Origin

The labor theory  of value ( LTV) originally  perposed by Adam Smith a  classical economics. The  theory is outlined as a  value  assessment  of labor as a commodity like  goods. Deemed  socially necessary labor the services in question are a prerequisite for a functioning economy and society. Though this is central to Marxist theories of economics this concept predates Marxism by 100s of years.  Clarifying because people tend to have a negative view of  Marxism  and socialism. On my previous posts I mentioned that I am in construction. I think I have a certain perspective on this type of economics. The the economic system of the U.S is not based on  (LTV) it's a monetary system known as the  gold standard. This isn't functional and it's a lie as well spoiler alert but the u.s doesn't poses enough gold to back its monetary system it uses.

backstory

         Adam Smith was known as  ''The Father of Economics'' born in the early 1700s he's famous for two books An Inquiry into the Nature and Causes of the Wealth of Nations and The Theory of Moral Sentiments.  This probably sounds familiar to you because it is a commonly coverd in economics courses. Introduced in his magnum opus the wealth of nations absolute advantage defined as a simple comparison of labor productiveness. Though it is not obvious a nation's  (GDP) gross domestic product is based on absolute advantage principle. Economic structures utilize several aspects of his work and are realistically dependend on their guidelines.  If you're nickname is the father of economics your someone who deserves attention.

Modern applications

       In the  cryptocurrency system  we utilize a system of proof of work that requiring some work from the service requester,  usually means  computer processing requisite. In simplest terms the gas fee for transfer of cryptocurrency on the block chain ledger.  This is pretty similar to (LTV) in principle and definition.

         Labor theory of value is something that can be applied to any economy that ever existed. Unfortunately most people likely have never heard of it before.  When you understand that it simply determines the wealth of an individual or group based on the most common types required goods like food of water. In layman's terms the cost of the good is determined by how much labor is needed to purchase or trade said good. I don't have all the answers im only human however those in power don't have them either despite their claims.

history repeats itself

       Functionally an economic system that doesn't recognize the value of requisite functions will collapse that is an inevitability. Understanding why an economy is going to fail and prevention of such a failure can happen but it doesn't seem likely.

       Society is currently tearing it self apart due to the regionalism mentality that had been a foundation of all countries.  This isn't functional in the modern world regional economic systems deter a global economic structure. We have reached a level of technological progress that can effectively provide a global economy. Cryptocurrency is a rudimentary version of a global economic system and it's a much more stable economic system. Cryptocurrency has taken power from institutions that don't deserve it and given the power to the population as a whole. Providing a opportunity that history has never seen before typically after a certain point economy's and Kingdoms collapse. Cryptocurrency and it's decentralization has a potential to possibly save the populus that typically would suffer or parish when this happens. 

Modern perspective

        Most people who are on read.cash probably have no reason to regard bitcoin cash as anything other than currency. This sentiment can be applied to most cryptocurrency. Since an economy is not something we can consider an omnipotent entity. Truly the power is our own it's our faith that gives an economy power. Without faith it's nothing more than data, plastic cards, and paper money.

Approaching it without this mindset is how we got here nearly ending the world in the process. Clearly we have no choice other than reform our perception and mindset trusting that our leaders can help or even understand how to help is dangerous. We all must make changes to our established norm because of the harm it has caused. I don't want us to be what destroyed the planet with our ignorance and we can make changes. Difficult as it my be there is no possibility of our current system to make the changes needed. We must change things ourselves on a  personal level and eventually a public one.

inspired by

         I'm writing this simply because I like many others have concerns regarding the future. Clearly the current way of thinking is not working due to a inherent lack of understanding of economics and the warning signs aren't subtle. If we continue with this trajectory we will cause an apocalypse of our own making. We are currently experiencing a mass extinction that we caused. Clearly humanity and it's current social practices are a k class end of the world scenario. More than likely we have passed the point of no return. I don't have many people who actually read my posts. Im eternally thankful to read.cash  for giving me a platform to share my views. I don't expect to have any impact on anyone by writing this. However I feel that we must study the past in-order to effectively understand what the ramifications of  and potential answers to global issues.


      This post isn't typically what my writing focuses on i prefer to be impartial mostly overview of services. Nothing that I have covered here was intended as an insult and I apologize if you're offended.  I'm just trying to bring attention to real hard truths.

         If you're interested in supporting this content please like share and subscribe and thanks for your time.