WEALTH AND POVERTY Flow Wellness in Market Plot
By Roberto Bani
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WEALTH AND POVERTY Flow Wellness in Market Plot - Roberto Bani
Bani
EXPERIENCE AND THEORY
I lived through the years of economic boom, welfare, wealth and a future of hope, as I now live the years of depression, malaise, impoverishment and little hope. I carry out this analysis to understand the market economy.
From the greek oikos = house + nomos = rule, law. Economics indicates the rules for the good governance of the house. Becomes the set of all operations that humans are making to obtain and use resources, goods and services, in order to meet their own needs. Here is analyzed his extensive sector that the market economy, in its anatomy and physiology: elements, ways, structure and functions.
------------------------------- History
Always humanity produces goods with hunting, fishing, agriculture, livestock, mining, crafts, and swaps them. Market economy dominated especially the civilizations of the Mycenaeans, Phoenicians, Greeks, Etruscans, Romans, Arabs, but with the decline of the Middle Ages and spread of trade between distant countries, geographical discoveries, were national and industrial revolution starting their studies and understanding of the phenomenon. First François Quesnay (1694-1774) was the center of economic thinking no longer a given and unchanging but the wealth or income stream that increases the wealth, and played on the analysis of the economic surplus paths. There is a clear step away from the annuity feudal landowner to mercantile exchange income; with his followers physiocrats proposed the abolition of the protectionist practices of mercantilism: the expression laissez faire summarized the basic principle of free trade. Adam Smith (1723-1790) and David Ricardo (1772-1823) completed the breakthrough started by Quesnay an interest in property, production of goods and income, so much so that Marx following them convinced many intellectuals and peoples that the capitalist system would be in crisis and collapsed making room to communism. For over a century a large proportion of humanity has carried away from marxism and only the harsh reality has sunk one that now is clearly the historical ideological yet another bubble. However, the market with its advantages convinced the power and spread it in the same sockets to show its flaws.
Tulips crisis. In Holland of 1600 had spread a craze for tulips; introduced in Europe recently, they were seen as a status symbol and possess them gave prestige and constituted a capital. The trade of the bulbs grew wildly, to the point that one of them of a given variety is coming to spend thousands of guilders and a florin was worth about 50 euro era. Consider that buyers fixed the price of tulips in the fall, at the time of the landfill, and since then until June happened a play on the upside that made up the price. Until one day in 1637 an unknown buyer decided to bet on the value of a thing was not ready just insane; after an atmospheric climate could destroy sowings and goodbye tulips. So he sets off an unstoppable spiral of sales, which brought down the prices ruining those who had spent crazy figures to make sure the precious flowers: they sold 10 florins the bulb that was bought with 1,000 florins. Many are ruined, the whole market went into recession and came out only when the operators, blanched from betting, returned to devote himself to the real economy.
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GOOD AND MONEY
Good is element of all economic activity: everything that has in a social context a certain value or importance to which humans seek him and take him. Certain goods are used to meet needs like hunger and thirst that are not postponed and their contribution can not do without: food and beverages are consumed for a forced and recurrent body demand. There are also many useful goods but less urgent as clothes, furniture, house, car, vacation or other relaxing activities; although necessary clothes and furniture can be patched and long-used, so the car even old can continue to hold it. Then there is the discretionary consume and it is not uncommon that you throw away a lot of money in vain and also unnecessary