Superphysics
Communism
January 9, 2022 4 minutes • 782 words
Table of contents
The dominance of the Warrior Class usually leads to the following economic ideologies:
- Communism
- Feudalism and Fascism
Communism
- Core Ideas: Communism, based on Marxist principles, seeks to establish a classless society by abolishing private property and capitalism entirely. It envisions the collective ownership of the means of production, where all goods and services are distributed based on need rather than profit.
- Economic Characteristics: Complete state ownership of resources, centralized planning, and the eventual elimination of money and markets.
- Examples: Former Soviet Union, China under Mao Zedong.
The Demands of Communism
Karl Marx and Frederick Engels listed the 10 demands of Communism in The Communist Manifesto:
- Abolition of [capitalist] property in land and application of all rents of land to public purposes.
- A heavy progressive or graduated income tax.
- Abolition of all rights of inheritance.
- Confiscation of the property of all emigrants and rebels.
- Centralisation of credit in the hands of the state, by means of a national bank with State capital and an exclusive monopoly.
- Centralisation of the means of communication and transport in the hands of the State.
- Extension of factories and instruments of production owned by the State
- The cultivation of waste-lands
- The improvement of the soil generally in accordance with a common plan.
- Equal liability of all to work.
- Establishment of industrial armies, especially for agriculture.
- Combination of agriculture with manufacturing industries
- Gradual abolition of all the distinction between town and country by a more equable distribution of the populace over the country.
- Free education for all children in public schools.
- Abolition of children’s factory labour in its present form.
- Combination of education with industrial production, etc.
Marx and Engels believed that such policies would concentrate production into the hands of the State.
This would then make:
- the public power will lose its political character
- class distinctions disappear
Class distinctions would be replaced by association. This is a development of Rousseaus’s liberalism.
Our law of social cycles says that humans, by the design of Nature, fall under 4 large classes:
- Workers
- Warriors
- Thinkers
- Traders
Removing such distinctions would therefore be going against Nature. This is why Communist systems imploded naturally by themselves.
Both Communism and Capitalism Enslave Humans
Communism lets the state enslave man, whereas Capitalism lets the capital owners do it
Thus, in modern capitalism (Mill’s capitalism), workers are actually slaves in essence, different from the capitalism of Turgot, Say, and Ricardo.
All of the work done by an employee in a modern company belongs to that company’s owners in exchange for a fixed wage. This is different from the original capitalism where the workers were paid by the piece or had profit sharing in co-partneries.
It was Mill who corrupted the word ‘capitalist’, equating it more to ‘owner of someone else’s work’ instead of the proper classical definition of ‘someone who lives by profits’ as used by Smith and the Physiocrats.
Thus, Capitalism is from Mill and not Smith.
Smith’s economic system gave importance to all three classes of rent-earners, wage-earners, and profit-earners. But Mill only gave importance to the profit earners.
This absurdity became fuel for Marx to attack Mill:
Men who claimed some scientific standing tried to harmonise the Political Economy of capital with the claims..of the proletariat. Hence a shallow syncretism of which John Stuart Mill is the best representative. Under these circumstances its professors fell into two groups:
- the prudent, practical business folk flocked to Bastiat
- the other.. followed John Stuart Mill in his attempt to reconcile irreconcilables.*
*Note that ‘reconciling irreconcilables’ was also more recently done by Paul Samuelson in his ’neo-classical synthesis’
Marx’ main description of capitalism as a system where resources are amassed through centralization for private gain is consistent with our definition of a system of pooling resources together through equity:
Capital grows in one place to a huge mass in a single hand, because it has in another place been lost by many. This is centralisation proper, as distinct from accumulation [which is] very slow compared to centralisation..
The world would still be without railroads, if it had to wait for accumulation..Centralisation, on the other hand, accomplished this by a turn of the hand through stock companies. Marx, Capital, Preface
Nowadays, almost anyone can own stocks and some people, like pensioners and insurance buyers, don’t even know that they are indirectly owning stocks, and are getting a steady revenue from the work of others without working themselves.
More obviously, the most common buzz in today’s business news are stock prices, proving the importance of equity to capitalism. Turn on CNBC and Bloomberg and you will see stock information everywhere.
If the world had stayed in mercantilism, then commodity prices would be shown instead.
