Axiologie: An Economy 2.0 Understanding of Valorization

Axiology is a third major branch of philosophy dealing with the study of the nature, types, and criteria of values and of value judgments. Axiology includes valorization, the according of value (or lack of value) to things, and aesthetics, relating to the beauty or pleasing appearance of things. Axiology is often overlooked in favor of its higher-profile philosophical cousins metaphysics, dealing with the nature of existence, and ethics in the 1.0 sense, dealing with rules of behavior based on ideas about what is morally good and bad.

Axiologie (e.g.; Axiology 2.0)
Axiology 1.0 needs to be extended to Axiology 2.0 or Axiologie in a technology philosophy sense to denote the new kinds of valorization that are present in the shift to Economy 2.0. Economy 2.0 is a world where economic transactions are highly-automated, affinity-based, multi-currency, unobtrusive, and on the way to post-scarcity for material goods.

One of the most visible aspects of the transition to Economy 2.0 is the multi-currency dimension - individuals are increasingly accumulating value in alternative non-monetary currencies such as reputation, authority, attention, intention, time, ideas, creativity, and health.

The multi-currency Economy 2.0 is also called the gift economy, the reputation economy, the attention economy, and the intention economy.

Science fiction has already envisioned future economic worlds where reputation points are the only currency and vary dramatically up and down like video-game points, typically viewable in virtual reality goggle Heads-up-Displays like Cory Doctorow’s whuffie-driven economy in ‘Down and Out in the Magic Kingdom.’ Technology philosophy’s Axiologie deals with the acknowledgement, valorization, visibility, invisibility, modes of understanding, transferability, storage, investment, and use of alternative currencies.

Part of an ongoing series of Technology Philosophy Conceptology

Future of taxes

The advent of a post-scarcity material goods economy could revolutionize more than just material goods.

Taxes based on income, consumption (sales tax) and property would make little sense in a world where people have a minimal need to work and can build and recycle buildings and objects at will, perhaps including land.

Need for taxes does not evaporate
An alternative means of taxation would need to be established. The amount and type of public services demanded would be shifting too in this future environment, but it is likely that some degree of public services would be needed at least in the short term which would require tax revenues.

Basis for taxation is a fairly easily resolved problem, at least in terms of methodology although perhaps not implementation. The easiest tax solution would be to return to the poll tax, a fixed fee for each adult. Of course this might only be a stopgap measure until any possibility of multiple electronic copies and physical embodiments of people/intelligences became real.

World financial system
A big portion of the world financial system is also collateral-based. There are $14.0 trillion in outstanding mortgages in the U.S. (Sep 2007) perhaps lower by a half trillion per the subprime crisis, about the same as the annual $13.9 trillion GDP (2007), but less than the $25 trillion NYSE market capitalization (2006).

The market capitalization of listed companies is based on perceptions of their future prospects. Companies will have been in on the shift and indeed creating the shift to a post-scarcity material goods economy and are likely to have been adjusting along the way. The mortgage industry, 80% of whose value depends on houses and buildings as collateral (20% on land values) would have to change quite a bit.

Future strategies for the mortgage industry
Once the mortgage industry even starts to suspect a possible endgame of real estate structures being worthless since they can be generated at will, it should start bringing loan terms way in, no more long-dated 30 year mortgages but much shorter periods of 5 or 10 years with periodic re-evaluations and other reset stipulations.

The visionaries will short or get out of the mortgage business and mortgage stocks and bonds, but there does not seem to be a way out of 80-100% unrecoverable value slippage. During the period of anticipating the post-scarcity material goods economy, the value of houses and existing mortgages could decrease, requiring revaluations by mortgage companies and realistically some sort of government assistance or bailout. It would not make sense to hold borrowers nationwide responsible for loans whose values have dramatically declined. The housing futures market would grow in use as a tool for all parties, homeowners, borrowers, lenders and speculators, to manage their exposure.

Post-scarcity economy

The long-term future economy is a post-scarcity economy (PSE), where substantially all human material needs are easily met at low cost or for free. The term post-scarcity economy is a bit of a misnomer since only the scarcity of material goods is likely to recede. The economy itself and scarcity as an economic dynamic will probably persist, for example, scarcity of time, energy, processing power and creative ideas.

The future economy will likely be realized in phases. Some material goods would be replaced or provided at near-zero cost at the outset, perhaps certain classes of items or goods like fuel, then more items such as food, then substantially all material goods. Fancier items like high-end designed objects and medical treatments would probably not be available in the earlier phases.

What will happen to services as material goods are increasingly provided at minimal cost? Initially services would be unchanged, but over time, nearly all current services could be replaced by technology-advanced near-zero cost alternatives. As Josh Hall suggests in Nanofuture, nanobots could provide daily hair-trimming and nano-foglets could create new hairstyles on demand. Robots are already available for lawn-mowing upkeep (Robomow). Telemedicine could be used for medical diagnostics and treatments. Artificial Intelligences (AIs) may be consulted for tax and stock advice.

Over time, public services such as police and fire protection could be provided by trusted AI networks and other mechanisms. Wireless sensor networks and cams may shift the nature of crime and policing activity. Future building materials may be impervious to fire and possibly self-reconstruct following earthquakes or other damage.

New virtual and other non-traditional services requiring intelligent attention from AIs or human minds, particularly in providing entertainment, learning and means of interesting and productive engagement, will probably be a growth area. The future economy will likely be transacted with multiple currencies, a variety of monetary currencies and additional supplementary currencies such as time, attention, intention, reputation and ideas.

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Humanity transcends material wealth

Another chapter in the broad theme of "an idea whose time has come" is the interesting element of social coercion in behavior influencing. It is now not politically correct or even socially acceptable to smoke, drink heavily, eat fatty foods or to have poor posture in most professional and social settings. It is becoming less acceptable to just have a job and hobbies, rather than a direction and mission.

There is of course, regional seepage to this cultural phenomenon; the ideas generally begin, intentionally or not, in California and other clean living, high actualization environments and pervade other urban areas and even extend slow fingers out from cities. Witness anti-tobacco lawsuits superseded by anti-fast food and anti-trans fat lawsuits. The interesting aspect is that behaviors we have known for years to be unhealthy sat untransformed until the eye of social disapproval turned to them. While social disapproval can be seen as an invitation for anti-conformist counterbalance when it pertains to ideas, maybe it is all right when it pertains to statistically supported facts that enhance human life, especially those that hit low on the Maslow hierarchy.

It is increasingly unacceptable to show material trappings or any other sign of success. Indeed, pecuniary interests matter less and less, both directly and as a proxy for success. The brain - ideas, creativity, innovation and skill flexibility and acquisition - is the new currency of success, and it is measured intangibly. The impact is an increasingly interconnected actualizing civilization cleanly focused on true progress, ensconced in the true freedom of ideas.