Why are living standards in the western world still far ahead of emerging countries?

Discussion in 'Economics' started by Debaser82, Oct 17, 2009.

  1. maxpi

    maxpi

    I'd speculate that the people that have been in the lead for centuries will continue to be in the lead.

    Cultures always gain by cross pollenization of ideas. The internet is good for that, ideas spread very fast in a monkey see monkey do world. People have always been quick to glom on to a better way of doing almost anything, once they see it. So probably the world will flatten out a good bit with regard to the differences between the lowest economic conditions and the highest...

    Mechanization and commercialization has caused the US food supply to become largely devoid of nutrients. We have way overshot the mark in that area, we could learn from most other cultures how to grow nutritious food and be a lot better off. They are learning from us that they can have medical care and technology...
     
    #41     Oct 18, 2009
  2. The way to answer this question is the way to approach any question - look at as much evidence across as much history and geography as possible, then look for patterns, then try to test them first on a backward-looking and ultimately on a forward-looking basis. If it's confirmed by past and future results, you might be onto something.

    One example of this approach and the conclusions derived:

    http://www.policynetwork.net/main/content.php?content_id=55

    Probably not the whole truth, but far closer than explanations driven by opinions, prejudices, cultural bias and political ideology.
     
    #42     Oct 20, 2009
  3. Good luck with that in Kreuzberg or Neu Koeln.
     
    #43     Oct 20, 2009
  4. achilles28

    achilles28

    That's amazing.
     
    #44     Oct 20, 2009
  5. achilles28

    achilles28

    Historically, a surge in living standards was associated with free enterprise, the right to private property and the rule of law.

    Even going back to the Roman, Babylonian and Greek empires, they all had it.

    Capitalism (or free enterprise) doesn't work without laws (morality). The basis of that, is religion and cohesive Government to enforce laws (fear of God(s) and a big stick).

    Recently, Africa, large parts of the Middle East and China were tribal (relatively lawless). Western Europe and North America, were not.

    Society is synergy. Cooperation between humans creates more wealth/technology/products than any one person can, acting alone.

    Take a look around. A skyscraper. A highway. An automobile. A jet plane. Could any of those items be created from the sole efforts of one person? Or a handful of people?

    No way. It takes generations of scientists, inventors, designers and investors - all working under the same cultural umbrella - to build and lay the groundwork of knowledge before such an endeavor can even be fathomed.

    Highly fractured societies that make war-mongering their chief past-time, don't perform meaningful research, develop or trade technology. Private property doesn't exist so there's no incentive to create or invest in something that will be stolen or destroyed. Likewise, peoples inhabiting resource-deprived areas (middle east, deserts, tundra), devote their entire lives to hunting food. No specialization of labor there.

    The development of the Monarchy, nationalism (anti-thesis of tribalism), and some form of free(r) enterprise - even serfdom - brought Europe out of crushing poverty and towards progress. I think.
     
    #45     Oct 20, 2009
  6. achilles28

    achilles28

    Even the UN predicts global population will top out at 8 Billion.

    Globalization and China's one-child policy, will see to it.

    The earth is a VAST place. Humans just inhabit the skin on the apple. Then, to the stars.
     
    #46     Oct 20, 2009
  7. achilles28

    achilles28

    Good example.
     
    #47     Oct 20, 2009
  8. achilles28

    achilles28

    The short answer is technology.

    Technology is productivity.

    1 US hour worked could equate to 30 or 40 hours worked, per Chinese or Indian.

    A highly educated workforce and mechanization are responsible for that.

    Imagine the Telephone. Invented by one smart dude. Does the work of 1,000 Chinese couriers.
    :p
     
    #48     Oct 20, 2009
  9. zdreg

    zdreg

    if system does not rid itself of excesses it eventually collapses completely or stagnates for very long periods.
    the US would have been much better off to let the banks collapse by breaking them up into parts and selling them off.


    what is better a short sharp pain or a long lingering pain?
     
    #49     Oct 20, 2009
  10. I think the number one factor is private ownership of land and buildings, and the ability to sell and buy them. You guys don't know how important that was to the creation of wealth

    :cool:
     
    #50     Oct 20, 2009