#macro economics
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Ko-Fi Prompt from adam:
macroeconomics, how stuff affects LRAS + SRAS? doesn't necessarily need to be ELI5 if it's easier for you to reference other econ terms
I actually had to check what "ELI5" means and apparently it's "Explain Like I'm Five." Never seen that before but it does make sense.
Here's (significantly more than) five hundred words on macro econ.
I cannot promise that this is how your teachers want you to view things. A lot of this is being processed through "cynical business major that came out the other side of college with a grudge against other business majors."
LRAS: Long run aggregate supply. This is a theoretical model that allows for multiple elements of the economy to be variable in the larger context. We are looking at long-term effects to shifts in the economy. LRAS assumes that aggregate supply is functionally unchanging in the long run, and only ever shifts temporarily. If one element shifts, the others will compensate (e.g. a rise in prices will result in lower quantities, but the total sold in dollar amount will be the same). This is in part because the model assumes that production is working optimally.
SRAS: Short run aggregate supply. This is a theoretical model that fixes most variables and looks at only the effects of individual aspects. Think of it as viewing only the immediate effects of a change to one element, with the assumption that nothing else will change.
What is aggregate supply?
Aggregate supply is, functionally, 'the total price of everything we can sell in a country during a given time.' All the money that is spent, on basically anything, combined. Your rent, your groceries, your tuition, your phone, and anything else (that is not imported), only for everyone in the country. All the money that changes hands is included except imports... and maybe wages.
People seem very keen to not include wages unless it's for direct-to-consumer services. I wasn't sure and tried to look it up for you, and people are very concerned with how wages affect AS, and not very concerned with explaining if "the $20k I paid my employee" is something that gets counted in this whole process.
"Wow that sounds like the GDP." It is. You can mince words about things like imports and exports, taxes, and so on, but GDP is one form of measuring aggregate supply (not including unreported income or illegal sales of drugs, etc).
What is Aggregate Demand?
The reverse! It is the amount of money people are willing to spend. Does that sound confusing? It is.
Aggregate Supply is the collective sales of goods produced, so it includes everything we make, including exports, like integrated circuits, petroleum, and cars.
Aggregate Demand is the collective sales of goods demanded, so it includes everything we buy, including imports, like Korean skincare, pharmaceuticals, and cars.
What affects Aggregate Supply?
AS is affected by numerous factors, but primarily labor, wage rates, general prices, and available financial capital.
(Assume everything is adjusted for inflation.)
Labor
If labor sharply decreases (e.g. COVID hits and unemployment skyrockets), then the Aggregate Supply nosedives, even if Aggregate Demand doesn't dip as sharply.
For our COVID example: People still need food and toilet paper, so the Demand for physical goods isn't affected as severely, but Supply goes down, and Services outside the medical industry take a nosedive; people are much less likely to get a non-necessity service (like massages, live entertainment, or housecleaning) when the people doing that work are often unable to work legally at all, due to legal restrictions.
LRAS assumes that either product costs will rise, or that labor will return to normal after a period of time, and that Aggregate Supply will return to equilibrium after a period of time. On a small scale, things that can affect labor are certification (e.g. if the government suddenly requires a certain license to practice a trade, labor will dip until people have that certification), wages (lower wages mean fewer employees), and worker safety (the revelation that a common element of production is highly carcinogenic and requires greater safety precautions means fewer people are willing to work for a minimum wage... in theory).
Of course, those last two are a lot less influential when the minimum wage is so low that people have to take any job they can find just to afford groceries, but that's another rant.
Price
This is most noticeable with luxury goods. In a traditional supply and demand curve, an increase in cost will lower demand for a product. However, many products do not respond to prices in that manner, due to being necessities. People cannot go without insulin, gas for their commute, or food (even shitty food), and so an increase in general costs can lead to a short bump in Aggregate Supply on the basis of people paying more across the board for things they can't go without, even if they have to take out loans to do it. In the long run, though, AS eventually shifts back to equilibrium, either through market costs being forced down by public outcry or government intervention, or through the people who couldn't afford these things just... dying off.
Fun fact: the lipstick effect is used to describe people in economic downturns ceasing to buy large luxuries (like a new car), but still buying small luxuries (like lipstick) to keep up morale, since it's a much smaller hit to the bank account, but provides a similar dopamine boost in a bad situation.
Wage Rates
If you're like me, your first instinct is that a depressed wage means fewer purchases across the board. Surprisingly, this is not what the usual use of wages in SRAS is.
AS theories assume that a rise in demand will lead to companies seeing a rise in sales, and thus hiring more workers at slightly higher wages in order to meet that demand.
In AS theory, higher wages mean greater labor, mean greater production, and thus higher AS.
(Same result, different reasoning. I view wages as being an element of how much people are able to purchase, and thus how AD affects AS.)
Available Financial Capital
This is an easy one: the more money a company has available, to spend on wages, supplies, and equipment, the more they can produce. If all companies are given more capital (see: stimulus bills, loosened restrictions on banks giving out small business loans, a miracle in which all of Jeff Bezos's money is seized and redistributed to the many small businesses he was cannibalizing), then Aggregate Supply rises.
----
Anyway, that ended up much longer than the 500 words I promised. If you enjoyed this "Economics for Dummies" segment, please toss me a donation on Ko-fi, or sign up for my patreon! I promise I'll appreciate it. (Prompts not necessary, but open.)
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Patreon
#studyblr#notes#economics#economics notes#macroeconomics#macroeconomics notes#macroeco#macroeco notes#macro economics#macro economics notes#econ#econ notes#macro econ#macroecon#unemployment#unemployment rate#populations#demographics#demography#math in economics#economy#economic math#econ math#math in econ#math for econ
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Scope of Economics?
[vc_row][vc_column][/vc_column][/vc_row][vc_row][vc_column][vc_column_text] Scope of Economics? The scope of economics is the area or boundary of the study of economics. In scope of economics we answer and analyze the following two main questions: (i) What is the subject matter of economics? (ii) What is the nature of economics? The subject matter of economics is divided into two: i) Micro…
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So if idk lets say Argentina actually all in full dollarization, would that be, like, deflationary in the US? Like it's a sudden increase in demand for dollars without any real increase in supply, right?
Or is 'have a bunch of your savings/investments in USD' such universal conventional wisdom that the effect's already priced in here?
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03.24
this weekend :
-> laplace transforms homework
-> studied ap macro economics material
-> ap gov unit 4 review
-> made bread for the first time
-> went to two (2) parties, completely opposite in vibes
🎧currently reading: Sapiens: A Brief History of Humankind by Yuval Noah Harari
#studyblr#studying#aesthetic#studyspo#mathblr#100 days of productivity#dark academia#study#reading#sapiens: a brief history of» humankind#study cats#kimblestudies#economics#ap macro#ap gov
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maybe it’s just me, but the corporate environment’s expectation that everyone must be working to move up/get promoted at all times is absolutely exhausting. every performance review you get asked about what you’re doing to grow a new skillset or what role you want to move into next and it feels like there’s this unspoken rule that you’re not allowed to say “actually I’m happy with my current roles and responsibilities, can I just be left alone please?” it’s a constant demand of more more more. if you’re good at one thing, they’ll put five new things on your plate that you have to frantically juggle and then the juggling. never. ends.
#maybe it’s like… a micro version of the macro structure of capitalism#by that I mean the logic that profits must INCREASE every year for a company to be a success#therefore the burden on each individual employee must also increase as the driving force behind the profits#you feel me?#I’m not an economics major. I don’t know shit about all that. this is just me speculating#I just wanna be able to pay the bills man. not run myself into the ground mentally and physically all the time
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Do you think my Econ professor would appreciate that the most relevant thing from his class to my life was how to use equations in Google Sheets (to calculate statistics for web novel tournaments)
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16 year old me who refused to let her parents bully her into picking economics over drama for gcse because she knew she'd hate it and wouldn't cope with it and truly believed in her heart she'd never need it would murder me if she saw what was happening 8 years into her future
#i literally have my sister's economics textbooks out from gcse and ib to try and understand even a little bit#the fuck is a macro economy anyway that's not even real they just made that up
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The Necessities Of Survival.
…
Premonition:
By
…
Hill Bowman
…
December 1st 2018 ©
…
Dedicated to
Hilda Sue Bowman
my mother
…
And my “ “ “Abba YHWH” “ “
…
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Chapter 1.
The Bigger Picture
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Chapter 2.
Earth Is A Closed Ecosystem
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Chapter 3.
Resources Are Limited But Bureaucracy Is Perpetual
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Chapter 4.
Crowdfunding And Open Research
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Chapter 5.
A Battle Against Principalities
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Chapter 6.
Tomorrow Starts Today
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Chapter 7.
Extrapolation On Moore’s Law
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Chapter 8.
You Are Here
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Chapter 9.
The Necessity of Cross Referencing
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Chapter 10.
Road Map To Survival
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Chapter 11.
Integrated Parts
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Chapter 12.
Unified Survival Theory
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Chapter 13.
Requirement Of Migration
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Google search parameter for prologue:
…
space station'+'geosynchronous orbit’
:::
.
Prolog:
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The Need to Migrate
Was it about Smokey?
All Right then;
From the End > to > the beginning.
What it’s all about, it's about a footpath of stepping stones that gradually gently and easily make a traversable transit like ants walking along the same chemical trail. Except We will be walking along the same (Electromachanical Electromagnetic) galactic footpaths..
From planet to planet through our solar system;
Extending in steady progression to both the outer edge and also center of our galaxy.
I believe this text can prove this long term objective feasible.
( technologically speaking ),
within under 200 years.
…
Within the next 50 years,
establishing colonies on any livable planets and harvesting from all of them.
Within the next 20 years,
it should be us the population, the human race that takes the lead. in this expansion to outer space.
It should not be government or industry.
if it is then our opportunity as a free and pioneering species WILL most certainly be enslaved for the far foreseeable future by either corporatocracy or oppressive government..
The alternative …
What I attempt to suggest in this document will allow the human population, as a population to expand freely.
At your own will, initiative and capabilities as individuals and small groups such as vacationers in corporate business planners might see fit.
It should be Crowd funding (as crowd funding is the closest modern man can get to democracy).
Unfettered by government and Corporatocracy
…
This is your personal opportunity to put your money on your Own interest ~~ for forward momentum as a species.
Put your money on the objectives that you want to go forward.
Make physical technological progress as a species in the directions that we agree apon, collectively as a species
Casting our vote for specific results in a specific intended direction…
Through Crowdfunding via Our Collective Financial Contributions to any given project under the universe.
Technology, engineering, science, aerospace, agriculture, under c, exploration, mining, you pick it…, humanities, medicine etc.
… For the benefit of the species Humanity),
…in the direction that(YOU THINK) best serves our biosphere as a whole…
;::
“ “ “
Hey how's it going today everybody this is smokey smoke of ABQ signing on and flying over…
…
Let’s just check a few facts like the altimeter reading oxygen and a few other little tidbits to get the ball rolling…
…
All of the living organisms in our biosphere ( as well as ourselves in our own personal interests) are at a critical juncture in human understanding, in science technology, engineering, physics, materials manipulations such as metallurgy and polymers, dissemination of information and capability to digest that information that we must move out into low earth orbit.
It a necessity of our own survival as a species. If by some circumstance our biosphere can no longer sustain us (from which probabilities there are more than a few), then by necessities of survival of the species we must have first and foremost a libraries of knowledge archived in low earth orbit or perhaps Middle Earth orbit furthermore we should immediately begin on building geosynchronous low earth orbit platforms for habitation as housing as, a business, as daily activity and not as something scientifically spectacular.
We've had the technology(on Moss as a species) for years and years and decades and decades.
it's time to get out there.
To master the art , science and technology of being an interplanetary / intergalactic space fairing spspecies
NOT a terrestrial one.
~~For real talk.~~
…
I assure you, within 30 years human beings will be working and living in space. The question is?, what will the habitation conditions be…??l
What will the working conditions and environment be !!/
And Who Will Dictate Those Living Conditions !?/
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Think about it !!...
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Those are the two questions that are paramount.
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Next: As in Right Now this is the first thing we need to do.
Through crowdfunding We as a global population, should start propelling money in the directions of the technology, resources and expansion ventures that you choose to support.
And thereby begin moving technologically(and morally) in the direction we should have gone in ever since the 1970s.
Now all the cards are on the table. So seriously, everybody that reads this book, if you put $1 on it crowdfund something put $1 on it. Maybe a month or a year from now you’ll put $10 on that same crowd funding but fund it.
Because
There are almost 8 billion inhabitants (human that is) on our biosphere as I speak at the moment.
If a billion people put $10 on something that’s 10 billion dollars.
(Note: in My relations to multimedia advertising I can tell you that this is an outstanding percentile ratio of viewers to those that buy in.
But I digress again please forgive me)…
And that would build our first Self-Replicating, twin-gravity ring, inner – Inner-planatery, Space Vessel.
‘’inner-planetary, Space vessel/ habitat”.
~~ The … “Stepping Stone”
…
So go find something…
Chapter 1 the bigger picture
“ “ “
“Jake Dunagan, the director of design futures at the consulting firm Very Nice, studies the cognitive biases that make it difficult for people to plan ahead. “That’s one of the conundrums of futurist work: The future doesn’t exist,” Dunagan tells me. “It’s always a projection.” Our minds, he says, have not evolved to be very good at seeing our future as connected to our present, as we spent so much of our early existence concerned with outwitting immediate threats.”
Quote source - Can Human Mortality Really Be Hacked? By Elmo Keep Smithsonian Magazine | June 2017
“ “ “
…
Smokey here.
let’s take a minute and take a hard look at me personally.
The immediate environment we all exist in.
The objectives and pursuits we might best put our collective resources toward…
…
1 ) first thing…
The first thing that must be realized by all human beings is that this biosphere that we call Earth is a closed ecosystem.
Without extrapolating too much detail in the biology (this book is intended for general reading after all).
It is critical to understand that in a closed ecosystem there is a maximum life support for volume of living organisms within that ecosystem.
When maximum volume of total organisms within an ecosystem reaches maximum level (capacity) the vast majority of any species within that ecosystem will die off by starvation, lack of shelter, water, oxygen, and other necessities that the ecosystem can no longer provide for all organisms within the ecosystem.
It has been scientifically demonstrated that when a closed ecosystem reaches maximum population density then organisms across-the-board relying on food, water and other natural resources begin to go through a die off.
Surviving population stagnate to whatever the environment can sustain. populations can no longer grow.
…
Google search parameter for the above statement…
“ “ “
Google search parameter..
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‘Darwin’+’ “Evolution of the species” '+’pdf'
…
“ “ “
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Human beings are the only organism on this planet Earth that have the capacity to expand out from this planet to other planets.
It is essential for the survival of not only Humanity but of all the living organisms on this planet (as well as the survival of the biosphere itself), that Humanity find a way to start moving out into the solar system immediately. And not for exploration but for habitation employment and long-term living arrangements as in generations.
“ “ “
Further;
To harvest the raw resources of intergalactic space. And to construct our new intergalactic existences from those raw resources on site.
To expand out from this small little sanctuary of life we call earth. to create colonies, to export life in man-made into galactic vessels such as the “Steping Stone” centripetal gravitation into planetary space vessel…
To boldly build an electromagnetic electromechanical row of intergalactic ants that travel from here to the kuiper belt and at least 100 years step by step and from there out to the edge of the Milky Way galaxy and toward the center of it step by step in no less than 200 years.
As well as interplanetary colonization.
Colonizing other planets in Mass numbers. Throughout our own Milky Way Galaxy and also to other galaxies within a 12 light year diameter from planet Earth.
…
“ “ “
Smokey here again, there are some things I should tell you up front about this book
This book is not intended to satisfy or stroke the eagles of any particular personages or organization.
This book is intended to spell out and blunt and direct language to the general popopulation;
Our state of the arts in science technology and human capabilities.
Underwater, On land, In low earth orbit: Projecting out to the Kuiper belt And beyond…
I see you stand flabbergast, but I tell you right now as we speak humanity has the capability scientifically we have the technology we have the engineers we have the manpower the only thing we lack is…
“ “ “
(…Coordinated Unity… )
And
(…Constructive Money…)
“ “ “
…
In short I am writing this book to tell you what is really going on …
“ “ “ FOR REAL” “ “
AS OPPOSED TO SOME BIAS OPINION TO ACHIEVE MY OBJECTIVES, OR TO REDIRECT YOUR OPINIONS.
NOR IS THIS DOCUMENT INTENDED TO SELL YOU SOME BULL SHIT YOU NEITHER NEED NOR EVEN REALLY WANT, THAT WILL WASTE YOUR TIME, YOUR MONEY AND YOUR PATIENCE.
…
“ “ “
THIS DOCUMENT IS SIMPLY TO INFORM YOU. NOTHING MORE, NOTHING LESS
FROM THERE IT’S UP TO YOU AS THE PROPERLY INFORMED ADULT TO MAKE THE IMMEDIATE DEDECISION
~~AS NIKE USED TO SAY, ~~
“ JUST DO IT” )
…AND DO IT RIGHT NOW TODAY
:::
This book started out as a humble short story and has evolved into Three full books as well as the short story... It is simply too much information to try to convey about this project in this concept and strictly technical times so I hope you will enjoy the short story of “MOM.”
MOM. (SSEM) Stepping Stone Engineers Manual
This book is not intended as a scientific treatise but rather as a humbled but capable observation in cognizant awareness of the reality of our environment and our circumstances."...
Hill Bowman
#technology#physics#astronomy#books#economics#python#artificial intelligence#self-replication#robotics#macro robotics#public consumption
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Karl Marx,not a legend but a man of flesh and bone as much as me and you. The scientist of the international proletariat, the father of our never ending strugle, today we remember him in his date of birth and honour him with our actions!
The post is machine translated
Translation is at the bottom
The collective is on telegram
⚠️ XI JINPING: "RICORDIAMO IL GRANDE CARATTERE E LE AZIONI STORICHE DI KARL MARX, E RICONOSCIAMO IL SUO NOBILE SPIRITO E IL SUO BRILLANTE PENSIERO" ⚠️
🇩🇪 Il 05/05 del 1818, nasceva a Treviri, in Germania, Karl Marx ⭐️
🚩 Nel 2018, durante il 200° Anniversario della nascita di Marx, il Partito Comunista Cinese adornò la Grande Sala del Popolo di Pechino con il ritratto del Filosofo Tedesco, dove solitamente è appesa la Falce e Martello e l'Emblema della Repubblica Popolare Cinese 🚩
🇨🇳 Il Presidente Cinese rilasciò un discorso su Karl Marx di fronte ai Delegati del Congresso Nazionale del Popolo, dichiarando: «Oggi teniamo questo grande con enorme venerazione per celebrare il 200° Anniversario della nascita di Marx, per ricordare il suo grande carattere, le sue azioni storiche e riconoscere il suo Nobile Spirito e il suo Brillante Pensiero» ⭐️
💕 Con nobili ideali e senza timore per le avversità, dichiarò il Presidente Xi Jinping, «Marx si dedicò alla lotta per la liberazione dell'Umanità, scalando l'apice del Pensiero nella sua Ricerca della Verità, e combattendo incessantemente per rovesciare il vecchio mondo e stabilirne uno nuovo» ⭐️
🇨🇳 Il Presidente Cinese definì il Marxismo come «il bene spirituale più prezioso e influente» lasciato da Marx ⭐️
💬 «Come un'alba spettacolare, il Marxismo ha illuminato il percorso dell'Umanità nell'esplorazione della Legge della Storia. [...] Il Pensiero e la Teoria di Marx vanno oltre il suo tempo, e costituiscono l'Essenza dello Spirito del suo Tempo e l'Essenza dello Spirito dell'Umanità intera» ⭐️
🇨🇳 Indicando il Marxismo come una Teoria della Praxis atta a indirizzare le persone a cambiare il Mondo, il Presidente Cinese ha dichiarato che la sua diffusione a livello globale ha aumentato la Forza del Socialismo, che «Potrebbero esserci battute d'arresto nello sviluppo del Socialismo nel Mondo, ma la tendenza generale per lo sviluppo della società umana non è mai cambiata, e non cambierà mai» 🚩
🇷🇺 «Il rombo della Rivoluzione d'Ottobre ha portato il Marxismo-Leninismo in Cina», e il CPC, fin dalla sua nascita, ha «combinato i Principi Fondamentali del Marxismo con la Realtà della Rivoluzione Cinese» 🇨🇳
💬 «Abbiamo adattato il Marxismo alle Condizioni Materiali della Cina. [...] Solo applicando il Materialismo Dialettico e il Materialismo Storico possiamo analizzare e affrontare ogni questione, e assicurare la continua vitalità e innovazione del Marxismo» ⭐️
🔍 Per chi volesse approfondire:
🔺Xi Jinping: "La Repubblica Popolare Cinese è il risultato della Lotta del Popolo Cinese" - I, II, III 🇨🇳
🔺 Dialettica Economica della Cina del Compagno Cheng Enfu: I, II, III 🚩
🔺国家发改委, l'Agenzia di Pianificazione Macro-Economica della Cina: I, II 🚩
🔺La Rivoluzione d'Ottobre e il suo legame con la Nuova Cina 🇨🇳
🔺Zjuganov: "La Cina continua l'Esperienza Sovietica, ha sollevato 800 milioni di persone dalla povertà, è una Potenza Spaziale e sono i primi al Mondo da trent'anni nel ritmo di sviluppo" 🇷🇺
🌸 Iscriviti 👉 @collettivoshaoshan
⚠️ XI JINPING: "WE REMEMBER THE GREAT CHARACTER AND HISTORICAL DEEDS OF KARL MARX, AND WE RECOGNIZE HIS NOBLE SPIRIT AND BRILLIANT THINKING" ⚠️
🇩🇪 On 05/05 of 1818, Karl Marx was born in Trier, Germany ⭐️
🚩 In 2018, during the 200th Anniversary of Marx's birth, the Communist Party of China adorned the Great Hall of the People in Beijing with the portrait of the German Philosopher, where the Hammer and Sickle and the Emblem of the People's Republic of China usually hang 🚩
🇨🇳 The Chinese President gave a speech on Karl Marx in front of the National People's Congress Delegates, declaring: «Today we hold this great one with enormous reverence to celebrate the 200th Anniversary of Marx's birth, to remember his great character, his historic actions and recognize his Noble Spirit and Brilliant Thought" ⭐️
💕 With noble ideals and fearless of adversity, President Xi Jinping declared, «Marx devoted himself to the struggle for mankind's liberation, climbing the pinnacle of Thought in his Pursuit of Truth, and fighting unceasingly to overthrow the old world and establish a new one» ⭐️
🇨🇳 The Chinese President defined Marxism as "the most precious and influential spiritual asset" left by Marx ⭐️
💬 "Like a spectacular sunrise, Marxism illuminated the path of Humanity in exploring the Law of History. [...] Marx's Thought and Theory go beyond his time, and constitute the Essence of the Spirit of his Time and the Essence of the Spirit of all Humanity »⭐️
🇨🇳 Indicating Marxism as a Theory of Praxis capable of directing people to change the World, the Chinese President declared that its global diffusion has increased the Strength of Socialism, that «There may be setbacks in the development of Socialism in the World, but the general trend for the development of human society has never changed, and will never change" 🚩
🇷🇺 «The roar of the October Revolution brought Marxism-Leninism to China», and the CPC, since its inception, has «combined the Fundamental Principles of Marxism with the Reality of the Chinese Revolution» 🇨🇳
💬 «We have adapted Marxism to the Material Conditions of China. [...] Only by applying Dialectical Materialism and Historical Materialism can we analyze and address every issue, and ensure the continued vitality and innovation of Marxism» ⭐️
🔍 For those who want to learn more:
🔺Xi Jinping: "The People's Republic of China is the result of the Chinese People's Struggle" - I, II, III 🇨🇳
🔺 Comrade Cheng Enfu's Economic Dialectic of China: I, II, III 🚩
🔺国家发改委, the Macro-Economic Planning Agency of China: I, II 🚩
🔺The October Revolution and its link with New China 🇨🇳
🔺Zjuganov: "China is continuing the Soviet experience, it has lifted 800 million people out of poverty, it is a Space Power and they are the first in the world for thirty years in the pace of development" 🇷🇺
🌸 Subscribe 👉 @collettivoshaoshan
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i signed up for my senior year ap courses today… god i hope i made the right decisions
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on a different note, i think every idiot needs to know some basic economic theory. the line going up and down does not mean what u think it means
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// I do not understand cranks who want you to buy gold.
people do realize that if society collapsed, gold is worthless, yes? it's just a shiny rock. It has no intrinsic value without the ability to confer status. In order for something like gold to have value as wealth, people need some form of currency to buy it, assuming it's not itself the currency. which, being so scarce, it can't be.
the reason is that in order for it to be a currency, it needs to be spread out enough to be used as such. It's not.
So if society collapsed tomorrow, no one would take gold as currency because no one else is doing so, meaning you buying gold is worthless.
it baffles me that the people who believe they are the smartest have done less thought about what they're buying than the people who made the fallout universe. the reason they adopted bottlecaps as currency, as stupid as that is long term, is that it was something everywhere that they could assign value to.
(you could not actually use such a thing in reality as the inability to tax or regulate how much of something is in circulation only leads either to hyper inflation or hyper deflation and thus makes it worthless as currency)
Anyway.
Gold has some value, because people want it. It would have no value in the event of a nuclear apocalypse. Lacking a central currency, we would have to return to barter, and as you can imagine, barter is not something that immediately turns to shiny rocks. It turns to things like food and water.
This is what bugs me most about the 'economy is doomed, money is worthless, but somehow gold wouldn't be' crowd. They don't understand how economics works. Because we've seen economic collapse in places like Africa and South America, many of whom simply turn to using American dollars because American dollars have value where their currency does not, and surprise, these places did not immediately turn to gold because that is not something that would be useful.
#ooc#macro economic theory is not hard to understand#you simply need to be able to understand cause and effect
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rainy days spent thinking about markets. my teacher is horrible but i am too built different for it to matter.
🔈california uber alles, dead kennedys
#studyblr#studying#aesthetic#studyspo#productivity#supply and demand#economics#ap macro#dark academia#reading#study#music#100 days of productivity#mathblr#notes#books#100 days of productivity challenge#photography
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Nothing beats having to submit your assignment (report and video presentation) in 2 days because your lecturer decided to only explain how to do it today
#university#uni life#hi.rambles#my macro assignment is wild#but at least i understand what im doing with it#unlike my financial economics assignment that need to be submited in 3 days#and which i understand not a single word#english has never feel so foreign for me before
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