Here are the two types of Capitalism. They are Capital Producing Economics and Capital Consuming Economics. Producer Rewarded Open Market Economics falls into the more general classification of Capital Producing Economics.
All Economic Systems in use today can be classified into the two general classifications. The first classification is the pro-survival classification called Capital Producing Economics. The second classification is the contra-survival classification called Capital Consuming Economics.
The names of these two classifications are self explanatory in their meanings. The Capital Producing System of economics means what it states. It is a system of economics which produces capital, money, wealth and survival. The Capital Consuming System of economics is a system of economics which consumes capital, money, wealth, and survival created by the Producers in a Society and/or Nation.
The Capital Producing / Producer Rewarded Open Market Economic System aligns with definition 1 of Capitalism in the Thorndyke Barnhard World Book Dictionary, copyright 1989.
- Definition 1. An economic system in which private individuals or groups of individuals own land, factories and other means of production. They compete with one another, using hired labor or other persons, to produce goods and services for profit.
- Definition 2. The Concentration of wealth with its power and influence in the hands of a few.
- Definition 3. A system which favors the existence of Capitalists or the concentration of wealth in the hands of a few.
Definition 1 aligns with Capital Producing / Producer rewarded Open Market Economics. This is true pure pro-survival economics.
Definition 2 aligns with Capital Consuming Economics with the absence of an Open Market. This is contra-survival economics. It destroys societies and nations. It leads usually on a gradient scale to slave economic systems. We find slave economics systems being used in greater or lesser degrees in Fascist, Right Wing and Communist societies. Capital Consuming Economics is the primary system of Capitalism used today on planet earth. This is where non-producers have taken the money and wealth with its power and concentrated it into the hands of a few powerful individuals. Capital Consuming Economics gives Capitalism a bad name. In the past this extreme concentration has lead to Communist systems of Capital Consuming Economics. These systems of economics are, Capital Consuming or Non-producer Rewarded systems of economics, where wealth and power are concentrated into the hands of a few.
Capital Consuming Economics is a greed economic system. People who push for this type of economics are themselves on the road to succumb and are trying to destroy all around them on their way out.
When a society has achieved an absolute pure Producer Rewarded Open Market System of economics then and only then do we see the optimum rate of motion in money velocity. We also see the optimum prosperity level in the society and/or Nation.
Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
April 4, 1993
Revised: September 1, 2011
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Axioms of Economics
Constant Money Supply
Money Velocity and Prosperity
- 1.0 Money Velocity and Prosperity
- 1.1 The Money Velocity Cycle
- 1.2 Capital Producing Economics
- 1.3 Vampire Economics
- 1.4 The Goal of a Society
- 1.5 Production Efficiency
- 1.6 Why Money Velocity Slows Down?
- 1.7 Capital Destroying Economics
- 1.8 Producer, Non-producer or Counter-producer?
- 1.9 Razor Thin Path