Monday, 21 February 2011

Inside Job - (Humanities Perpetual Loop of Failure)

I think I am encouraged, there seems to be more and more documentaries with higher profiles, discussing the terrible state a few greedy/power hungry humans cause for nearly everyone else. The latest documentary I watched today is Inside Job; it looks at the economic catastrophe that has befallen the world in recent years.

Many years ago, without any knowledge of derivatives, or subprime markets; I reasoned that here in Britain, if house prices continued to rise at the exponential rate they were rising at, it would eventually collapse and ultimately destroy the housing market. As I wrote earlier this week if you earn X pounds or dollars, but your house is rising at X², eventually no one would be able to afford to buy houses apart from the extremely rich. Now I know this is easy to say now after the fact, but it seemed pretty obvious many years ago, even with my basic viewpoint.

So it turned out to be far worse, far more despicable, and far more divisive. I could talk about the virtues of watching the documentary but I suggest people watch it themselves, to see the disaster these greedy deluded people have caused for the world in general.

What worries me is not this example or the many other examples; it’s the pattern that we seem to constantly miss. The same patterns arise, all the time over various types of scenarios, situations, circumstances, and areas, and I can see this because it reminds me of my exercise, and eating problems, we have what could be called a Global Power and Wealth Disorder.

What does it mean, GPWD?

Disaster or imminent disaster causes change.

Rules are introduced to curb likelihood of similar disaster happening again.

Disaster may have a limited affect on other fields, causing similar actions to stop the trend of disaster.

Restrictions, and limitations, take affect and stability returns.

Stability opens new avenues of opportunity, which have no limitations or restrictions.

New opportunities are then exploited to make money, wealth and power.

New opportunities start to gain greater power than the restricted areas.

Restrictions are slowly removed from those areas to level the playing field.

Large amounts of wealth, money and most importantly power is gained.

The power and wealth becomes so great no one wants it to end.

More and more risks are taken.

Some work to begin with, but eventually they start to fail.

Small insignificant losses suddenly become massive major destructive failures.

By now the institutions involved do not realise the catastrophe they are causing and try to save themselves.

Finally the disaster is so great the whole system is broken and we are back to the beginning, with a need to cause change.

This continues, in some kind of perpetual loop, getting larger and larger and larger, affecting more and more people, destroying the lives of many. The snowball affect grows and grows, as it rolls down gathering speed, destroying everything in its path.

This does not just apply to the financial mess, it applies to everything humanity involves itself in, everything.















I know it is a basic viewpoint, but it seems so obvious to me, but then what do I know.

No comments:

Post a Comment