The reason why the African-American community is economically suffering is because the black community do not have an efficient market economy allowing us to free trade with each other. We all know the solution to creating true economic empowerment is when we do business with each other in a way that create value and benefit. And while every so-called “black economic” cat running their mouth, none of them talked about establishing a free market economy in the black community.
Planned Economy versus Market Economy
Let’s first look at Wikipedia definitions of a planned economy and market economy.
A planned economy is an economic system in which inputs are based on direct allocation. Economic planning may be carried out in a decentralized, distributed or centralized manner depending on the specific organization of economic institutions. An economy based on economic planning (either through the state, an association of worker cooperatives or another economic entity that has jurisdiction over the means of production) appropriates its resources as needed, so that allocation comes in the form of internal transfers involving the purchasing of assets by one government agency or firm by another.
A market economy is an economy in which decisions regarding investment, production, and distribution are based on market determined supply and demand, and prices of goods and services are determined in a free price system. The major defining characteristic of a market economy is that investment decisions and the allocation of producer goods are mainly made by cooperative negotiation through markets.
When you listen to the black nationalists (Dr. Claud Anderson, Honorable Minister Louis Farrakhan, Dr. Umar Johnson and the rest of them) and their dreams of black economic empowerment, they focus on planned economy of “pooling our money” into one centralized decision maker to allocate resources. Perfect example – you guys pool your money into a “black-owned bank” and the “black-owned bank” become the decision maker on where to allocate the pooled money – that’s some planned economy shit right there. Another example is the government WIC program where they tell you what you got to do with your allocated money and this create artificial demand for WIC stores in the hood – someone centralized telling you how to spend your welfare check and businesses are setup like corner stores, liquor stores to accommodate the planned economy. The reason why black people are economically oppressed in the black community is because they are victims of planned economy – being forced to be told how to spend – and these black nationalists are promoting planned economics because they financially ignorant also.
A market economy is what everybody else except what we black folks doing and why they all got money, nice communities and stuff and rich getting richer and we just pretending we got disposable income. Their economics is based on market demand and supply and pricing. They invest in securities like stocks and bonds in companies that are traded on the market based on performance and make profit and risk loss on a daily basis but come out ahead and if they lose, write losses off on their taxes. Not only securities in firms but contracts on commodities such as futures contracts and options contracts to buy products and secure demand or lack of demand with market-based forecasting such as the price of oil futures or corn futures. And these trading occur on exchanges such as NYSE, NASDAQ, TSE and LSE worldwide. Meanwhile, we see brothas selling socks for $5 in front of the subway station in the hood.
What If We Moved to a Market Economy in the Hood?
What if we told you that you are the solution you looking for, you are the answer you been seeking and you are the fulfilment you been trying to find? Can you handle this revelation about yourself? Me and my crew have been trying to tell you black folks all in 2016 this and all you African-Americans at large have not realized we were always the change we been looking for.
What me and the 3rd Strategic Institute have discovered and what we see trending worldwide is the new economic paradigm that fulfill the prophecy of the meek shall inherit the earth. What people been chasing about money was all wrong – what should have been chased was value. This is why black women go wrong chasing dudes with money instead of chasing dudes with value. This is why black dudes go wrong flashing money instead of flashing value. When the majority of people who are not the 1% start recognizing there is value in the other 99% instead of diverting their money to the 1%, they will all become prosperous and collectively benefit from the exchange of value.
The sharing economy, the circular economy, the trust economy and the gig economy are examples of these new economic paradigms where value is exchanged and disrupting the current 1% planned economy of make-take-dispose consumption of products and services by working class proletariats. But the shortcoming of these new economic paradigms is the lack of a marketplace platform but this is where virtual currencies like Bitcoin and Ethereum is now coming aboard to create a unit of value that cannot be defined and controlled by the 1%.
So what if we create a market economy in our hood where we traded things we already owned and used our own cryptocurrency created by us to represent our value? We create an exchange and trade items from kicks, electronics, clothing, furniture and brands? We create our own cryptocurrency and we trade stuff we already own to receive cryptocurrency to use elsewhere? People invest in the cryptocurrency and use it to sell to the market at a profit if demand is high to trade on the exchange? What will happen is we are engaged in economic activity immediately, we begin to transact based on demand and supply and we optimize our community based on demand and supply and we experience immediate economic growth by using our own resources, our virtual currencies to exchange value between each other.
Let’s Swaggerjack What We See in Asian Market Economy Setup
The best way to understand what we going to do is to look at existing practices and patterns and let’s look at several places in Asia that are urban centers we can learn from. If we look at the image above of a Tokyo IPTV wall of market prices, we see an array of flat-panel screens showing market prices. We can create screens in our hood that show the price of items in our exchanges and well as exchanges for our hood-based crypto-tokens and this can be on our commercial strips in the hood.
Now let’s go to China and you see this is a market floor and this is an interesting setup that I’m impress with and let me explain what you see here. You see people sitting in chairs relaxing and looking at the market prices on a huge exchange board. This is a social flash point that create conversation and also where some people can watch the market work in their community – seeing what people in the hood want to buy and sell in real-time. School kids can take a school trip here to see how the market economy works in their hood. But this is not the best part of the picture, if you see the guy on the right – he is standing in front of a terminal kiosk where he can place a market order or trade order.
These look like Bloomberg terminals with Bloomberg getting his money up in China but it’s possible just to use HTML5 screens on a flat-panel monitor here in our hoods to create a terminal that allow people to trade on the local exchange. Can be totally touch screen. But they can also use their mobile phone.
We can create a mobile app that allow people to view the latest prices and trade on their phone as well as look up prices and things on the marketplace. So as you see already, we can buy the flat panels, get a building in the hood to show the market to people in the community to know what they can buy and sell and bid and ask on and provide a mobile app in our hood to facilitate trades.
What we can Trade in Our Community?
We can list several hood-based exchanges on boards throughout the hood. We can list an exchange for hood-based cryptocurrencies and we can list market trading for products in the hood people already own that willing to trade with each other. This can be anything from sneakers to used video games to luxury items to mobile electronics. Also keep in mind, these boards can be highly interactive and we probably can display not only the news but advertisement from local business since people in the hood will congregate to view the board.
So let’s give an example – people want the latest iPhone for the holiday season so people who want it bid the price up near retail value on the market for someone willing to sell it when it came out. Now two years later when a new iPhone is announced, people will ask for a lower price for that old iPhone on the marketplace. Someone will want it and someone will want to sell it and business is done in our community. What’s exciting about this is the following – a sista can buy a luxury item knowing she can sport it for 6 months then sell it on the market to someone else and she go buy a new luxury item, knowing she giving it to someone in her community who can buy it on the market and keep the exchange of value in the community.
The settlement of the trade and exchange can be done with hood-based cryptocurrencies or crypto-tokens. So someone can put their iWatch on the market in exchange for crypto-tokens to a medical clinic to go see the doctor. Someone can sell their leftover medical clinic crypto-tokens for an iWatch as they originally invested in the medical clinic tokens. Someone can buy their kicks and then 3 months later, throw it on the local market to sell it for crypto-currency or settle in cash to buy new or make a profit if the shoes are rare. And all this exchange happens all in the hood and create market economy activity that never been accomplished in our hood before and the real solution we always needed from the get – to start empowering ourselves and doing business with each other with what we got exchanging the value we already have.
Just Another Afro-Tech Production – This Platform is Currently in Development
The 3rd Strategic Institute already created the exchange and crypto-platform to establish market economies in our communities to begin economic activity and upliftment. I will be providing the Global Urban Collective with sample code to get up and running and they can run with it. And because members of the Global Urban Collective have perks, they can work with us to get it up and running not only in their hoods for their people, but if they want to take this to places like Toronto, South London, Amsterdam, Mexico City and Seoul then we got the skills, talent and network to create global urban entrepreneurs and moguls.
The Global Urban Collective already have blockchain knowledge and assets and this is how we proposing the trade execution and settlement of the market exchange is with the blockchain. The blockchain contracts are generated when a market order is initiated and written to the blockchain after trade execution. This allow not only quick settlement but build a history of traders and cryptocurrencies transactions that are open and transparent. The distributed ledger can be interrogated by traders to verify the blockchain and transactions – we already discussed this blockchain stuff on this blog.
So as you see, plenty of opportunity here. Brothas and sistas can buy and sell things already in the hood and convert them to crypto-tokens, virtual currencies or cash to create value out of what they already have among themselves. We create financial centers that encourage transactions in our community where people see market prices and market updates on big screen TVs and everyone in the hood talking about our own demand and supply. One thing that you will see quickly go away as a result of a market economy is predatory financial establishments like pawn shops and payday loans and title loans in our hood. Notice we at the 3rd Strat don’t have to hustle our own black people asking them for money to make this happen….we just out here making it happen and putting in real work using our real tech skills to just do it.
Wow, we just showed the black community how to create their own crypto-tokens to establish smart transactions in the hood and we also just showed the black community how to create a market-based economy system using a blockchain-driven exchange with a system similar to what we see in China. We showing black folks how to do for self with their own assets and value they create organically in the black community. Yeah I know we the best but we also got those skills and we got a mission to do for our people, our community and our future.