Open Market Economics

11. Producers Create Markets

Revised November 21, 2013

The fact that Producers create Markets is a self evident truth.  Without production, there are no Markets.

At this time, this is the last article in this Open Market series.  This may be the first time this data, in the field of Economics, has been written down for everyone to use.  This data has been present all around us for thousands of years.  There are times when it has been used knowingly or unknowingly.  During the times when there is prosperity for the majority of people, Producer Rewarded Open Market Technology is being used.  During times when there are recessions and depressions, non-producer and counter-producer rewarded economic systems are in use.

Producers must realize who they are because they are putting the society here.  They are putting the prosperity into the society.  They must stand up and be proud for who they are.  Sure, the non-producers and counter-producers don’t want to give up their positions in Markets.  They howl and attack on a daily basis.  Don’t listen to them for they are howling because they are committing destructive activities.  They want to continue to take money without an exchange for it.  Take notice of this howling activity and realize this howling is an indication of a non-producer or a counter-producer.  It is also an indication of someone who is harming the society and everyone in it.  Their intention is to intimidate and distract the Producers so as to cover up their out-exchange activities.

We must not be distracted or intimidated by howling non-producers and counter-producers.  We must stand shoulder to shoulder and demand we receive all the money we produce in our production activities.  This may sound tough at first.  When we get to know this technology we will gain the confidence to take charge of the society and economic system.  We the Producers create the society and economic system everyday with our labor and work.

Open Market Economics includes the Producers as its only members.  The Producers are the constructors and builders of Markets.  Open Market Economics excludes non-producers and counter-producers.  They are the destroyers of Markets.  This is the principle difference between Open Market Economics and Free Market Economics.  The Free Market includes non-producers and counter-producers, the destroyers of Markets.  Yes!  We have seen the outcome of the Free Market system down through the ages.  Including non-producers and counter-producers in Market Systems destroys Producers, families, organizations, societies, nations, mankind and environments.

As stated earlier:  Producers create Markets and build societies.   Non-producers and counter-producers destroy Markets and collapse societies.  Non-producers and counter-producers are outside of  Markets and the societies.  They don’t follow the rules or laws of Marketing.  They are not part of that in which they don’t participate.  A person; “isn’t in the Marketing group unless they follow the rules of Marketing.”  When not following the rules of Marketing, individuals can be destructive to themselves, families, organizations,  societies, nations, mankind and environments.

Prosperity for any individual, life form, society, nation and mankind is achieved by following prosperity creating rules.   Prosperity is not achieved when prosperity creating rules aren’t followed.

All life forms alive and prospering are following well defined precise rules and laws.  They are following these precise rules and laws of their own determinism.  These rules and laws are not being enforced upon them by any external forces other than their desire to prosper.

There are some non-producers and counter-producers who are non-producers and counter-producers because of having learned the non-productive and counter-productive way of life.  They can be educated into being Producers.  It is the true non-producers and counter-producers who continue to insist on deriving money, value, energy, wealth, capital and power through non-productive and counter-productive activities.

Producers are a very determined powerful group.  They have been able to overcome all manner of counter effort thrown in their path by non-producers and counter-producers.  When we can overcome the non-producers and counter-producers by converting them into Producers we will eliminate the vast majority of non-production and counter-production.  We will have accomplished a major feat in achieving explosive prosperity.

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
January 18, 2012

 

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Wednesday, January 18th, 2012 Open Market Economics No Comments

9. Establishing a Market

Revised November 18, 2013

In this article we will be looking at how to go about establishing a Market.  When Producers go about establishing a Market they trade commodities, trades, goods and services with each other.  When the activity of trading products with each other starts to take place, two forces come into existence.  These forces are created by the Producers. The Producers create a Supply Force and a Demand Force.  The supply force is established when Producers place supply on the Market. The demand force is established when Producers make demands for their fellow Producers’ supplies.  The interaction of these two forces establishes the value of all competing commodities, trades, goods and services on the Market.  This is the process of establishing a Market.

These forces are called Market Forces.  Market Forces are a naturally occurring activityA Market occurs “only among producers” and in numbers greater than one person.  It occurs when Producers exchange commodities, trades, goods and services with each other.  Adam Smith called Market Forces the Invisible Hand.

For the most part, we use money as a medium of exchange.  We use money to facilitate this exchange of commodities, trades, goods and services.

Anytime you have two or more Producers exchanging their produced commodities, trades, goods and services with each other you will find a Market.  A Market is established any time, anywhere commodities, trades, goods and services are exchanged between two or more Producers.

Demand put forth by individuals for commodities, trades, goods and services, generates the Demand Force in the Market.   In order for a Market to prosper all individuals involved in the market must balance their Demand Force with a Supply Force.  The Market declines in value when supply and demand forces aren’t balanced.

When Producers make the demand on the Market for money, they bring along supply.  The supply contains value.  They place this supply on the Market and receive money.  The money is equal in value to the value of the supply they themselves created.  The Producer is maintaining balanced Supply and Demand Forces.

When Producers make the demand on the Market for commodities, trades, goods and services they bring money.  The money is equal in value to the value of the products they are demanding.  The Producer is maintaining balanced Supply and Demand forces.

Producer activity establishes and expands Markets.  Markets gains value, energy, wealth, capital and power.  Value, energy, wealth, capital and power are added to Markets.  Markets grow and expand during this activity.

When non-producers and counter-producers make demands on Markets for money, they don’t bring along any or not enough supply.  In some cases they bring along destructive supply.  When they receive money without exchanging supplies for it, their Supply and Demand Forces are not balance. 

When non-producers and counter-producers make demands on Markets for supply, they don’t bring along any or not enough money.  When they receive supplies without exchanging money for them their Supply and Demand Forces are not balanced.

Non-producer and counter-producer activity harms Market.  Markets lose value, energy, wealth, capital and power.  Value, energy, wealth, capital and power are stolen by the non-producers and counter-producers.  Markets decline during this activity.  

Any time you find a declining and collapsing Market, you will find non-producers and counter-producers taking money out of the Market.   They are taking money without a correct exchange for it in produced commodities, trades, goods and services. 

Markets in their normal operation will have moderate to small value fluctuations up and down.  In normal operations, Market value will have a gradual upward expansion trend over time.  Non-producers and counter-producers cause extreme Market value fluctuations.  The value fluctuations are in an extreme up and down like a roller coaster.  This extreme roller coaster activity is caused by non-productive and counter-productive activities on Markets.  When Producers participate in Markets, Markets graph out in an upward curve.  When non-producers and counter-producers participate in Markets, Markets graph out in a downward curve.

Markets occur only among producers of commodities, trades, goods and services!  Markets do not occur when non-producers and counter-producers, take money, value, energy, wealth, capital and power with no or not enough exchange in production for it.  Money taken though out-exchange methods destroys Markets.   Taking money, without an exchange for it pulls value, energy and power out of  Markets.  Money and products taken without an exchange for them destroys the Market Forces of Supply and Demand.  This is theft or fraud.  Theft and fraud destroy Markets.

Production exchange constructs and builds Markets.  Production exchange is the action of establishing a Market.  Production exchange establishes Market forces.  These Market Forces are Supply and Demand.

Producer Rewarded Open Market Economics
The Science of Economics
By R P Obrigewitsch
December 29, 2011

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Wednesday, December 28th, 2011 Open Market Economics No Comments

8. Free Market Construct

Revised November 18, 20113

The Free Market Construct will give you a contrast with the Open Market Construct.  The Open Market is governed by exact prosperity creating technology.  The Free Market has very little if any prosperity creating technology.  The little it has in prosperity creating technology is being violated to the extreme.  The Free Market has been taken over largely by rewarded non-producers and counter-producers. They sit on the demand side of the definition of the Free Market and take money, value, energy, wealth, capital and power without placing supply on the market. The rewarded non-producers and counter-producers continually drain organizations,  societies, nations and mankind of the money, value, energy, wealth, capital and power. This money, value, energy, wealth, capital and power is created by the Producers.

It is very important to remember, the Free Market is a Market.  It works like any Market.  It is always working 24/7 in establishing the value for all commodities, trades, goods and services placed on it.  Even when non-producers and counter-producers take money without placing supply on the Market, the Market sets value.  However, the value of these commodities, trades, goods and services is higher than it should be.  This is because non-producers and counter-producers make demands without balancing them with supply.   The Market senses a low supply in relation to demand and the prices go up.  This is commonly called inflation.  When supply is low, prices go up.  When supply is high or abundant, prices go down.

 The definition of the Free Market is, a Market in which prices are controlled by supply and demand, without government regulations and restrictions. 

  • The Free Market allows for advantages by non-producers and counter-producers.  It allows monopolies and all other ways a non-producer and counter-producer can dream up.  They use these advantages to take money, value, energy, wealth, capital and power off the market without exchange for it with supply.
  • Technically speaking the Free Market should not be open to non-producers and counter-producers.  The definition of Free Market “strictly” implies that commodities, trades, goods and services must be supplied in order to demand or take money from the Market.  Supply, “in supply and demand,” implies commodities, trades, goods and services.  Commodities, trades, goods and services must be placed on the Market in exchange for any money received.  The money can be used to place a demand on the Market for other products.
  • Non-producers and counter-producers use one half of the Free Market definition.  They use the demand side of the Free Market definition.  They leave out the supply side.  Or, they fix and control the supply side to their advantage.
  • The non-producers and counter-producers enter into the Free Market and take money, value, energy, wealth, capital and power from it without a product exchanged for it.  This is catastrophic for individuals, families, organizations, societies, nations, mankind and environments!   Today in 2011 we are experiencing the result of this activity, on the Free Market, by non-producers and counter-producers.  We are in a deep world wide recession as a result.
  • The Free Market has no restrictions except keeping all government regulations out of it.
  • The Free Market does not restrict monopolies or any other way non-producers and counter-producers control the supply and demand.  They use methods of controlling supply and demand to receive more money than what their products are worth.
  • The Free Market doesn’t prevent people from taking a non-productive and counter-productive advantage in the Market.
  • The greatest difference between the Open Market and the Free Market is; “the Open Market does not allow for non-producer and counter-producer participation.  The Free Market allows for non-producer and counter-producer participation.”  Non-producers and counter-producers have wrecked many a society and nation.  They have been allowed to participate in the Market without exchange for the money, value, energy, wealth, capital and power they received.
  • Non-producers and counter-producers are found in all levels of a society.  They are located from the poorest among us all the way to the wealthiest among us.  There are no exceptions; non-producers and counter-producers, whether rich or poor, are non-producers and counter-producers.  They are a heavy burden and liability for organizations, societies, nations and mankind!

Producer Rewarded Open Market Economics
The Science of Economics
By R P Obrigewitsch
December 19, 2011

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Monday, December 19th, 2011 Open Market Economics No Comments

7. The Open Market Construct

Revised November 18, 2013

This article will cover the principle differences between the Open Market and the Free Market.  It will define the Open Market.  The Open Market Construct specifies, the Market must be open to all Producers on equal terms.  It is restricted exclusively to the activity of Producers.   Non-producers and counter-producers have excluded themselves by exerting destructive forces against all Markets.  They are on the outside of Markets destroying them.  These principles are not specified, implied or applied in the Free Market system.

  • In the Open Market Construct, Open to all producers on equal terms means, all Producers must have equal access.  There must be no advantage for any one Producer.  This is not the case in the Free Market.
  •  The Open Market is open to all producers with no restrictions for any and no advantages for any.  This is not the case in the Free Market.
  • The Open Market is not open to non-producers and counter-producers.  The Free Market is open to non-producers and counter-producers.
  • Non-producers and counter-producers cannot enter into the Open Market and take money and wealth.  They cannot take money and wealth without a product exchanged for it.
  • The Open Market restricts the action of marketing to Producers only.  It does not allow government regulation except maintaining the Market open to all Producers on equal terms.  It does not allow non-producers and counter-producers access to the Market.  All individuals must bring products to the Open Market before they receive money.
  • The Open Market does not allow monopolies or any other way non-producers and counter-producers can control supply and demand.  The control of supply and demand gives non-producers and counter-producers the advantage of receiving more money than what their products are worth.
  • Non-producers and counter-producers are exclusively restricted from participating in the Open Market!   Producers are King in the Open Market!  They create the money, value, energy, wealth, capital and power through the production of commodities, trades, goods and services.
  • The Open Market prevents people from taking a non-productive and counter-productive advantage in the Market.
  • This is the greatest difference between the Open Market and the Free Market.   The Open Market does not allow for non-producer and counter-producer participation.  The Free Market allows for non-producer and counter-producer participation.  Non-producers and counter-producers have wrecked many a society and nation by being allowed to participate in Markets.  They have been allowed to participate without exchange for the money, value, energy, wealth, capital and power they receive.
  • Non-producers and counter-producers are found in all levels of a society.  They are located from the poorest among us all the way to the wealthiest among us.  Non-producer and counter-producers, whether rich or poor, are non-producers and counter-producers.  There are no exceptions! They are a heavy liability and burden on Organizations, Societies, Nations, Mankind and Environments!
  • The Open Market establishes the value of commodities, trades, goods and services.  Producers are the driving force behind the mechanism that gives commodities, trades, goods and services their value.  Producers place the demand on the market.  The market through competition among all commodities, trades, goods and services establishes value.  Producers are the determining force in the market that sets the correct value.  Producers assert their drive through the market to establish the value of the commodities, trades, goods and services.
  • Everyone must place commodities, trades, goods and services on the market before they can take any money.  They must be real commodities, trades, goods and services.  Refer to “What is a Product” in http://youcreatemoney.com.

An Open Market must be open to all Producers on equal terms!  There are no exceptions!  The Open Market always establishes the value of all commodities, trades, goods and services based on supply and demand.  This is a fact in nature.  Upon evaluation it is found to be a self-evident truth.

Producer Rewarded Open Market Economics
The Science of Economics
By: RP Obrigewitsch
December 11, 2011

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Sunday, December 11th, 2011 Open Market Economics No Comments

2.0 Open Market Technology

Revised November 17, 2013

There is an open market technology.  It gives information on how to operate the Market which is open to all Producers on equal terms.  That technology is found in the Producer Rewarded Open Market Economic System.  Producers, non-producers and counter-producers need education in this open market technology so they can operate the Market, open to all on equal terms.  Today Producers are being harmed by non-producers and counter-producers when they operate the Market incorrectly.

It is like driving a car.  You must learn the technology on how to operate the car.  You must know all the rules and laws that encompass automobile operations.  The rules and laws are natural and man made.  They are applied for safety and efficiency.  A person adept in the rules and laws of automobile operation functions very well operating an automobile.  People who are not adept in the rules and laws of automobile operation don’t function well while driving.  In many cases they are deadly for themselves, the automobile and for other people.

The same consequences hold true in operating a Marketing System.  The technology on how to operate a Marketing system must be learned.  Without knowing the rules and laws of marketing individuals don’t function very well in economic activities.  When the rules and laws of Marketing are known and applied prosperity can be achieved for individuals, organizations, societies and nations.   Marketing can be harmful for the people who don’t know the rules of Marketing.  Marketing, when not holding the Market open to all Producers on equal terms, can harm people as well.   Individuals can be harmed when interacting with those who don’t know the rules and laws of marketing.  Producers can be harmed when they interact with non-producers and counter-producers who intentionally violate the rules of Marketing.  Producers are harmed when Markets allow non-producers and counter-producers to participate.  When Producers know the rules they can take control of their Marketing and use it to create prosperity for themselves and all who participate in the Market

This section, the Open Market Technology Section, of Producer Rewarded Open Market Economics addresses the technology of the Market place.  This technology is Open Market Economics.  Open Market Technology addresses in detail most if not all the rules and laws involved in operating a Marketing System.  Free Market Economics gives a skeleton overview on operating a Market System.  The non-producers and counter-producers have taken advantage of the vague definition and description of the Free Market.  They have captured the Free Market and are sucking the lifeblood out of it.  The lifeblood is the money, value, energy, wealth, capital and power created by the Producers.

The following articles will explain in detail the Technology of the Open Market and how it differs from, and is much more prosperity creating than, the Free Market.

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
December 4, 2011

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Sunday, December 4th, 2011 Open Market Economics No Comments

6. Free Market, Non-existent!

Revised November 18, 2013

The Free Market today is almost non-existent.  It is buried beneath all the destructive schemes, dreamed up by non-producers and counter-producers.  They use their destructive schemes to take money without an exchange for it. The Market is there working like it should be working.  It is establishing value for commodities, trades, goods and services that get placed on the market.  However, the market is covered in a shroud of unethical, immoral, and lawless schemes.

This shroud is composed of monopolies and  government sanctioned monopolies.  It is also composed of schemes of speculation that involve no production.  Government subsidies, welfare for the rich and welfare for the poor are also part of this shroud.  This shroud also includes massively over allocated military spending.   People who hold positions and do not produce at all or produce less than the money received in pay are a part of this shroud.  Other areas covered in this shroud are other massively wasteful government programs, people in power receiving huge amounts of money with no or not enough production in exchange for it; illegal drug trade and excessive unneeded legal drug trade.

The shroud includes individuals in governments.  They sit in a position of power, redistributing the money, value, energy, wealth, capital and power away from the Producers.  They placing it into the hands of non-producers and counter-producers.  Capital Destroying Capitalists, Communism, Fascism, Right Wingism and Left Wingism have as their central thrust to redistribute the money, value, energy, wealth, capital and power of a nation.  They place it  into the hands of non-producers and counter-producers.

When you study the Market you will see through this shroud and see the Free Market working.  It is a Market, after all.   “All Markets have supply and demand forces at work establishing the value for all commodities, trades, goods and services on the Market!”

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
December 4, 2011

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Sunday, December 4th, 2011 Open Market Economics No Comments

5. Free Market vs. Open Market

Revised November 18, 2013

This article on Free Market vs. Open Market is an article comparing the two types of Markets.

I will start with the definition of a Free Market; a Market in which prices are determined by the forces of supply and demand, without government regulations or restrictions. (Thorndike/Barnhart Dictionary)

The definition of Supply is; the quantity of any commodity in the market ready for purchase, especially at a given price. (Thorndike/Barnhart Dictionary)

Supply is the most important part of the definition of Free Market.  Supply and Demand is; the interplay of the quantity of goods offered for sale at specified prices and the quantity of goods purchased at those prices in the Free Market. (Thorndike/Barnhart Dictionary)

There must be this interplay of goods offered for sale and goods purchased in order to have a Market of any kind.  I will expand that to say, there must be interplay of commodities, trades, goods and service offered for sale and purchased.  This interplay of commodities, trades, goods and service offered for sale and commodities, trades, goods, and services purchased establishes a Market.  This is how all Markets are established. Non-producers and counter-producers take money out of the Market without offering any supply in return.  When they take money without offering any supply in return they are really stealing the money, value, energy, wealth, capital and power from the Market and the Producers.

Examples of non-production and counter-production are; speculation on commodities, excess military spending, wars, farm subsidies, monopolies, corporate welfare, expanding the money supply by banks, any receiving of money without an exchange for it, or insufficient exchange for the money and any other form of welfare.

We will use speculation as an example of rewarding non-production and counter-production.  There are two types of speculators.  There are speculators who buy commodities with the intent to take delivery and then take delivery of the commodities.  They either consume the commodities or convert them into new products they place on the Open Market and receive money in return for.

Then there are speculators who buy shares in commodities with no intent to take any delivery of the items at all.  They buy low and sell high.  They are there to make money with no exchange in production for it.  They simply offer no production in return for the money they take from the Market!   They offer no supply in return for the money they take out of the Market.  There was no intention to take possession of the commodities for their personal use or for use in future production.

This violates Free Market principles to the extreme!  There must always be Supply placed into the Market and it must be worthy of exchange for any money anyone takes out.  These speculators who buy shares in commodities without taking possession of the commodities are rewarded Non-producers and counter-producers.  They are stealing money by simply shuffling paper.  This is not production.  When they bid up the price of oil and sell it at a higher price, without taking possession of it or using it in future production, we the Producers pay a higher price for gas at the pump.  The Non-producing and counter-producing speculators are taking the money from you with no exchange to you for the money.

The Producing speculators buy shares in commodities.  They take delivery of the commodity.  They convert the commodity into new production.  The Producing speculator then exchanges the new product “supply” on the market for money.

The non-producing and counter-producing speculators buy shares in commodities.  They do nothing with the commodity.  They turn around and sell it at a higher price.  This action of purchasing commodities with the purpose of buying low and selling high places a demand on the commodity.  This demand causes the price to go up.  When non-producer and counter-producer speculators purchase shares in oil the price of oil increases.  This speculation causes the price of gas at the pump to rise.  These rewarded non-producing and counter-producing speculators are taking your money with no exchange for it, to you or to the Market.

Supply, in the definition of Free Market, states explicitly that there must be commodities, trades, goods and services placed on the Free Market in order to have a Market and in order to have a working Market.  Since Non-producers and counter-producers don’t bring a “supply” to the Free Market they must not ever take any money, value, energy, wealth, capital or power from it.  This is a very important factor in the definition of Free Market.

This Free Market they use today, and call a Free Market, is not a Free Market.  The one thing, “supply,” that is expressly needed to have a Market is not strictly enforced.  In fact in today’s world there is no “true Free Market” in existence.  If people don’t bring a true supply, a commodity, trade, good or a service, to the Market when receiving money, there is no Market.  It can’t exist.  When a Market does exist the non-producers and counter-producers destroy it.  Exchanging supplies is what a Market is all about.  If one comes to the Market with no supplies and demands money, he is not creating a Market.  Without supplies, no exchange could possibly take place and therefore no Market could exist.

The Open Market is a Market in which prices are determined by the forces of supply and demand, without government regulations or restrictions.  It is “open to all Producers on equal terms” and restricted to the participation of Producers only.  Only producers can create and construct a Market.  Non-producers and counter-producers cannot create and construct a Market.  They can only destroy and destruct a Market.

The Open Market, “open to all Producers on equal terms,” is similar to the Free Market.  The Free Market, which we have seen, is  being “attempted” to be established today.  The Free Market is based upon the dynamics (forces) of supply and demand.  So is the Open Market.  They both are based on being free from government regulation and restriction.

The reason I say, the Free Market is being “attempted to be established today,” is because the non-producers and counter-producers continue to destroy the Market while the Producers work to create it.  It is not a Free Market in the sense that everyone must place a “supply” on it in order to receive money. The definition of freedom used in the Free Market is, “anything goes in this Market,” which includes the destructive forces of the Non-producer and counter-producer.

The Free Market is attempted to be established today because the Producers are attempting to create a Market while the non-producers and counter-producers work in destroying it.  The most the Producers can do is attempt to create the Free Market.  As the Producers build the Market up, the non-producers and counter-producers tear it down.

The Free Market does not give equal access!  It is the opposite of equal access.  The Non-producers and counter-producers have access to steal the money, value, energy, wealth, wealth, capital and power with no supply (commodities, trades, goods and services) required in exchange for the money.  The Producers are required to provide supply in exchange for their money.  Equal access means; in order to receive money, you must always exchange supply, “a commodity, trade good or service,” for the money without any special advantages.

Non-producers and counter-producers don’t do that.  They work, 24/7, developing schemes to take money, value, energy, wealth, capital and power from the Market without exchanging “supplied” commodities, trades, goods and services for it.  The non-producer and counter-producer out-exchange actions destroy the Market, Society, Nation, themselves and their families.  The Non-producers and counter-producers, like vampires and parasites, suck the energy out of the Society and the Nation.  On the other hand the Producers, create the energy for a Society and a Nation to prosper with.  This created energy, by the Producers, is what gives a Nation its power and strength.

Non-producers and counter-producers can only do one thing when participating in a Market and that is destroying it.  The “Free Market” is in a constant struggle to establish itself.   This is because the non-producers and counter-producers continue to steal the money, value, energy, wealth, capital and power from it with little or no “supplies” exchanged for it.  The Free Market is constantly attempting to be established by the Producers in the society.  These attempts continue to be beaten back by out-exchange Non-producers and counter-producers.

With these constant destructive thrusts, by the Non-producers and counter-producers one could only conclude, their purpose is to destroy the Free Market.  This continued destruction of the Free Market leads to the destruction of the Society, Nation, themselves and their families.  This destruction of the Market is an observed activity in societies where non-producers and counter-producers are allowed to participate in the Market.

 

Producer Rewarded Open Market Economics
By RP Obrigewitsch
October 12, 2011
Revised October 14, 2011

 

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Wednesday, October 12th, 2011 Open Market Economics No Comments

4. Market Action

Revised November 17, 2013

The market action of establishing the value for commodities, trade, goods and services is happening continuously twenty four hours a day. This market action takes place on all Markets whether Open Markets or not.  It is an action inherent to Markets.  As long as there are producers, producing commodities, trades, goods and services and exchanging them with each other, this Market force is at work.  It is a force working to establish the prices even with all the destructive out exchange taking place on the Market by the non-producers and counter-producers.  This force is always at work in the Market.  This is a natural force found in nature.

Even with all the muddle and confusion created by the non-producers and counter-producers this market action is taking place.  Of course the value of commodities, trades, goods and services gets placed incorrectly.  The value is usually higher than it would be when non-producers and counter-producers are allowed in the Market.

If non-producers and counter-producers become Producers they would create products.  They would place their created commodities, trades, goods and services on the Market.  This increased volume of commodities, trade, goods and services would cause a drop in prices across the Market.  There would be an increase in products on the Market in relation to money in circulation.  As production volume increases, demand tends to drop off and prices drop as a result.  Rewarding non-production and counter-production causes prices to rise because the volume of commodities, trades, goods and services is lower.  The non-producers and counter-producers are exchanging little or no commodities, trades, goods and services for the money they receive.   This causes demand to rise and prices follow along.

The Market has a directed effort to set the value for commodities, trades, goods and services that are competing with each other. The Market forces take place “anywhere at anytime” producers create a Market by exchanging commodities, trades, goods and services with each other or for money.

Producer Rewarded Open Market Economics
The Science of Economics
By: R P Obrigewitsch
December 4, 2011

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Saturday, October 8th, 2011 Open Market Economics No Comments

3. The True Value of Production!

Revised November 17, 2013

Competition among all commodities, trades, goods and services on the Open Market is the only way true value for all commodities, trades, goods and services can be determined.  Competition among all commodities, trades, goods and services on the Open Market gives the true value of production.  The Open Market establishes the value for all commodities, trades, goods and services exchanged on the Open Market.  The value is established in terms of money units.  All commodities, trades, goods and services on the Open Market compete with each other.  This sets the value for each commodity, trade, good and service.  The producers set the demand when they purchase commodities, trades, goods and services.  This demand establishes the value measured in money units.

The Open Market Construct derives its energy from the supply and demand forces thrust into the Market by the Producers.  These supply and demand forces sort out the competition among all commodities, trades, goods and services.   The supply and demand forces establish the value of each product. This functioning, of the Open Market, helps give optimum money velocity and prosperity in an organization,  society and nation.

 

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
October 8, 2011
Saturday, October 8th, 2011 Open Market Economics No Comments

1. The Open Market!

Revised November 17, 2013

The Open Market Construct is the third important Axiom in Economics.  The first important Axiom in Economics is; ALL MONEY IS CREATED THOUGH AND BACKED BY PRODUCTION.  The second important Axiom in Economics is; THE PEOPLE WHO CREATE THE PRODUCTION OWN THE PRODUCTS AND THE MONEY RECEIVED FOR THE PRODUCTS WHEN THEY ARE EXCHANGED ON THE OPEN MARKET.  When the producers exchange the production on the Open Market they own the money units received for it.  The fourth important Axiom in Economics is; MAINTAIN A CONSTANT MONEY SUPPLY, NO EXCEPTIONS.  Maintaining a constant money supply standardizes the entire Economic System.  This is like the Metric System being standardized with the standard meter.

The Open Market is a Market.  The Open Market Construct is defined in the Producer Rewarded Open Market Economic System.  All Markets exist because of supply and demand forces. If there are no supply and demand forces, there are “no Markets.”  The supply and demand forces inject life or dynamics into a Market.

The most important parts in the Open Market Construct are (1.)  The Open Market is “open to all on equal terms,” (2.)  The Open Market is a “pure supply and demand” marketing system and (3) The Open Market is, restricted to Producers and only Producers.”  The Open Market is restricted to the activity of Producers because, Producers create all Markets.  Non-producers and counter-producers destroy Markets and thus, are excluded by their nature. They have excluded themselves by being a counter force to the force dynamics that operate all Markets.  In this case they are a counter force to the  Open Market.  They, at some time, have made a decision to be a counter force to the existence and prosperity of the Market and themselves, organization, societies, nations, and mankind.  The Open Market Construct is activated and propelled by the supply and demand principles used by Producers.  The Producers use the supply and demand principles when purchasing and selling commodities, trades, goods and services on the Open Market.

Producer Rewarded Open Market Economics
The Science of Economics
By RP Obrigewitsch
October 2, 20011

 

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Sunday, October 2nd, 2011 Open Market Economics No Comments
 

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