The Problem of Profit: Circulatory metaphor stated

As a small disclaimer, I’ve received one response to this idea already and would like to dismiss it out of hand: I am at base a capitalist. I believe in the free market with some important exceptions, and my base struggle here is to balance that belief with an underlying assumption in the equality of men, which is a democratic–not a communist–viewpoint. I sympathize with Marx in that our current capitalism seems to be bleeding itself dry, but I do not believe the rhetoric that a perfect society will one day inevitably replace what we have: no generation supercedes the last in those matters truly human, and inequal power distributions and massive ignorance are among those truly human matters. What I do mean to say here is that our system is broken, has been for a long time, and I offer this metaphor to propose at least one solution.

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Capillaries are so small as not to be seen by the unaided eye. Therefore, the best European science use to believe, as ridiculous as it seems today, that blood did not circulate through our bodies but was constantly generated and discarded. It wasn’t until William Harvey came along and in his book On the Motion of the Heart and Blood in Animals offered several obvious but previously unseen arguments about how difficult it would be for a body to maintain a non-circulatory blood supply including food intake and waste based on the amount of blood pumped by the heart per pump. Harvey may not have know what capillaries were, but he proved that blood must circulate, which lead to their discovery. This book singlehandedly initiated the controversy about looking at the human body as a machine instead of as a mystery, from which comes all of modern biology (most true to this tradition neuro-psychology). Regardless of the metaphysical implications of such a view, the outcome of modern medicine itself encourages the pragmatism of such a system.

A few hundred years later and in the same spirit, Adam Smith’s The Wealth of Nations served a similar role by replacing general mysticism about what wealth is and from whence it comes. Like blood cells, every dollar has an orgination point and follows a measurable path to a knowable destination. Adam Smith may not have known what I refer to as the problem of profit, but he did know that some abuse would occur once a system of the circulation of wealth was known, and so he listed some duties to which the people should hold their sovereign. Sovereigns’ general failure to maintain these guidelines because of power’s loyalty to laissez faire has in general lead to the Marxist theory of capitalism–that capitalism holds within itself the seeds of its destruction–and the peoples’ desire to maintain Smith’s duties of the sovereign has in some places inspired socialist movements.

Despite the dollar’s basic adherence to the law of conservation and the hundreds of years since the establishment of a system of economy, Americans continue to treat wealth as if it were a part of impregnable Fortune, and this is more true the lower the monetary class of the individual in question. But I liken the American economy and Smith’s wealth-circulation application therein to describing a patients’ bleeding to death in terms of Harvey’s system of blood-circulation. Harvey describes a closed and efficient system, and modern science makes up for this error by explaining why some blood is lost and where new blood comes from such that it remains essentially a closed system. But the circulatory system becomes open when wounded, sometimes losing blood at a rate faster than it can replace the loss. These situations can prove fatal, and this is exactly the situation of the American economy.

Profit is one means by which the closed system of the American economy is compromised. Importation and out-sourcing are other wounds, but these are mostly managable by law and extremely small compared to the problem of profit. The American economy exists within a system of world economies, and importation and out-sourcing are means by which these economies interact with each other. Profit, however, is the means by which wealth is removed from circulation within a system. Therefore, importation and out-sourcing can be seen as blood donations, basically useful and on occasion beneficial to both parties, whereas profit is a bruise, a self-inflicted wound in which all material is lost and from which no benefit can be derived.

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Follow-up posts will include why profit-money can be considered as having left the system and a rebuttal to the argument of incentive.

Bridging the Gap: The American question of authority

I sent this @NYBooks article to my father the other day, and he responded that the article was elitist crock. My father supported Ron Paul, the grassroots libertarian  movement among the Republican party that, as I understand it, attempted to take the Republicans back to the party’s idealistic roots from the 40s and 50s: small government and less taxes as opposed to the near-totalitarian powers that George Bush imbued his office with post-9/11.

I thought, when I read the article, that a disenfranchised public would hail the article as an answer, as in “Yes, that’s where our power went, and that’s where those idiots came from.” But apparently that was only my reaction. All things considered, NYBooks must look to old fashioned Republicans like part of the liberal elitist power structure, those nanny-government supporters who want to tell us what to do with our money and are okay with the government ruling us as long as it’s their government–which is the exact same stance as Rush Limbaugh, according to my father. And as long as we have two parties fighting to control what we do with our money when we’d rather do what we damn well please with it, how are we supposed to make a choice?

Our political situation

That’s been the status quo of politics since I began becoming politically aware: the choice is between the better of two evils. We assume, supposedly since Nixon, that politicians are hacks who will disappoint us but someone has to go into office, so it might as well be the evil closest to us instead of a more distant evil. We approach politics like this on a mass level, but it leads to a destructive cycle: whether we know it or not, selecting the better of two evils means that we are already powerless; sensing however obliquely this powerlessness, we become passionate in politics in an attempt to reclaim the lost promise, selecting the voice we feel most closely identifies with us, generally a candidate for the presidency despite that office’s isolated power; that voice fails because the political arena is such that the majority vote is always fleeting while a term lasts for several years; and then the individual who became passionate about politics once again resumes his powerless grumbling. Frustration is the name of the game.

The modern American scene reflects this cycle exactly on all counts even as the political arena suffers several specific changes. The Republican party is no longer (if it ever was) a conservative party. As I see it, the Republican party is focused on centralizing military power it then exercises for economic purposes. The Republicans do not want to tell you what to do with your money, they want to centralize all the world’s wealth into their pockets. This is done through low corporate regulations and high military power, but the military power requires government growth, which we saw under George W. Bush, and the agenda will not have ended with his presidency. Republicans are growing government.

However, as we repeated under the tutelage of our highschool government teacher, Republican is supposed to mean “small government” (supposedly attached with “big economy”). This contradiction can only be addressed by witnessing the Republican party’s drift into demagoguery vis a vis the Tea Party movement.  Lack of government control is the birthplace of Republican wealth, giving them the assumed advantage in their attempt to claim the voice of the outraged independents. But as the Democrats move left and the Republicans (seemingly) move right, both in attempts to reengage shrinking support bases, we the people don’t trust either the Democrats or the Republicans to build government control that will be worth anything to us in the end. Hence the Tea Partiers, a libertarian movement, therefore supposedly more closely connected with the Republican party, but really just an amalgamation of angry but powerless independent voices.

The recalibration of both major parties has blown a large hole in the echo chamber of our political scene, and while Lilla focuses on Fox News and the Republicans role (he is talking specifically about the Tea Party, loosely and mistakenly affiliated with the Republican party), Americans have lost faith in our political institutions for any number of historic and prgmatic reasons. But I see distrust in politicians and political institutions as two different things. We distrust politicians because we assume they are hypocrites (sort of defines the job) but political institutions because they are bloated and inefficient. Government bureaucracies are all-around stuck in the sixties when they last received a major vote of confidence, according to Lilla. And while the world and private institutions have changed to meet (partly) the capabilities of rising technology, bureaucratic offices themselves have made little or no movement towards convenience or efficiency.

Addressing elitism

The above is, with a little modification, what I take from the article. How can my reading be justified against my father’s?

Perhaps as the common criticism of me states that I am arrogant, I portray myself as part of the elite or at least consider myself a part of the elite. But I don’t take that criticism of my personality seriously, no matter how often it is flung my way, and so let me put move past it.

Perhaps it’s that being young and not living through Nixon or Reagan I never lost faith in authority per se even though I grew up with a complete distrust of politicians. But then what is the definitive split I see between authority and politicians that allows me to trust the one and not the other? I would say it’s my perception of the echo chamber.

First off, as Lilly alludes to, I do not see myself represented in any politician, but all things considered, it would be difficult for a politician to represent me in the face of America’s power structure. I am anti-corporate, I support open use rights’ managements, I believe in transparency on all levels even despite the undirected rage towards the status quo that I see around me. How would you represent that in a Washington so obviously ruled by special interest and corporate agendas?

Second, I sense a difference in having my voice echoed back to me versus finding one of my ideas in another voice. The echo chamber works as sound waves do: when one compression wave is met by another compression wave of equal frequency and force, the compressions negate each other. This type of silence makes me very wary. On the other hand, when I see an idea or observation I’ve had offered by someone else idly or in an argument–even if that argument is not necessarily connected to the way I would have used the observation–I feel that this instance reacts as energy does: transverse waves complement each other just as two flames grow in size when touched together.

I believe that this is the core separation between how I read Lilly’s article and how my father reads the same material. My father is looking for a politician that will offer his ideas back to him wholesale, increasingly difficult as the parties slide away from the independent zone towards a mutual growth of government power. The only politician that still espouses the ideas of my father’s youth is Ron Paul, who he supported emphatically, but Ron Paul failed as a presidential candidate and I do not realistically believe that there is any going back to the age of basic Republicanism he argues for.

The libertarianism of Ron Paul and the Tea Party movement are not directly connected. As Lilly says, the neoconservatives are trying to control the Tea Party by following it, but if this tactic works it will end in more government power, not less. Even while the rhetoric of the Tea Party is less government, the result will be the further increase in military and presidential powers as we witnessed under George W. Bush post-9/11. However, in politics the first party that can use the keyword without impute wins the debate, and as Lilly says it’s only a matter of time before the people who want less government realize that the Republicans onboard with the Tea Party want more government.

I’m not sure it’s all likely the fall out the way Lilly projects, but I do appreciate his analysis. My father does not appreciate his analysis. I will either have to find a way to bridge this gap or relegate myself to the liberal elite and watch my future book sales suffer. What a challenge.

Piracy as capitalism at work (part 1)

i’m writing this on my girlfriend’s laptop, which has the left shift key broken. apologies for the lack of caps, but smart people can read english without such an archaic tool.

**

i hold piracy a subject near and dear to my heart. i follow copyright conversations in detail, especially when my mind is working at full capacity (not during school breaks!). i will state outright that my sympathies are with the copyright violators. i state this bias even in the awareness that i plan to work in an industry whose income trickles (book publishing is not particularly lucrative) only from sources of intellectual property and that i myself am currently generating and plan to continue generating such sources: all of the creative work on this blog was birthed in the hope that it would be remixed or shared. (i also understand that a blog and a book are two very different things.)

what one would see, should one attempt to engage this cultural conversation, is a series of ethical attacks between those in power and those unthreading the power. i would like to break this strand of conversation, for as any reader of alistair macintyre’s after virtue (or any watcher of modern politics) would know, moral arguments are no longer the means by which people reach stasis or compromise but are merely one process in a set of processes meant to elongate engagement in order to put off reaching stasis or compromise.

the primary tool for nipping this rhetorical weed should be capitalism, except that the piracy movement is so drowned by psuedo-communist propaganda  that to speak in terms of practicality about it might seem an insult to the fanatics. but let us speak seriously: the eighteen million (and growing) users of file-sharing services do not think of communism specifically when they download any given file; rather, the great majority will think of entertainment or at least the delay of boredom. they download either because it is easier or cheaper than locating the media by another means. that is, file sharing is popular from a user standpoint because it is practical.

i would like to use a paraphrase from one of my favorite new york times articles to put the conversation in immediate perspective. business decisions are not moral decisions. we allow, via capitalism, businesses certain leeway in regards to tools reserved from them in the past in order to bolster their financial prowess. a business is never under moral attack, even were the psuedo-communistic rhetoric to work in full sway, which it never will. only the pirates can lose to moral attacks, but they are so popular now that they won’t. to paraphrase another favored source, CEO of the MPAA as caught in this documentary, the MPAA’s role is not to kill piracy for it will never die; their role is to hinder as much as possible the consumer from using pirate sources.

i therefore argue from a business perspective that piracy endures because it is emminently practical: the end-user recognizes it as such and the arch-rival specifically names the goal as hindrance, not victory. Piracy is a capitalistic outcome to the problem of availability even despite the pseudo-communistic propaganda offered by its most vocal and energetic proponents. The question is why capitalism is being outlawed rather than embraced in this economic environment.

Corporate free speech

We live in an age with the most advanced propaganda machines the world has ever seen. We call them, euphemistically, marketing departments. Public relations. The primary function of these branches, having worked closely with them myself for years, is to get people to purchase without thinking overmuch about what it is they’re buying. The most effective advertising has little to do with the product itself but rather associates a brand with a happy lifestyle. It is public knowledge, in that the public is capable of seeing marketing mechanisms at work, that there is a disconnect between message and purpose. And yet we watch them daily, as a nation. We watch as many of them as the marketers think we can stand without revolting, without being sick to death of them.

We also live in the wake of a Supreme Court decision that grants corporations the power of free speech. We are going to allow, in our national debate, the most widely successful propaganda campaigners into our political arena. This is one large step down the road America has already started upon: we have fought tooth and nail for our freedoms, but we would rather sacrifice them to those already in power than use our votes ourselves. It’s a logical outcome of our faith in the division of labor, an outcome of the long hours brought about by our longstanding work ethic.

The problem with propaganda is that it’s polarizing. These effects exist already in our bipolar government, but the arm of marketers and publicists has always been limited by scrutinized  means. A politician has a speech written; he reads it off a teleprompter; he hands a press release to FOX News and CNN and waits to see what they do with it. Corporations are much more savvy. They write a press release, they offer no information other than their press release, they purchase some advertising space, and then they watch their press release and their ads appear simultaneously, side by side, unquestioned by the very arm that’s pushing them out.

Now we’re going to allow these propagandists into the most closely waged war of this country, and I expect an escalation of violent proportions. We slung mud before, but that was when we were too poor to afford farmers’ tools. Watch us march ahead, torch and pitch fork in hand, and the pandemonium screams ever louder around us, amplified in the way only professionals could accomplish. Watch it lead to political turmoil the like of which America has not recently endured, perhaps to a second civil war, caused only by the irresponsible voices of profit-hungry but incorporeal pseudo-individuals.

This is not an instance in which greed, functioning as a primary virtue, will overcome all lesser obstacles. This is not an instance in which self-interest will stop with victory. Self-interest will go further. The corporate powers that be will not stop until they have secured a stable puppet on the thone, not just in the presidency but across all of Washington, and this kind of tyranny the people will not stand. At least, I hope they won’t stand it.

Giving Value: A practice in blogging

It’s about time I put an actual blog post on this blog. Mostly people have contacted me saying I should call it an ezine since blog seems ill-used here. I don’t often post my opinions, and I don’t cover popular topics. Is this, really, a blog?

IT IS NOW !! MUAHAHAHAHA.

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The echo chamber

A general word of advice in blogging is to give value to your readers, to provide some service that they find worthwhile. This theory is so well accepted that I hear it at least five times a day through various social networking sites and how-to-blog services.

The very existence of such an echo chamber should serve to make the irony of a statement about providing value so stark that serious readers couldn’t ignore it. However, the statement merely provides the words which the reader should repeat as the writer so that his reader can repeat them, (seemingly) ad infinitum.

However, it is also said that, while web viewers claim to view the internet for entertainment and education, they in fact expect to learn nothing and, while browsing hundreds of pages, somehow manage to learn nothing. Also, the subjects of their entertainment are so abused as to weather away fascination, and yet they, the readers, keep plugging away at article after article waiting for some new tidbit to come up that they can gleam or meme, twist or copy as long as they can link. Millions of readers of this type exist, just as do millions (probably only thousands, but what the hell) of blogs.

To change tactic a little bit

Gold. The word looks closely related to God. For all intents and purposes, it doubles, either critically or actually, for a god. It replaced the materials in the scales of justice. It has moved countries and reshaped societies. It has single-handedly killed more men than any other artificial force on this planet, fueling wars (even [or especially] the religious ones), driving slaves, falsely empowering some men over others. In its mythic power, gold has generated false cities and idols, and even fabricated tales of glory.

One story in particular matters to us today because it shows a symptom of blogging as a means of American entrepreneurialism, which we usually hold so high. The people of the gold rush weren’t concerned with adding to the wealth of our nation, though a drive for success fueled them as mightily as any tycoon; the rushers wanted, as many of us dream, to get rich, preferably for as little effort as possible, but who’s going to complain about a few days’ worth of digging?

Unfortunately, quite a few of them died trying (for a fun expiriment, research how many actually died), and the ones who survived their trials merely settled wherever they ended up. The greatest problem they faced, as anyone playing the game Oregon Trail soon learns, was a lack of planning. The thoughts that run through your head–generated by the basic managerial imagination we each have, honed to greater or lesser extents by experience–are not sufficient to survive the trip. Even the people that did survive found out quickly that they had no idea how to look for gold or even where to find it. But the west coast looked pretty good by the time the Rockies were behind them, I bet, and you can read a brief history of Seattle if you want to see where the survivors’ remaining entrepreneurial instinct took them.

Blogging, to writers, resembles these traits. We put our ideas onto electronic drives where they appear as pixels to whatever ghostly visitor happens to stumble across them for whatever reason. Just like the ’49ers, we bloggers barely grasp the technology, hardly fully or in a way that would benefit us most, and more importantly we understand or misinterpret the tools and benefits of social media. Yet despite the technical inability of most writers and our lack of ambition to succeed in the ethereal communities of the internet (as opposed to our ambition to succeed in the commodifiable community of publishing), we press on into this dream. Why?

Blogging: A mythopoetic

Because we hear tales, of course, great tales of success. The recent movie Julie and Julia highlights the basic success fantasy that lies under most of our attempts: write blog, gain readers, break the media ceiling, get published. In what ways is social media most useful to us? Doesn’t matter; people will find the blog somehow, and my uneducated efforts will help. How hard do I have to work at generating compelling content, and what does that even mean, anyway: compelling content? I can write, we answer; I have thoughts.

To these arguments, I answer with an Eve6 lyric: “The liar in me says something’s gonna happen soon because it must.”

Despite our overpowered fantasies, there is no moment in which, climactic, the phone will suddenly ring, filling our voicemails with phonecalls from studios seeking our hands. In the current market, where blogs are a cute fuzzy place where MFA students and other writers post their cute fuzzy brains, there’s only one instance in which that might happen, and I promise you that you don’t want to follow that path.

Ashley sent me an email copied from her friend Steuart [sic] that addresses this hope:

I think that there are some individuals that understand social networking sites and how to leverage them effectively, but most don’t. Typically, the larger the company/corporation/label/band the more they -don’t- get it.

The power in social networking sites doesn’t have anything to do with your own individual or your group’s/company’s presence on it. You don’t need a twitter account to leverage twitter to your advantage. The power of social networking sites are in the PEOPLE that comprise it. From a marketing standpoint, twitter is best viewed as the ultimate in word-of-mouth amplifiers, NOT just another place to plaster plugs for yourself.

…

Marketing over social networks and the internet, as things sit now, is not about yelling the most and yelling the loudest yourself; it’s getting other people to do the yelling for you. As it pertains to the music business, people will be happy to start ‘yelling for you’ IF your music is good, with very little extra effort on your part. But if that takes up 95% of your efforts…well you’re doing it backwards and doing it wrong.

The only way in which Steuart’s breakdown of social marketing rings true is through viral marketing. It works one way: you produce something so astounding that it constitutes a freakshow, it doesn’t matter whether it’s genteel or actual freakishness. Child prodigies, the “LEAVE BRITNEY ALONE” guy, Shamwow… the list goes on quite a while and is mostly comprised of multimedia, not text. Companies trying to break into viral marketing attempt to break it down to a list of rules, but really it flows from this basic socio-instinct: one thousand quirks snap quite suddenly and almost inexplicably. That’s all it takes to generate a meme, as irrational as it is unpredictable.

Social networking as marketing

If you’re serious about your work and the work you make has value on its own, people are less likely (in my own, brief experience) to take the effort to spread it around. If anything, they’ll expect you to succeed on your own without their help outside of their continuing to view what you produce.

So what’s the right answer here? Buy a spambot that will get a thousand other spambots to follow you so that you have a thousand viewers, none of whom are listening to you because they’re all just bots that help you feel cozy at night? Well, no; the answer is work hard and do your research, even though I know that doesn’t sit well with some of you.

My strategy for maximizing my Twitter experience is relatively simple and, if I knew how to code, could be mostly automated.

1. If the tweep have over two thousand followers, it’s unlikely we’ll be friends.
2. If the tweep has a follow ratio larger than 1.5, same goes.
3. New tweeps are found only by crawling retweets from friends and follow fridays, though some friends prove their recommendations more worthwhile than others.

I’m beginning to add people by channels, but it’s proving largely unnecessary as I’m fairly aggressive about following the tweeps my friends retweet. I use several websites to aggressively cleanse my list of followers and followees (contact me if you want a list, but I’m not certain I’ve got the best tools). If you don’t follow back after a few weeks, toodles. If you follow me and you’re a spambot, you get BLOCKED. If you follow me and I’m not sure I want to follow you back, you have three weeks to respond to any of my posts via mention or retweet or get blocked. I strictly maintain a near 1:1 ratio and keep Twitter bloating to a minimum.

Also remember that despite the upgrade in technology, this basic axiom still applies: You will be your greatest supporter. Connections through a network will amplify your advertising, but if you don’t speak out on your own behalf, how can you expect that of others? Rather, even if your fans/viewers are inclined to send out a message on your behalf, it will generally be in the form of a repost/retweet, which necessitates that you have something fresh in the stream for them to repeat when the mood strikes.

But such a force will strike rarely and in full force only on others who are paralleling your struggle. You have to work hard and work reasonably. You have to sing like an angel and then shout like a demon about it. If you’re not prepared to do this, you’re not prepared to succeed. If you’re not prepared to do this, you’re setting out on the Oregon Trail without a shovel. If you’re not prepared to do this, you’re chasing the myth rather than living the dream.

And for those of you who are prepared to tread down the well-worn path of celebrity and political gossip rather than make the psuedo-tantalous trip up the path of creativity, fair you well with your immediate success, and may you keep your viewers. May you carry your banner into the mudpits that might’ve been fields, and may bugs sting your ankles forever.

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Author: Greg Freed