[p2p-research] "Sustainable Abundance using Joule Tokens" // was Re: IP rights as enforcer of scarcity economics

[marc fawzi]

Hi everyone,

I can go through the logic given below to prove that the 'Joule Token' as a
currency enables -and is essential to- 'sustainable abundance' (which is
also defined below)

If there is a flaw in the deduction/logic that you can spot or some lack of
clarity that may come across as a flaw then I would really appreciate being
told about it.

~~~From updated P2P Energy
Economy<http://p2pfoundation.net/P2P_Energy_Economy>model R1.99.1

To understand the conditions that give rise to sustainable abundance, let's
review the related axioms of this model:

1. Money, as defined here, is created by tokenizing (converting to tokens)
the relative increase (or delta) in electric energy flows from peers with
energy surplus to peers with energy deficit. It has a fixed value in joules
(redeemable in electric energy.)

2. The definition of energy under this model is limited to energy that is
producible and deliverable on continuous, decentralized, renewable, scalable
basis.

3. The supply of energy is matched to the demand for energy at all times,
where the work-value of energy, i.e. the value of energy in Joules, replaces
equilibrium price, i.e. anyone who needs energy can purchase it at its work
value in joules. *(Note: the work value of energy replaces the equilibrium
price under this model, where the latter, which the current economic model
is based on, enforces artificial scarcity by directly increasing the price
of energy to limit actual demand, in the hope that the increased profit
margin would then lead to increased supply, which is not guaranteed, rather
than directly increasing the supply to meet actual demand, which this model
enables without increasing the cost of purchasing energy above the
work-value of energy in joules.)*

4. The definition of goods and services under this model is limited to those
that are producible and deliverable on continuous, decentralized, renewable,
scalable basis.

5. The price of a given good or service is calculated based as the median
cost in energy it takes to produce and deliver that good or service, based
on the average predicted volume of production calculated from predicted
volumes of demand reported by the inventory management systems of all
producers of that good or service. This allows producers who invest in more
efficient production technology to have higher relative profit margins and
it allows producers who invest in better quality goods and services to have
higher sales, while the price remains at the median cost of energy it takes
to produce and deliver the given good or service. *(Note: the median cost of
energy it takes to produce and deliver a product replaces the equilibrium
price under this model, where the latter, which the current economic model
is based on, enforces artificial scarcity by directly increasing the price
of of the good or service to limit actual demand, in the hope that the
increased profit margin would then lead to increased supply, which is not
guaranteed, rather than directly increasing the supply to meet actual
demand, which this model enables without increasing the cost of purchasing
the good or service above the median cost of energy it takes to produce and
deliver them.)*

6. The use-value of energy (and the use-value of joule tokens which tokenize
the energy) increases over time due to progress in production technology
(for energy, goods and services), i.e. increased efficiency over time in the
use of energy, so, as time passes, each joule token is generated with less
energy and can buy more in goods and services.

Based on the above basic facts about this model, we can prove that the joule
token, as a currency, is a key enabler of sustainable abundance. Without the
use of joule tokens the energy spent by producers of energy, goods and
services may never be recouped.

The existing currency (e.g. US dollar, euro, yen, etc) is part of the model
that has let scarcity persist and grow. By its tendency to direct more and
more money into scarce resources (due to ability for sellers to set
arbitrarily high prices in response to demand for such scarce resources)
rather than directing more and more money into solving the circumstances
that cause scarcity, e.g. lowering the total cost of energy needed to
produce and deliver something, and by deriving its value from its scarcity
rather than from its utility, the existing currency enforces scarcity.

As for the argument that says that money is a tool and it depends on how you
use it, the existing currency is a scarcity-enforcing tool so it creates a
tendency in the user to use it in the way its designed to be used, i.e. to
enforce scarcity.

Having said that, the existing currency and the model of scarcity it
enforces will not disappear over night.

It is expected that some peers will want to gain in manipulative/controlling
power through the acquisition of things that are scare, e.g. gold, land,
real estate, famous art pieces, etc, which will happen using the existing
currency since it allows arbitrary price setting by individual peers whereas
the currency defined under this model does (see: Price Registry.)

It is also expected that 'circumstantially scarce' goods (e.g. out of season
fruit) and services (e.g. vanity services, legal services, creative
services) and assets (e.g. land) will continue to be priced using the
existing scarcity-enforcing currency (e.g. US dollar, euro, yen, etc), which
causes the emergence of manipulative/controlling power (due to competition
for scarce resources) in those scarcity driven markets. This problem is not
fully resolvable by this model. However, it is hoped that the circumstances
that cause scarcity are eliminated, one by one, due to technological and
social progress.

In this sense, the currency defined under this model, i.e. the programmable
virtual joule token, can be viewed as a complementary currency (or more
accurately, a change-enabling currency) whose purpose is to accelerate
society's evolution toward sustainable abundance.

~~
Thanks in advance for any further debate.

Marc
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