A description of the evolutionary steps during the transition from savagery to civilization by SovereignJim
(libertarian)
Tuesday, August 31, 2010
Origin and Fundamentals of Capitalism
Human work is created by the human body expending muscle and brain energy over time, much like work in physics. This has been the case since the beginning of human life. Thus the first existence of the economic thing we call capital was the human body.
Each person was a member of a small group of humans, usually called a "hunter gathering band". The work effort created by basic human capital sustained the lives of the group. Such a group, twenty to forty individuals, was the unit of survival up to the start of civilization. The group caused the genes of our DNA to pass from parents to children. Surviving meant that each generation of the group produced children and nurtured them to an adulthood of work production where the new adults repeated the process. Birthing and raising children was essential work. Other essential work was producing food by hunting for animals and gathering edible plants.
The work product of each group member was the property of the group. Socialism of "from each according to ability to each according to need" was the economic system of all pre civilization groups. There was no economic thing or work effort that was private property. Tools such as axes, bows and arrows where created by group members and were also capital belonging to the group. Socialism worked during our 99% existence as savages because it fostered group cohesion and because no one is able to escape doing his share of the needed work unobserved in a small isolated group. This era of human existence also developed the instinct of economic envy to support group cohesion.
The beginning of civilization came when groups developed ways to expand the bounty of nature. Placing seeds in the ground to grow an assured supply of edible plants was one development. Developing the plow created a new capital tool. Domesticating animals for an assured supply of meat, milk and skin by feeding and herding them was another new development helping civilization to start and grow. These creations of capital from ideas allowed groups to stay in an area they came to call their own. This fixing of living place created the concept of land property and home as capital. This new capital, needed for shelter and food production, also became property of the group. Extra supply of plant and animal products led to trading between now, more peaceful local groups. It is self evident that trading is a good for productive groups.
The next development of civilization was the creation of a small collection of homes for the purpose of being a trading village. The existence of a trading center, usually near a good supply of water, made it possible for groups, a far distance from each other, to engage in trade. With the trading village came a monumental advance for civilization. That advance was the substitution of the family in place of the group as the major unit of human survival. Each family occupied one home in the village. The family is a smaller group of father, mother, children and grandchildren. The existence of this new smaller group led to the new concept of private property. The home in the trading village and the inventory of tradable goods kept by a trader became the private property of the family. The capital of the bodies of a family also became the private property of the family. Families also created farms near trading villages where the family farm and its products became private property.
Law and law enforcement where the next development, needed for a survivable collection of families and groups. Law and law enforcement where required to replace the protection from violence and theft previously provided by the group. The protection from violence was protection of the capital of the human body. The protection from fraud was for the new capitalistic function of trading. The theft protection was for the private property of the family. What provided the motivation for this evolution from group to family orientation?
The strongest of all human instincts provided the motivation for this fundamental change. That instinct was the instinct to control. Having control, as opposed to not having control, is obviously massively important for survival. Freedom and liberty are internal bell ringing words because both concepts implied by those words imply that you have control when being free and at liberty. Being in control of the benefits from your own work effort provides extra motivation to produce more. This expanded product also benefits your trading partners.
With the new concepts of; private property, trading, protection of law and the family group as primary, we have the foundation for civilization's promotion of a better life for all.
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