A collaborative economy will be much more efficient than capitalism?
In a previous blog post I wrote that capitalism and artificial intelligence cannot coexist because the winner takes it all, which is why the era of capitalism is coming to an end. I also recommended a collaborative economy as the best option. In this perspective, it is interesting to discuss whether a collaborative economy is less efficient than capitalism, as this is most likely a counter-argument from right and center politics.
The only way to clarify my position is to describe how a collaborative economy might work. Let's take an example regarding entrepreneurship. In a capitalist society, the inventor or entrepreneur needs to raise capital and resources to start up a business. In a world of super-fast development, many businesses fail and one technological upgrade follows another. Some entrepreneurs and investors become rich quickly while others become poor. People continually gain and lose their jobs. Usually the people with the best verbal skills are the ones who manage to "sell" their inventions and thus attract the most money, whether or not their products are good for society. Because people want to make money, there is a strong incentive to start new businesses.
But how can this work in a collaborative economy? First, I would like to point out that a collaborative economy requires a higher level of wisdom in the population because, among other things, collaboration, responsibility, sustainability, democracy and resilience are much more central in a collaborative society than in capitalism. In a collaborative economy, it is thus crucial that the creativity of the inventor and researcher is coordinated with the real needs of society, which can range from physical products and services to pure basic research.
But what are the major benefits of a collaborative economy in terms of research, development and entrepreneurship? These could be summarized as follows:
- scientists, inventors and entrepreneurs from all over the planet can collaborate on advanced projects, which can lead to much better and faster innovations than individual inventors and companies can achieve
- long-term and extraordinary large investments in development projects are possible and can increase quality and reduce stress
- more efficient use of the planet's investment capacity can be achieved since multiple similar projects can be avoided
- scientists and inventors can devote more time to their main job instead of chasing money or administering projects
- citizens become more involved in the development of society with consultative or direct democracy
- unnecessary waste of capital is avoided by reducing the number of failed projects
- the project organization becomes more flexible as it can be rapidly increased or decreased according to needs
- the most intelligent and creative minds on the planet can be engaged in more projects but for a limited time in each
So what happens to supply and demand in a collaborative economy compared to capitalism? Capitalism regulates which companies survive and prices of products, by the preferences of customers. But how does it function in a collaborative economy? A collaborative economy works for the longer term, with much longer product cycles, much more thoughtful design and use, and much more focus on sustainability and resilience. The goal is not to sell as many products as possible, but to satisfy the needs of humans with a minimum input of energy and resources.
With the description above I hope that I have conveyed compelling evidence that a collaborative economy will be much more efficient and sustainable compared to capitalism.
But, of course there are disadvantages with a collaborative economy for those who love capitalism. For example, the opportunity to get rich is not there. This means that the incentive to work hard will not come from money, but from realizing dreams, taking responsibility, developing yourself and contributing to a better world.