iPhone and toothbrush went up, but the real value of the iPhone went down to 600 points, while that of the toothbrush went up to 3.

This changes the ratio to 200:1 – it takes only 200 toothbrushes to buy an iPhone, or conversely, that an iPhone can only buy 200 toothbrushes when it could previously buy 400*. The supply chain of toothbrushes can then be checked to see what caused the change.

*We call this Relativistic or Relational Pricing based on Cartesian Relationality, which is a fundamental idea in Superphysics.

In time, the natural ratios might be revealed to be 1 iPhone:300 toothbrushes: 600 rice. At such a point when natural ratios have been established, the money system can be discarded in favor of a grain index as below.

Replacing the Time Value of Money with the Time Value of Life

The conversion of money to points is important because it shifts the basis of an economy from mechanical utility (as an effect of being alive) into life itself (as cause).

This removes the rigid and unbending time value of money, and therefore the interest rates and inflation which have pressured people to exhaust themselves just to meet those rising prices and interest payments. Moreover, it focuses on the value of life instead of the value of utility.

In this system, destroying a forest (with so many living beings) to create cash crops will be far less justifiable.

As a store of value, points do not have a rigid interest rate because everyone has different levels of desire of life itself.

• An absolutely lazy person might have assign himself a 0% life-interest rate. He will not be moved to improve himself or use his time productively beyond maintaining his physical existence. In Superphysics-speak, we say he is static or matter-dominated.
• A very ambitious person might assign his life a 1,000% interest rate. He would treat his own time as gold, and push himself towards lofty goals with milestones to achieve each day. We say he is aether-dominated.

The Doctrine of Minimum Needs

Regardless of ambition or drive, each person will need the goods and services of others. Assume that each person on average needs 600 grams of rice daily to live, as 0.6 points, and 1.4 points for water and basic clothing.

This means that everyone should make 2 points revenue per day.

• If 1 kilo of rice costs $1, then everyone would need $2
• If 1 kilo of rice costs $2, then $4 would be needed

The government would then need to arrange the supereconomy so that everyone could get the daily value of 2 points or $2-$4 either by exchange or employment, or by donation or welfare. We call this the Doctrine of Minimum Needs which replaces the doctrine of profit maximization. It says that a society should take care of its members just like family.

Supereconomic systems with minimum needs will create a flatter, but still unequal, distribution of wealth, while raising total wealth more than economic systems that follow profit maximization.