Publishing my initial model for hypercapitalism

skilesare

I posted a stupid question a couple of weeks ago and got some good feedback.

@ChristianKl suggested that I start building a model of hypercapitalism for people to play with. I have the first one ready! It isn't quite to the point where people can start submitting bots to play in the economy, but I think it shows that the idea is worth more thought.

Analysis:

http://www.hypercapital.info/news/2015/4/19/a-published-model-of-hypercapitalism

Runnable Code - fork it and mess around with it:

http://runnable.com/VTBkszswv6lIdEFR/hypercapitalism-sample-economy-for-node-js-and-hello-world

I'd love some more feedback and opinions.

A couple of other things for context:

hypercapital.info - all about hypercapitalism

Overcoming bias about our money

Information Theory and the Economy

I posted a stupid question a couple of weeks ago and got some good feedback.

Analysis:

http://www.hypercapital.info/news/2015/4/19/a-published-model-of-hypercapitalism

Runnable Code - fork it and mess around with it:

http://runnable.com/VTBkszswv6lIdEFR/hypercapitalism-sample-economy-for-node-js-and-hello-world

I'd love some more feedback and opinions.

A couple of other things for context:

hypercapital.info - all about hypercapitalism

Overcoming bias about our money

Information Theory and the Economy

any money that is "idly" sitting in a bank account earning interest will be loaned out by the bank to someone who will put it to good use

Yes, but there is also money -- cash -- that just sits in a safe-deposit box or under a mattress. Or think about gold bars.

It seems to me that interest is a good mechanism for incentivizing those who have money to make it available to those who need it for some productive purpose.

This is true. Negative interest rates are a curious contemporary phenomenon. I would probably attribute their existence to two main factors: (1) The desperation of central banks to stimulate the economy by forcefully shoving more and more money into the system; and (2) The global capital glut with its search for safe havens.

Negative interest rates are a curious contemporary phenomenon.

OK, I understand the motivation now. I was thinking in traditional (pre-2008) terms. IMO of the two factors you list, #1 is the biggest reason for the ultra-low interest rates we are seeing now. The way to fix that, IMO, is for central banks to stop pumping money into the economy via quantitative easing, etc. If there really is a global capital glut (and I suspect that there is), holders of that private money will respond to the cessation of central bank easy money policies by making that mon... (read more)