Capitalism and Capital

Poker is capitalism in something like its pure form - the only product being exchanged is money. And if a game of poker is indefinitely continued all the money will find its way progressively into fewer and fewer hands.

The idea of capital or money is that of a symbol that permits the flow of products of mutual benefit to peoples engaged in different, perhaps very different, activities, and inhabiting even very different parts of the planet. Originally the fundamental reality of money was of its being a precious metal, and the form or symbol into which it was moulded was a very secondary issue. And so one was in possession of something of intrinsic value, which for whatever reasons man commonly seems to regard as 'precious.' The individual within this system held a strong, stable position. Gold, for example, wasn't suddenly going to depreciate madly.

In time the secondary symbolic state of money has come to have prominence over the first - what it means more important than what it is - and now the existential reality or value of money is worthless, comprising paper or very unprecious metal, and the symbol is the fundamental truth - i.e. what the money means. So one is in possession of an ascribed value, rather than a thing in itself. Naturally this is an extremely powerful and potentially corruptible position for those in charge of the money at something like source, if inclined at all towards temptation, given the wholly symbolic nature of the money substance.

Another way of phrasing this is that if psychological realities like greed, love of power and dominion over others are indeed psychological realities, then we can expect pretty much as a matter of course the enormous temptation to corruption to find practical results. If however greed, love of power, etc are not psychological realities, then we have little to fear, and the possibility of the given scenarion little more than a conspiracy theory arising from an erroneous and cynical view of the landscape of human reality. However, most will agree such inner landscape is indeed real. And so, in the words of Josiah Charles Stamp, President of the Bank of England in the 1920's:

The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight-of-hand that was ever invented. If you want to continue to be slaves of the bankers and pay the cost of your own slavery, then let the bankers continue to create money and control credit.

The utter defencelesness of the ordinary individual's position with modern money shown most spectacularly in Germany between the Great War and the rise of the Nazis, when inflation snowballed to the point where again the intrinsic worth became greater than the symbolic worth; ie the paper was worth more than the 'money'. The intrinsic unreality or worthlessness of the symbol became something close to absolute.

One might say money realised its own non-existence and so dissolved into nothingness, but at the expense of such elegance we probably have to rather consider the perennial activity of human manipulation, conscious and unconscious, intentional and error-strewn, where at the very least the Allied victors by their victory terms ensured the first German economic chaos.

Now in the comparatively cashless society the money relationship is even more abstract, where that which is symbolised doesn't even exist as a tangible symbol-object - i.e. cash - but almost purely as numbers on computer screens, and so the power dynamics in this system have become ever more centralised towards the bankers and creators of the money symbol.

And so is amply shown the danger of an economic system wholly in thrall to the fluctuations and manipulations of a symbol of no intrinsic substance. With today's crisis no crops are failing, plagues striking, etc. Just a purely mental substance depreciating in value in terms of itself, or/ and disappearing into unknown avenues. See poker analogy:

Poker is capitalism in something like its pure form - the only product being exchanged is money. And if a game of poker is indefinitely continued all the money will find its way progressively into fewer and fewer hands.