During the COVID-19 pandemic, a New York Times article highlighted how a simple germ has thrown a microscopic wrench in the gears of the economic perpetual machine.
What perpetual machine?
That endless conveyor belt driving spending and income, consumption and production which underpins our capitalist economy. As the author states: “We buy the things we want and need, and in exchange give money to the people who produced those things, who in turn use that money to buy the things they want and need, and so on, forever.”
He goes on to say: “What is so deeply worrying about the potential economic ripple effects of the virus is that it requires this perpetual motion machine to come to a near-complete stop across large chunks of the economy, for an indeterminate period of time.”
Yet, interestingly, transactions for goods and services are still happening: Supply chains are still stocking our grocery stores with essential items; oil refineries are still delivering fuel to our local gas stations; manufacturing facilities are still producing (or re-tooling to produce) equipment in support of health care workers fighting the spread of COVID-19 … and ALL are doing so on the promise and belief that the economy will rebound; that the expenses incurred and sustained by these vendors, traders, retailers, suppliers, etc. will be re-paid at some point.
Right now, they are behaving as if “money is no object” otherwise they would have abandoned production long ago if they thought they were not going to be reimbursed. They realize Humanity has essential needs that must be met in spite of a crashing economy.
… and that’s the crux of the paradigm: Why does money need to remain the object?
We are at a critical point in history where we must decide that the fate of Humanity should no longer be viewed through the lens of financial economy.
As it stands, even today, one government leader has said he “would love to have the country opened up, and just raring to go, by Easter” in spite of recommendations by epidemiologists that such a move would put significantly more citizens at risk. Sadly, many of his supporters echoed his sentiments, like this Twitter user: “There will be no country left if everyone is jobless and defaults on their mortgages. I’ll take my chances with washing hands and limiting exposure to large groups, you know, normal flu precautions.”
All to protect the old perpetual machine from breaking down entirely.
Maybe NOW is the time to let that happen.
The world’s nations have supply chains already in place and currently running without money truly trading hands as everyone is doing their part to prevent these chains from falling apart.
Why can’t we just consider maintaining these flows of goods and services without need for compensation? There will always be supply and demand to drive a new perpetual machine, but without money to fuel it.
Right now, the current machine is simply running on fumes.
