More than any prior stage of history, we know not what we are doing at the macro level of life organization, nor why no uptick of American sales can remotely solve the problem of collapsing social and natural life support systems. Greece – the world’s emblem of the sacrifice of society to bank debt servicing – is now 45 per cent more in debt than it was before the “austerity” programs started. Global social and ecological collapse proceed in lock-step with predatory corporate and bank globalization, but the connection is taboo to examine.
Fatal mind blocks now rule that no economists see from within received models of understanding, and that no cognitive science lays bare. Unconnected spectacles of crisis are alone reported. Obviously, no recovery from the most wasteful and destructive economic disorder in history is possible so long as it is unseen. This is why we continue over the long cliff of catastrophe without an evident clue of what is happening at the macro level. As another new year opens with all degenerate trends deepening, a point-by-point resetting of our economic parameters to life reality is more than ever demanded. The fatally absurd economic box within which we have been conditioned to conform at a preconscious level remains life-blind at every step without knowledge of it.
Every one of the 10 points of re-framing the economy to life coherence is self-evident once seen. But every step is also revolutionary in paradigm shift from money-capital sequence to life-capital sequence as primary system decider. Once our thought is freed from the bars of the eco-genocidal disorder that now misrules, no step can be reasonably denied.
All the while, public sectors, services and regulators are defunded and dismantled to leave ever more tens of millions of people dispossessed, but tax evasion by the rich multiplies at the same time in one-way disastrous trend. The global food system produces more disabling and contaminated junk than it does food with nutritional value, while man-made non-contagious diseases from obesity to cancer escalate into the world’s biggest killer. Corporate state wars for the resources of the majority world never stop under false pretexts, while transnational corporate-rights treaties to the life capital (means of life that can produce more means of life without loss and cumulative gain) of all societies multiply at the same time. At the core of the system, the global financial system ceases to function for productive investment in life goods, while the future of the next generations collapses toward 25-50 per cent real unemployment, and a world where no birds sing. Yet nowhere is the common cause investigated or even conceived in the business press, education or high theory.
Rationality = Self-Maximizing Choice
= Always More Money-Value for Self is Good
= Self-Multiplying Sequences of Ever More Money to the Top Under 1%
= the Ruling Growth System with No Committed Life Functions
= All Else is Disposable Means to this Multiplying Pathogenic Growth
One can test this ruling moral meta program on every degenerate trend. But because it is not seen, the greatest of all fatal confusions comes to be built into societies’ ruling meaning: that money-sequence growth = life value growth. No more malignant mutation of value and meaning has ever occurred. As on the micro level where the surrounding cell community does not recognise the multiplying gross cells eating the life-host alive, so too on the macro social level. Leading the mutant tides of hollowing-out dispossession and ruin of social and ecological life hosts is a private bank system creating tidal notes of bets, credit and debt without legal tender, and partnering with transnational corporations in predation of local economies across the world. It loots life and life bases as ‘necessary reforms’ everywhere it is allowed to move.
This is why there is not inflation while trillions of new dollars are printed for private banking operations with no life productive function. Endless slashing of life goods in wages, benefits, social security and environmental security take corresponding tides of money demand away from people’s lives and life support systems as money-demand powers multiply to the non-producing top. One can track back every step to the ruling value code at work that is taboo to see.
3. Contemporary Economics is a Pseudo-Science
None of this can be seen by ‘Economics’ because it is a pseudo-science. Its ruling categories are disconnected from reality with no life coordinates, and its defining postulates are unfalsifiable by any facts of the world. All organic, social and ecological life requirements are assumed away a-priori. Infinite demand on finite resources is presupposed as sustainable. Reversibility of all processes is taken for granted in a nineteenth-century liquid mechanics model. Consequences follow in the long run that are predictably fatal to human and planetary life organization.
Yet whatever does not fit this a-priori life-blind construction is heretical in graduate schools supplying economic advisers to governments and corporations, and taboo in the corporate press and media to the extent of its contradiction. It is not only a mechanical model, but is absurdly “freedom” and “well-being” at the same time. Whatever deviates from it, conversely, is “irrational” or “despotic.” At the system-wide level of ruling story, the plot is universal for all societies. Purely self-maximizing atomic selves in the market are believed to necessitate the best of possible worlds by an invisible hand of competition ensuring lowest money costs. Life costs do not compute, and “economic growth” is consistent with destroying all life support systems.
We find here, in fact, the underlying form of a fanatic religion. Supra-human laws dictate commands across peoples, and no deadly consequences diminish certitude in its production of the optimal state for all by the perfect design of the system. With the supreme conceit of a just-so story of dyadic market exchange producing the best of possible worlds multiplied to infinity with no possibility of being wrong, we find the inner logic of the global disorder. It rules as a totalitarian creed blind to all but its own growth free of any life value, standard or regulator.
4. Knowledge Wins in the End, but Not Until It is Known
Societies have thus been everywhere ‘restructured’ as subordinate functions to the inexorable transformation of humanity and the world into ever more private commodities and profits. This mutant value system is malignant to the marrow with no consciousness of its derangement or ill consequences. It is taboo to recognize what is everywhere confirmed – deregulated borderless money sequences multiplying themselves by life-blind models, treaties and wars through all that exists on earth whatever their destruction of human and ecological life systems.
Alarm at the growing deadly symptoms increases across thoughtful people, but without decoding connection. Top-down embargo on any other economic view or reality – including by NATO wars – suppresses alternative at every level. Policies of ‘solution’ only extend the pathogenic system further. Even as the reversal of life evolution on earth becomes undeniable under the global rule of private money-sequence multiplication, life-coherent restructuring is anathema and prohibited a-priori by the unexamined value system. It all seems hopeless, but knowledge wins in the end if not suffocated. Behind every step of degeneration lie failures of social knowledge:
(1) failure to diagnose the regulating value mechanism at work;
(2) failure to connect across the domains of life despoliation as predictable from the system’s blind money-demand multiplications;
(3) failure to define or demand any public policies against its despoiling and devouring life support systems with the public increasingly financing the out-of-control feeding cycles;
(4) failure to recognise any life-value principle or ground of the real economy itself.
5. Re-Grounding in Real Capital and Goods, True Supply and Demand
The failure to recognise the life ground and processes of “the economy” is built into the ruling paradigm in principle. As in the prior ruling religion, disconnection of categories and system from empirical reality and life needs rules out disbelief. But disconnect is in the name of “science” and “the invisible hand” rather than “God’s commands” and “divine design.” Adam Smith the founder of modern economics was a Deist, but doctrinal abdication of life ground and reality became totalized in so-called “neo-classical economics” which displaces the class divisions of classical economics and the possibility of any alternative social order.
Thus an absurd metaphysics comes to rule which cannot be decoded because its first principles and axioms are a-priori dictates not subject to critical examination. The first principle of this life-blind economics begins by disconnection from all life requirements, grounds and needs – thus mutating the economy’s provision of otherwise scarce material life goods into an opposite meaning where life goods and life capital do not exist. Capital is assumed as private money-sequences multiplying themselves with life capital blinkered out. Private commodities are assumed to be ‘goods’ although they are in fact increasingly bads for organic, social and ecological life hosts.
The ‘laws of supply and demand’ are simultaneously reduced to self-maximizing private money exchanges indifferent to the real economy of providing life goods otherwise in short supply. Demand is not need or necessity as in any real economy. It is money demand minted by private banks without the legal tender to back over 97 per cent of it: which is ever more unequally held by those serving no productive function, and which nowhere today stands for any life need whatever. The fatal metaphysic built into first principles does not end here. ‘Supply’ is not the life goods people need to survive and flourish, but increasingly the opposite – ever more priced commodities for profit now promoting ever more human and ecological ill-being across the world. Capital is not life wealth that can produce more life wealth without loss, but increasing transnational private money sequences hollowing out life capital on every plane.
6. Knowing Good from Bad as the Baseline of Life-Coherent Economics
At the normative level of this doctrine, a ludicrous and fatal doctrine of freedom rules the war and peace of nations beneath consciousness of it. Freedom = freedom for private money demand only = in proportion to the amount controlled = ever less freedom for those with less of it = no right to life for those without it.
Sane people, in contrast, recognise that life value matters more, the more coherently inclusive in self and world the better. But this ultimately self-evident value ground has been reversed without recognition. People called ‘pro-life’ usurp women’s choice of how they live. Nations assume that ‘standard of living’ is measured by private money spent. ‘Life sciences’ sacrifice billions of animal lives a year for the private money-sequence gains of big corporations. Animal rights theory itself has no criterion to tell the life value of a slug from a person. ‘New and better technology’ is the ruling panacea, but no life-value standard exists to decide better from worse.
What then are we to ground in as life value that the real economy must provide? The objective standard and measure can be stated in three incisive steps:
- all value whatever is life value,
- good versus bad equals the extent to which life is more coherently enabled versus disabled, by
- greater/lesser ranges or capacities of thought, felt being and action through time.
This criterion of life value is no more a matter of opinion than people’s life necessities are. But what are these life needs that no economic paradigm – orthodox or revolutionary – defines? They are in every case that without which life capacities are reduced. Life capital, in turn, is that which produces and reproduces these life goods – from literacy and extending knowledge to the soil we grow in and air we breathe. The ruling value mechanism miscalled ‘the global economy’ is the opposite. It attacks life goods and capital everywhere as ‘externalities’ to its self-multiplying money-sequence and commodity cycles. But because such growth is assumed to be growing life value, the greatest value reversal in history is unseen.
7. Life Capital Base and Growth as the Real Economy Across Cultures
The moving line of the war of liberation begins with what we are able to control, our own lives. Here we can recognise that every value we enjoy, lose or gain has a bottom line – its life capital, that is, the life wealth that produces more life wealth without loss and with cumulative gain. We defend it by life goods to ensure our life capacities are not reduced but grow through time. Most are unpriced – the sun and air, the learning, the home environment, the delight in nature, the play, the love, the raising of children, the fellow arts, and so on. On the social level, the same holds and any well-governed society provides for them in many ways. All may recognise the principle of life capital in their own lives as self-evident, and that all which lasts through time that is worthwhile is life capital. But life capital does not exist as a concept in received economics. It is ruled out a-priori by money capital, the social instrument made the lord without life function.
Addictive internalization is how the system disorder grows on. Knowledge of life goods and bads is how it is rooted out, the unrecognised through-line of human evolution. That is why we find we live far better without corporate-ad television, regular private gas-vehicle use, any junk food or beverage, any throwaway item, any new fashion or commodity not more life enabling than the old, any business with big private banks. The organizing principle is as old as the good life, but is forgotten. The life-capital code is not stated, but becomes ever clearer in our time: minimize market demand that disables life capacities to enable life capital to grow and flourish. This principle is unthinkable within the ruling thought system, but defines transformation to true economy and life emancipation on earth. It liberates life wherever it moves.
The underlying turning point is as old as human evolution itself. Every human advance is by knowing what enables life through time from what does not. Collective life advance is transmitting this life-and-death knowledge across selves and generations. The life capital code holds across cultures. Life goods are always that without which life capacities decline and die. All real needs, all real demand, all real supply, and all real economics are known by this criterion. The lost line between good and evil is found in this principle, and so too human freedom and well-being.
We can define the meaning more concretely as follows Every human life suffers and degenerates toward disease and death without breathable and unpolluted air, clean water and waste cycles, nourishing food and drink, protective living space, supportive love, healthcare when needed, a life-coherent environment, symbolic interaction, and meaningful work to perform. All are measurable in sufficiency across cases. All are now degraded, polluted or perverted by the self-multiplying money-capital system defined above.
8. Collective Life Capital the Missing Link across Divisions
Collective life capital is the long-missing principle of the common interest and collective agency. The life capital code goes deeper than gender, culture or individual differences, and includes past as well as future generations by definition. It is objective, impartial, and universally applicable. It is the ultimate regulator of the economic principles of efficiency, productivity and development. It grounds political legitimacy and supersedes ruinous man-nature, economy-environment splits and individual-social conflicts of interest. By its regulation, freedom is made responsible to its own conditions of possibility. Life capital defines an inner logic of life value which cannot in principle go wrong within or beyond economics.
Collective life capital is the missing common ground and measure across the lines of death itself. It is the this-worldly bridging concept across the impasse of global culture wars, economy-versus – environment thinking, present-versus-future interests, male versus female conflicts, and all other warring dichotomies wrenching us from our shared life ground beneath property lines and the mors immortalis of reality on earth.
The difference from received ultimate principles of value across time and theories is in the objective precision of meaning and direction when value judgement and decision are governed by its laws of:
- life value regulator from start to finish,
- production of more life value capacity through generational time,
- life-value measure to tell greater from lesser in any domain by margins of capacity loss or gain,
- cumulative life gain as the organizing goal of the process throughout, and
- the meta principle: the more coherently inclusive any decision or action is in enabling life capacities, the better it always is for the world.
9. The Life-and-Death War of the World
In fact, the global corporate commodity and money-sequence system usurps these life capital principles with impunity across continents, while captive corporate states increasingly subsidize, de-regulate, privatize and militarily enforce this life-blind rule over all ecological and human requirements and rights.But who sees the moving lines of the global life-and-death war?
Obviously a real economy would regulate for life capital conservation and advance with money sequences only as means – as is already is the case in a human way of life. Societies and individuals would transform to better lives if the paradigm revolution was enacted in their spheres of choice. Victory or loss in the war of the world lies as always in how we live. Knowledge of bads versus goods is always the inner logic of human evolution at individual and collective levels of action. It is the mark of being human, and begins in what we do not demand – for example, any new fashion or commodity not more life enabling than the old or the used.
The organizing principle of real economy is long anticipated by China’s Tao-te Ching and the West’s autarkia of human self-realization, and many prove it in their own lives. Minimal demand on short resources to enable maximum life capacities is the war of recovery on social as well as individual levels. While every corporate state now presses for ever more energy extraction and use with no limit of public and life costs at every imaginable level, the root of economic rationality – ration to need – is effectively taboo in official culture.
Once the life-capital system decider kicks in, the rules of selection for what compossibly enables rather than disables human and fellow life on earth become evident to reason and learning from mistakes – the ultimate incapacity of the now ruling global system. This is the transformation to true economy and life emancipation, and it can only proceed in accord with the life capital principle that holds across individual, social and environmental life hosts.
10. The Ultimate Choice Space of Humanity
Collective life capital is now fatally endangered on almost every plane across generational and ecological time. The common life interest has no meaning in the ruling global system because its sole law of growth is to multiply the very private commodities and money sequences without life function that mindlessly drive the end-game world disorder.
It follows that humanity’s very provision for the universal human life necessities that have evolved over millennia are blinkered out by the life-blind value measures of what is miscalled ‘the economy.’ Everything that makes a society civilized or liveable is excluded from view – life-protective laws including sufficient minimum wages and environmental regulations, common water and sewage systems for all, free movement pathways and life spaces without cost to use, non-profit healthcare and disease-prevention by public institution, public income security from disemployment, old age and disability, primary to higher education without multiplying debts, family housing, food and life means assistance for children without sufficient parental money, and public libraries and arts facilities with accessible books, films and works of art and art creation. This is more or less a complete index of the collective life capital bases modern society has evolved, but all are dismantled by the global corporate disorder to maximally profit from.
In truth, the organizing principles of common life interest and human agency cross the lines of death itself in the life capital code of value that steers any real economy in any place through generational time. It is the system-deciding choice all societies face without knowing it. History is the record of successes and failures at what still remains unconscious in economic thought. It is nowhere defined beyond slogan even in communism, and ‘the public interest’ has no life coordinates or ground in known modern politics across the spectrum. Yet life goods and life capital denote the only true economic necessity and growth – that without which human life capacities degrade and die. ‘The economy’ is not run by natural or divine laws, as the modern paradigm assumes. It is a social construction of binding rules which directs toward how we live better by what is not otherwise there.
The ruling value code fails more momentously in world waste and destruction than all other systems in history, but beneath recognition. Its built-in contempt for all life requirements and indifference to life ruin multiplies its demands across the planet in a fanaticism beyond ISIL in attacking life capital and goods with no committed life functions. Yet no economics yet allows the recognition of its predictably rising catastrophe through time as a global economic system.
The life capital economy is opposite in its regulating value logic. It grounds in common life capital and produces more of it by life measure as its goal and moral science. Its logic of value is not utopian, but the ultimate through-line of human development since language and cooperative provision of human means of life. It lives in all the civil commons we are made human by in the life security of a free humanity. It is invaded wherever its life capital and goods are turned into more private money demand, resource depletion and waste without limits – the moral cancer of the ruling system. The ultimate choice space of humanity and society lies in this unrecognised life and death meaning. •
John McMurtry is an elected Fellow of the Royal Society of Canada and his work is published and translated from Latin America to Japan. He is the author and editor of the three-volume Philosophy and World Problems published by UNESCO’s Encyclopedia of Life Support Systems (EOLSS), and his latest book is The Cancer Stage of Capitalism: from Crisis to Cure.
After the Crash 