[P2P-F] Fwd: Article : Debt Defaults, Austerity, and Death of the “Social Europe” Model

[Patrick Anderson]

oops, that last paragraph should read:

If they can see that price above cost is a measure of the payer's
dependence upon the current owners, they can then see why treating
that difference as an *investment* from that payer will act as a
negative-feedback loop causing price to continually approach cost in a
safe manner as all users incrementally gain ownership (for the purpose
of use-value) in the amount they are willing to overpay for that which
they need.


On Thu, Feb 10, 2011 at 11:13 AM, Patrick Anderson <agnucius at gmail.com> wrote:
> Jeffrey Sommers and Michael Hudson wrote:
>> There is an alternative, of course.
>> It is for creditors at the top of the economic pyramid to take a loss.
>
> This assumes all investment must be for exchange-value.
>
> The very people in need can invest if they can learn to cooperate for
> production of that which they need.
>
> People can co-invest for use-value by committing Capital and Labor
> toward production for which they have immediate use of the output.
>
> These consumers-as-investors will then not rely upon keeping price
> above cost, for the product will not even be sold - it is already in
> the hands of those who will use it.
>
> The only other important part is for those groups, when they finally
> have surplus product, to recognize that selling that product can
> usually be done at a price above cost because the late-coming buyer is
> at a disadvantage.
>
> If they can see that price above cost is a measure of the payer's
> dependence upon the current owners, they can then see why treating
> that difference as an from that payer will act as a negative-feedback
> loop causing price to continually approach cost in a safe manner as
> all users incrementally gain ownership (for the purpose of use-value)
> in the amount they are willing to overpay for that which they need.
>