Saturday, June 18, 2011

Star Trek economy - part 1

I was a kid watching the fantastic operations of NASA as the first humans set foot on a ball of rock that wasn't Earth. At the same time,there were a few tv shows that were along the lines of humans exploring space, Lost in Space and Star Trek being the most notable.

OK. So the robot in Lost in Space terrified me and I found Mr. Smith beyond creepy. The show's writers had succeeded from that aspect.

But Star Trek was a wide-eyed, gee whiz, ride. Humans were in contact with other species and they displayed, both the humans and the aliens, often the best and worst of "humanity" (quotes required as the aliens actions don't qualify as human actions).

As I got older I absorbed all forms of Science Fiction, books and movies were the dominate media, with the occasional radio play (HHGTTG!) and came to a realization: there's no way to build a space-going species with the dominate economic systems. The domination of profit motive is just too self-centered to allow for such a tremendous investment of resources as to do the science and engineering research required to allow humans to live indefinitely aboard a vessel that can travel between solar systems with a human lifespan.

Star Trek, however, had shown an alternative way of looking at resource allocation (which is really what economics is all about - not just money). In Star Trek, and in fact all of the stories in which there was a successful, large scale presence of humans in space, at some point in time, usually associated with a calamity, the humans had devised a new economy that was not centered around the acquisition of 'things' but the betterment of the individual.

A transition from an economy based on acquiring things to an economy based on non-tangible human achievement will be fought against viciously by those who gain the most benefit from the current version. And the people who measure their personal worth by the things they buy will also be devastated. A reasonable first step in this will be to address the merits of cooperation versus the consumption costs of competition.

Competition is the free market buzzword in our current environment. Two or more organizations consume resources to produce similar products. Each tries to be better than the other but is barred from directly copying the best of the other by current patent and copyright laws or lack of knowledge through secrecy. So each creates a less than ideal product. Since the product is not the best that it could be, the purchaser must revisit the same buying process at a later time in a futile attempt to get the best product for the need. Thus both producers have expended resources to make a less than desired product and the buyer has a less than fully capable product.

In the process of a cooperative production, resources are consumed in the design phase evaluating the capabilities of proposed solutions and then in the negotiation of divided tasks but the end result is fewer tangible resources consumed when otherwise competing producers cooperate.

Is that really accurate? Doubtful. It's difficult to accept, though, that two companies that both make mass-production items, cars or power drills for example, could not collaborate and produce not two or more lines of competing products but instead a single line of best of breed products. Could Ford and Toyota both benefit from collaboration on hybrid cars and work trucks? What about Makita and Milwaulkee power tools?

We have real-world examples of a hybrid approach being successful. The NASA-led space program is a blend of competition (companies bid to run production) and cooperation (after bidding the same competitive adversaries collaborate on the production). Similar hybrid competitive/cooperative processes also take place other large-scale, high-risk (usually government funded) endeavors like military vehicles and helicopters and commercial airliners.

But is the economic hold-up to putting humans across our galaxy really as simple as cooperation versus competition?

4 comments:

  1. Interesting article but I always thought that Star Trek showed the effects of a government body , "The Federation" that covered more than one country or human colonies on various planets. No reason to not think that something like the European Union with a Federation Parliament and budget could not allocate resources for a protective space fleet and share the great cost and development of such a fleet. There might even be a Boeing vs Airbus competition between various manufactures of spaceships. Either way, it is unlikely that a large product can be developed strictly with private financing. Government and thus cooperation between various resource holders must exist to minimize the risk.

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    1. Yes. Star Trek pointed at the Federation as a governing body. But there were also pointers to an alternate economic process (certainly different from what we have now) that would likely involve some governance process.

      In the process of humans achieving space-faring abilities, given the tremendous hurdles we face in engineering, I can't fathom an exclusive, competitive process that will succeed. It will more likely require a cooperative effort of more engineering talent that we have alive right now.

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  2. Interesting.

    The one problem I have though, is that whenever a monopolistic entity is created (and bureaucracy by default is one), that entity often resists change, particularly dramatic change that may well be for the betterment of society, but, it's...different. And we don't like to do anything different if we're locked into a pattern or behavior (building it this way, provisioning it that...). Yes, I agree, there is a degree of waste that is inherent to a competitive market, but part of the idea (and it works better with more than 2 competitors, often exacerbating the "wasteful" side of this) is that someone takes the risks to try it different, and let the market decide.

    I know, as if the market forces worked right...

    Too often there is manipulation of those forces via governments, well-funded competitors, and media, usually based on our worst fears or other emotional arguments that have very little to do with the reality.

    If human motivation was more about personal and societal development, than yeah, I could see this fewer competitor thing working, but the western world is far gone into the marketing hell we're in, and we're trying to pull others into that quicksand thinking we'll all understand each other better if we're suffering the same.

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    1. It's funny that all business want to be a monopoly, all governments insist on being a monopoly and yet we still talk about "market forces".
      Yes, stagnation is a huge drawback to monopolistic governments. Yet that can also be viewed as the antithesis to radical revolution every few years. Maybe the stagnation is a result of the entrenched personal profiteering (either power or currency). The radical revolution is almost always fueled by a drive for power and/or (usually and) currency.
      Idealistic views, yes, but if humans were focused on the self-improvement not from currency or personal power but on the power of knowledge and the currency of abilities then the stagnation potential would likely no longer be an issue in a non-competitive world.
      Realistically, competition would certainly still exist. It certainly existed in Rodenberry's Star Trek world. But within the Federation, the competition was no longer nation-states or planets fighting for power. It was individuals competing for ranking (which is a form of power derived through peer respect and requiring responsibility to lesser ranks).
      At a more current-time perspective, market-forces are simply manipulated for the benefit of the few. When a product is advertised, that is an attempt to manipulate the market. Basically, true free market processes can only exist for goods and services that are so well understood by all involved parties that supply or demand can't be swayed by propaganda by buyers or sellers.

      like that's gonna happen...

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