Submitted by Charles Hugh-Smith of OfTwoMinds blog,
“When boiled down to real world conditions, for a society and economy to operate sustainably and successfully, people have to do things for and with each other, and BE SEEN to be doing it.
From an evolutionary perspective a community would form the basis of the economy in which individuals lived their lives. Each participant would have known, in social terms, every other participant to some degree.
In such a ‘traditional’ system, individual participants were heavily incentivised to be valued by others. Being valued for your good works and deeds increased your chances of having other individuals help you out when you were individually unable to support yourself for some reason (sickness, old age, personal disaster).
In economies of small and local scale you really strived to have others feel they owed you something based purely on their sense of fairness and conscience, because people interacted economically and socially with the same people. This creates a pool of good will that functions as ‘social security’ (This has since been transmuted into the Frankenstein of ‘debt’ and ‘taxes’ both of which are grudging rather than volunteered.)
That type of interaction has been and is continuing to be eroded away in the modern economic system that seeks desperately to separate social relationships from economic relationships.
Thus we have the disconnect between small business taxpayers and welfare recipients that sets up the perfect conditions for corporatocracy and the bizarre ever-expanding debt economic models of the west.
What the architects of these current systems have lost sight of is that the illusion they created by pumping free credit into the system only works on some parts of the economic system and at the cost of GREATLY undermining the social component of the system.”
Richard Dawkins makes much the same point in this interview published in The New Republic:
“Now, there is another kind of altruism that seems to go beyond that, a kind of super-altruism, which humans appear to have. And I think that does need a Darwinian explanation. I would offer something like this: We, in our ancestral past, lived in small bands or clans, which fostered kin altruism and reciprocal altruism, because in these small bands, each individual was most likely to be surrounded by relatives and individuals who he was going to meet again and again in his life. And so the rule of thumb based into the brain by natural selection would not have been, Be nice to your kin and be nice to potential reciprocators. It would have been, Be nice to everybody, because everybody would have been included.”
This is not to suggest there isn’t a role for the state and profit-seeking organizations in society or the economy; it is simply to state the obvious that the wholesale replacement of community by the state has eroded an essential of human life that cannot be filled by impersonal states and corporations. States and corporations cannot “fix” what’s broken with the model of state-cartel capitalism/socialism because the model itself is the problem.