deadly mathematics behind economics?

1. In presentday situation of fundamental crisis in finance system we perhaps can try again a view on BASIC mathmetics behind BANKING. This is the question: WHAT IS MATHEMATICS OF INTEREST RATES? As EVERYBODY with business training knows, it’s an unlimited falling EXPONENTIAL row which normally can be verbalized as “rates of rates of rates” AD INFINITUM. In other words: Any bynking crisis is at the same time a crisis of MATHEMATICS of banking, which PRACTICALLY “works out” as some sort of EXPONENTIAL GROTH – showing sometimes TENDENCY to UNCONTROLLED GROTH (under certain and changing conditions of history of developement of banking).
2. The CONSEQUENCES are VERY clear: Any FUNCTIONING banking must be protected against OSZILLATIONS with characteristics of “resonance catastrophe”, meaning the nearly impossible task to HAVE A MATHEMATIC MECHANICS to follow, but at the same time to INTERFERE with these AUTOMATICALLY mechanics to prevent SYSTEM-IMMANENT “crash”.
3. Political alternatives are VERY clear:
3.1 CHANGING OF BASIC MATHEMATICS to some sort of ADDITIVE or MULTIPLICATIVE method – and thus saying “good bye” to any PERCENTAGE-Mathematics.
3.2 To RECONSIDER TEACHINGS OF THE BIBLE. which in Old Testament is telling something of PERIODODIC INTERPOLATION in TIME-ROW of a YEAR WITH ALL DEBTS ANULLATED – which in more recent times of history MAY be compared with examples of “state bancruptcy” or “currency reform”. We may for instance hint to introduction of EURO, which for SEVERAL countries had the consequence of MATHEMATICAL SET-BACK FROM GREAT NUMBERS, so to say to set some sort of NEW ZERO-POINT or STARTING-POINT to continue COUNTING OF NUMBERS from.
3.3 Because we find in history, that SO FAR NOBODY COULD CHANGE these mathematics, we in searching for REASONABLE REASONS MAY come to the conclusion, that MATHEMATICS OF BANKING ARE SHOWING LIMITS OF IN-THE-BOX-THINKING, that MAY have IMPOSED on entire mankind, this mankind SOMEHOW BLOCKED. to ESCAPE FROM THIS “PRISON-LIKE” PATTERNS.
3.4 DIFFICULTY however is, that INDIRECTLY presentday mathematics of banking are CONNECTED with OUR PRESENTDAY DEVELOPMENT DYNAMICS, both economical and technological. This leads to an additional HISTORICAL observation, namely a comparison with economics say in stone-age or in socalled “primitive cultural stage” WITHOUT money or with VERY RELATIVE IMPORTANCE of money, which normally we find mentioned as some sort of “ECONOMICS OF GOODS EXCHANGE”. Based on the writings of Georg LIST (or so) we find books of a WORKING EXAMPLE around 1932 in Austrian town WOERGL. We even may go as far as to say, that INTEROPERABILITY between NON-COMPATIBLE ECONOMICAL SYSTEMS during times of COLD WAR tended to show characteristics of “GOODS EXCHANGE ECONOMY” with “money” involved in some INFERIOR ROLE only.
4. We however have to introduce now the findings of the socalled “Club of Rome” (Dennis Meadows et alii) to learn something about BIOLOGICAL TYPS OF GROWTH-DYNAMICS – especially in demographics and dependent consumation of raw materials especially in INDUSTRIALISIZED ECONOMIES – and application of NEW MATHEMATICS of “SYSTEM-CIRCUITS” and their behavior of OSZILLATION and EXPANSION TO THE POINT OF SYSTEM-BREAKDOWN – which of course has something to do with ECONOMICAL THEORIES OF KEYNES-TYPE, that is with WAVES OF CONJUNCTURE – be it Kondratiev-waves or “waiting rows” or even cycle(s) of Sun-activity (the latter: Schmölders, Cologne).
5. IN THE END with all this we now have reached a point of complexity , SEEMINGLY NOBODY can fully understand nor fully OPERATE, which would implicate some sort of HARMONIZATION OF CYCLES OF DIFFERENT “kind”. We may add an invitation to precaution: ALL this ONLY deals with SURFACE ECONOMY – with the somewhat UGLY problems of SHADOW-ECONOMIES OF SEVERAL TYPE not taken into account. To try to QUANTIFY this problem we may take UNSECURED FIGURES from different observers of the scene telling the public something, that proportion between SHADOW-ECONOMICS and OPEN-REAL-ECONOMICS is something between 1:3 or 1:5 or even 1:10!!!
6. So our trial for CONCLUSION would show up like follows:
The SOLUTION for a PROBLEM starts with THINKING, that in case of economy is leading DIRECTLY into PHILOSOPHY and – if we take economy under its PRACTICAL aspects – to BEHAVIOR and therefor to PSYCHOLOGY OF MOTIVATION.
And we end this exposee with the question:
WHY and HOW do we PRODUCE PRODUCTS to be DISTRIBUTED by mechanics of SALES???
An EXTREME COUNTER POSITION would be for instance: ALL PRODUCTS ARE FREE GIFT FROM “MOTHER NATURE” – “somehow” – and THEREFORE could be distributed BY FREE GIFTS – which of course would work only with CHILDREN and certainly (?) not with “grown ups” …
But VERY certainly RETHINKING is VERY NECCESSARY, because – as the Cardinal Meisner of Cologne once put it: ” If we IMAGINE only, the PRESENT (socalled) “LIVING STANDARDS” of North-America and Europe to become the STANDARDS FOR THE ENTIRE GLOBE,
RESSOURCES WOULD BE AT ONCE EXHAUSTED” – or perhaps TOMORROW we would be at A NATURAL STOP from NATURAL LIMITS OF PLANET EARTH!
So with regard to CONSUMATION of RESSOURCES we really should reconsider SENSE OF PRODUCTS – and if we take for instance the TRANSPORTATION STATISTICS FOR CARS AND TRUCKS we very surprsingly find, that they to HIGH PERCENTAGE are MOVING EMPTY to destinations of NO SENSE!
We have for instance this wellknown exemple of SUGAR PRODUCTION – interesting today for FINANCIAL SPECULATION with STATISTICS KEPT SECRET – but BLOCKING at minimum ACRE as big as former DDR – Buike estimation and therefore ROUGH estimation – which COULD contribute to STOP DEATH FROM HUNGER – if only we would know, how to make a MEANINGFUL ECONOMY from it, that even could MEET MORAL STANDARDS …
And so forth ….

Kindly regards

Buike publishing

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About bbuike

- *1953 in Bremen / Germany - since decennia in Neuss / Germany - classical composer (registered since 2005) - scientific freelance writer - registered to German National Library "Deutsche Bibliothek", search "Bruno Buike", with 246 items in 2013 1996-97 - 5000 qm Rekultivierung Obstwiese mit Kleintierhaltung 2004/05 - 3 Wochen Gartenpflege in einem orthodoxen Kloster in Deutschland 2009 - 3 Wochen Katastrophenhilfe Einsturz des Kölner Stadtarchivs 2011 - journey to Przemysl/Poland - and learning of basic Polish vocabulary and reading/pronounciation 2013 University of Tokyo - Conditions of war and peace - Coursera - Certificate 2013, December - after 15 years in mainly Russian-orthodox and Greek-orthodox affairs return to Roman-Catholic church 2014 National University of Singapur, Conservatory - Write like Mozart. Introduction to classical composition - Coursera Certifikate "with distinction"
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