The world’s economic system is self-correcting. This doesn’t mean that it has any idea of what it wants to achieve nor that it has foreknowledge of how to achieve it. Both of these are chosen by man. But in reality the desired objective may be misconceived and the methods chosen to achieve it my be far from optimal — or even relevant.
Indeed, some methods that are chosen to achieve an end result may be blocking it — temporarily or permanently. If they are temporary blockages then the the system will have been lucky enough to find alternative routes. If a blockage is permanent it means that the desired objective is simply not possible and the system remains a mess until a new, more practical objective is chosen.
In order to validate the above I need to demonstrate two things. Firstly I need to show that the world’s economic system is a physical one, maintained only by a reasonably constant injection of energy and thus subject to what is known as the ‘Principle of Least Effort’.
Secondly, I need to convince readers that both desirable objectives and methods for getting there are not exclusively the product of man’s rational mind. What also have to be taken into account are impulsive behaviours due to genes that have co-evolved with our predecessors’ role in the environment for millions of years past.
I will discuss these two points in my next two postings.