Market Tools B(x1, x2, x3, x4, x5, x6, x7, x8, xn)|P (1→n) Boosting Market Development While Keeping Inflation / Deflation in Limits ΙΔ|P(-05⇔0.5)


ε,ε1xε,ε1p = Θ x [ζ – (ζ x ΙΔ)]1 

The Market Tools B(x1, x2, x3, x4, x5, x6, x7, x8, xn) as parameters setup by flexible usage through Market Leaps, Targeted Projects, Carry on Market Policies uses Environmentally friendly technologies, techniques in farming, manufacturing, energies, heating and coolinggarbage disposal, services, transportation to boost Market Development: business and employment, infrastructure and acceptable living standards I.e. alleviation of poverty, elimination of any Earth pollution under sustained Inflation / Deflation ΙΔ|P(-050.5)

Market Development

1 μ1 = [μ + (ε,ε1x→ε,ε1p)] = Θ x ∑[ℑζ[A(y1→y7 ) |P(1) +B(x1 , x2, x3, x4, x5, x6, x7, x8, xn ) |P (1→n) x ΙΔ |P (- 05⇔0.5)] _____________________________________________________________________________

(μ1) – it is seasoned Market Development after the gained Entropy, Equity; ε,ε1– Equity, Entropy (x → p) added by the Θ amount invested through – Market Leap, Targeted Project, Carry-on Capital Infusion) multiplied by the ℑζ – J Constant then subtracted by the multiplied ΙΔ – Inflation or Deflation. (see: Example) ℑζ – J Constant is the sum of 2 probabilities; the Market Agents and the Market Tools. A Market Agents implementation A(y1→y7 ) considered probability to 1 B Market Tools probability p(1→n] utilize the B (x1 , x2, x3, x4, x5, x6, x7, x8, xn ) – Market Tools’ probability effect on the Real Market that is most complicated probability that needs Quantum Approach possible by using Quantum Computers – Market Tools are used as probabilities in conditions of implemented Market Agents meaning in high Market Security business environment that allows lower interest lending and high transmissionability of the invested capital. ΙΔ – Inflation or Deflation – acceptable variance p(-05⇔0.5)

B(x1, x2, x3, x4, x5, x6, x7, x8, xn) – Market Tools to accelerated Entropy/Equity

  1. Quantitative Easing, SDRs; 
  2. Subsidies; 
  3. Low Rate Lending; 
  4. Social Expenses (incl Educational, Pensions, Medicare, Social Security, Unemployment Benefits, etc.); 
  5. Infrastructural Expenses; 
  6. Markets, Regions Parts Equilibrium Monetary Policies; 
  7. Fiscal Policies; 
  8. Sectoral Regulatory interference by Central Banks, International Finance Institutions.

      n. Others 

The general unpredictability / uncertainty of very complex market forces aggravated by the globalization, rising productivity, improving technologies, transnational corporations global expansion in farming, manufacturing, retail, wholesale, technologies, financing, the Chinese industrialization, and the Internet have brought exogenous for most market forces to improbable complexity that could not be offset by the status quo ideological economics of the Capitalism nor by the Game Theories, nor by the governments taking bigger role in the such orthodox economics’ practices. The self adjusting Economics cannot prevent crushing recessions like the 2007-9 one, nor accelerate the post recession rebuilding; under the heavy pressure of possible economic collapse the central banks and governments in the most developed economies have taken highly revolutionary policies such as Quantitative Easing, Subsidies, Bailouts of BanksExpanding Foreclosures and Unemployment Benefits periods that supposedly would have brought Inflation but instead imploded stagnation; the even chaotic such actions helped the economies to regain some vitality, growth. However, the ideological economics that brought the 2007-9 Recession on the first place regain their ideological grip not being able even to explain what really had happened. The only marketplace that somehow and to a certain extend continued its growth was China that used the tools of economics very flexibly on an ‘as it comes; as it goes’ policies principles. The Market Economics go beyond such economic policies into creating a system where the Market Tools are used as Parameters to prompt from one side continuous Market Development of alleviation of Poverty through Environmentally friendly methods, and by having market forces on Micro-market level self adjusting through market competition, and from another whereas on Macro-market level artificially using Market Tools to keep very low Inflation / Deflation.

The improperly setup flexible usage of Market Tools might have different effect  on individual markets: 

  • If exaggerated I.e. incompetable amount of money is invested in a market such can bring high inflation and may even crush itor 
  • Inot enough of capital is invested in a market than such may bring huge deflation and impoverish even higher percentage of its population 

Thus bringing further Earth pollution, with high unemployment, a not properly functioning market. 

In this research is strictly stated that individual markets have their specifics therefore any intervention: Market Leap, Targeted Project, or Carry on Investment must be done in apprehension of such differences; however, with the required implementation of the Market Agents as stated by previous working papers of these research a existent minimum of a high security market environment would be in place. Despide of such existent minimum the differences, specifications must be taken in consideration in any artificial move on any market. Thus to relativity between individual Market Tools to Inflation / Deflation, and to full Employment, Business activity, Infrastructure (Equity) building is a highly improbable to be achieved by the probabilities possible by the existing technologies but through Quantum Computing allowing unreachable in the past compatibility and variations. Thus this Market Economics was called Quantum too, because of its very high uncertainty and demanding complex relativity between number of factors, possibilities.

The majority of Market Tools could be applied, enforced more to either supply or the demand sides of the occasion – thus to seek balance, first such must be seeked on parts, sectoral market basis equilibrium instead of general such as some sectors overheat needing tightening up while others are in the opposite side of the occasion either needing additional boost or at least still in their ways up; second, the one way approach let say the demand side only can prompt quick inflation – instead careful configuration a particular market specifics is needed: let say a market is socialized like the Norwegian one than the pro private business policies are to balance the market imbalance of an one way development, the opposite distinctions require the other way around thus too rigid privatization while the demand is relatively weak and stagnation sweeps through the Social expenses must be used to offset such extreme situation. It is all about balances under very low Inflation /Deflation – the second particularly distinguishing such economics from the Capitalistic one and the probabilities of high market security market development allow such difference to be possible where the lending rates to small businesses and investors could be very low without compromising with the risk factor requirements. The Market Tools also  will have multidimensional effect being invoked by the need for Earth preservation that is not purely market factors but a dominant such that requires actions not necessary in synchron with the debt controlled current budgetary economics, and therefore, as such artificial factor modulate the global marketplace the Market Tools must be used artificially on Macro-market Level to accelerate, promote, carry-on high business activities, full employment, market balance; thus the quantum uncertainty and multidimentuallity can provide such balances and allow the markets to develop without prompting harmful recessions. The relativity that accumulate by the Market Tools and affects the real economy has been well researched by the current economics though in combinations of multiplicity and intermarkets (globally) such could not be done first, because the mathematical approaches are limited in such uncertainty and second, because the further developed game theories could not accept multiple factors either even though the Nash Equilibrium and other probability theories were in use. The Quantum Economics i.e. Market Economics goes far beyond single or couple probabilities into ‘n+’ probabilities and the effects on multiple factors on global marketplace.  

_________________________________________________________________

Example 1: you have 10b QE subsidized into public transportation, infrastructure, Social Expenses, Fiscal Breaks, prevailing wages, residence requirements, limited lending to small businesses up to middle size – however the equipment, materials, energy is produced by large transnational corporations that make it global. 

The Market Agents are implemented in the Market!

If for the local market 10b is 10% of the market – the demand side are salaries, business income, social expenses, fiscal breaks, etc – the supply side are the purchases, small business production, services, etc; however, the effect from global exchange of manufactured equipment, materials, goods, is to retain low Inflation. Thus open market exposure to the globalized marketplace is paramount.

The Market Development is 1. Entropy – Sales, expenses, business activity, employment and 2. Equity – infrastructure, market competition, poverty alleviation, clean environment;

To accelerate Entropy / Equity build up the higher Market Security with the implementation of the Market Agents will be established, however, the flexible ‘as it comes; as it goes’ usage of Market Tools under very low inflation even Deflation will be achieved only by appropriately weighing on the different Market Tools in accordance with the specifics of an individual market.  

In this example the Investment is to change the old vehicles, improve public transportation, provide the needed employment by steering the needed business but also by apprenticeships and expanded public education. The funds are to be disposed by the commercial banks on setup matrix. To alleviate poverty also the social expenses are lifted targeting food, heating, transportation, job opportunities through prevailing wages and residency requirements. The Fiscal Breaks on taxation are to have the capital circulate in the Market. In case it is a Targeted Project in a process. There are three requirements for the implementation: 1. Proper preparation 2. Fast execution 3. Not allowing any corrupt or disruption practices. 

What complicate this Targeted Project is the necessity for multiple such Projects that must be executed simultaneously on the markets in proximity for 1. To sustain huge movement of people toward Targeted Project 2. To settle employment spread to all areas, 3. To avoid pollution coming with a concentration of people in less developed as infrastructure markets. The Market Economics does not prompt urbanization, industrialization, concentration of people but alleviation of poverty by using environmentally friendly methods in place: meaning in some market it could mean manufacturing and services in another farming and services, in third tourism and services to dominate a market industries. 

Again, all Market Leaps or Targeted Projects are tagged to Inflation / Deflation and therefore to the maximum a Demand-to-Supply internally must be paramount even though the globalized marketplace could sustain serious inflationary pressures by themselves. 

The complexity of multiple projects, invested capital, other market tools and the requirement to sustain low –0.5 to 0.5 Inflation / Deflation must be overcome by taking in consideration the pro-supply projected business, the existing supply local and global capabilities, the rise of demand under these projects that in a pot must avoid ‘big waves’ that can crash the market. 

While, in practice, China is using very similar project approach but on a smaller scale and therefore the results succeeded even impressive compared to the rest of the developed world are very limited in comparison to the probable Market Development under a very aggressive and widespread Market Economics: and what really presses the need for such is the necessities for poverty alleviation to Earth preservation not providing long term allowance. The Chinese experience even extremely valuable in practice, and serving as example does not provide the needed on the large scale functionality. 

In the Example 1: If 10% or 10b USD is invested through Market Tools to steer enough business activities, employment, consumption, building of equity just the implementation of the Market Agents (A) should provide Probability (1) effect on the invested capital so no losses are projected but the Inflation’s deduction therefore the Inflation / Deflation should be kept close to (0); the Market Tools effect should add additional acceleration, transmission-ability to the Investment thus adding to ROI, Entropy, Equity in which continuous after the operation business activity, employment, consumption must be achieved; thus, it isn’t about quick in-and-out profit driven operations but a long term Market Development where Equity / Entropy are seasoned: the Detroit’s effect where capital goes through brings profit and when the industrial production technically moved out or was robotized a devastated marketplace was left over; such, effect cannot be environmentally accepted – therefore, it is the service sector along with small business and investors, and the Social and Infrastructural Expenses that are suppose to keep the Market Development running on, the market competition, employment, consumption in check., and the Earth environment clean. 

To use environmentally friendly technologies in transportation a very inexpensive public transportation, electric and hydro vehicles, and railroad, water channelsairfreight system must offset pollution; to use such in energy generation – the green energies must become the only source, same with farming, manufacturing, tourism, etc; to offset deforestation the heating and cooling must become elsewhere driven by green energies. The biggest difference between this new Market Economics and the Capitalism is the involvement of the developed economies to swiftly export Market Development all over the global marketplace, to extinguish any pollution, to establish stability by having people engaged in productive activities, having access to jobs and opportunities. Someone will call this research utopian, but actually it is the only possible way to avoid Earth destruction by using peaceful means, and by saving personal liberties, freedoms and by not letting the government to take over business, life, personal freedom. 

The implementation of the Market Agents expands personal management liability, strict environmental protection, consumer and labor such that must stop large transnationals, all businesses from hurting the environment or inflicting human rights violations. But all of this is possible with the expansion of possibilities for productive business activities, market development, prosperity on a global scale. 

Joshua Ioji Konov 2017
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Uncertainty, Probability, Parameters, Market Economics Using Quantum Approaches


The complexity of modern day economics invokes the uncertainty principle because it becomes profoundly clear that using mathematics or the game theory may hardly take in consideration multiple variances, changing data, probabilities. The probabilities of multiple ever changing economic realities could be only adjusted by using parameters, as it is done in quantum mechanics, to adjust or at least prevent extreme variances by applying pressures on certain relevant points.

Until to date the tight budgetary leach has been used to prevent from excesses, redundancies or at least such approach was suppose to work. In the pro supply economy if the tight leach budgetary releases certain expansion to prevent inflation it might be considered the only comprehensive way possible for its time. Then with the new global economy complexities arriving with the development of high technologies, productivity, globalization the game theories have flourished becoming relevant in such progressively perplexing realities. In Market Economics such perplexity goes beyond the possibility for even game theories to apprehend thus changing realities, possibilities, pressures. In practice the aggregating inequality, personal and national debt, declining middle class, and with the exception of China: expanding poverty, insecurity – pressures of exogenous forces of super productivity achieved by the Transnational Corporations in farming, manufacturing, banking, services through better management, technologies, moving, outsourcing the China’s Industrialization, the Internet that have tipped off the ‘old’ supply driven economies into demand, balance driven such. The 2007-9 Recession put the final nail in the coffin of the supply economics by accelerating the processes globally toward recalibration of assets, redundancies, the inadequate consumption, demand in a highly vigorous supply possibilities marketplace.

21st Centuryinability of the orthodox economics to apprehend the globalized, high productivity possibilities could be put in the following grading from China that uses a best ‘as it comes; as it goes’ economics showing best results running for the last 2017 quarter 6.9 GDP growth down to the European Union’s under 1.5%. However, the results elsewhere are limited by the budgetary/debt driven orthodox supply driven economics that limits economic possibilities for vivid development. The low security of the trickle-down Capitalism, Socio Capitalism used at the moment comes from the main targets of easing business by overwriting labor, consumer, social protections to provide tempting for the investors, companies conditions to invest, do business, have better return on investment; the entire system, philosophy relies on such shady-business approaches that seeming had worked well for the developed economies like the US, Japan, Germany to succeed their high living standards, middle class, relative prosperity in the 20th Century. But this kind of prosperity is all but gone, the globalization, technologies, the non existing labor markets have taken over shrinking employment, small business and only allowing the really big business and investors to prosper – inequality, debt, unemployment, lost generations, reduction of social services, pensions, crumbling infrastructure that’s how the Orthodox Economics performs in the 21st Century, and therefore the new, Market Economics is needed to capitalize on the achievements from the 20th Century along with the new market developments in the 21st Century. Thus what was good for the 20th Century is quickly becoming abomination in the 21st Century that need enhancements, changes to apprehend the new market forces.

However, the question remains: how to avoid redundancies, inflation, economic upheaval if the leach of firm budgetary economics is not there?

If the Game Theories cannot solve the dilemma because of the high Uncertainty in modern day markets than only the Quantum Computing and the principles used in Quantum Mechanics to find the best adjustments in a particular situation will: both new sciences are brand new staff, never experienced; thus the principle used in modern science of adding up on past experience may not apply under these new circumstances! Lets say the Nash Equilibrium could be applied on individual Market Sectors development but not as a Game Theory, instead the multi Quantum Balance/Equilibrium may be reached by using the relations between Market Tools (Quantitative Easing, SDR, Subsidies, Low Rate Lending, Social Expenses Infrastructural Expenses Market Leaps, Targeted Projects, Markets, Regions Parts Equilibrium Monetary, Fiscal, Regulatory interference by Central Banks, International Finance Institutions) + Market Development + Inflation / Deflation + Market Competition (Equity, Assets, ROI) + Market Forces – a function between many relative Data to be mixed in a pad of relativity to the overall possibilities; the Market Tools are used as Parameters that either accelerate or slow down Market Development (entropy to equity or their ways around).

Uncertainty Principle and Sectoral Nash Equilibriums may apply for balancing factors to succeed equilibriums, the Market Tools are practically used as PARAMETERS to get accelerations, slow downs, carry-ons in limits not boosting Inflation / Deflation and thus undercutting Market Development.

The Probability goes through the Invested / Subsidized Capital to the Market Tools that are flexibly applied in sinhron with the a market’s specifics, to J Constant that combines the statuary Market Agents and must be reached %% Macro-level Factors relating the succeeded adaptability under the circumstances to the subtracted Inflation / Deflation effect that must be kept in limits (-0.5 to +5) when both direction Inflation or Deflation are taken in number/fraction the – or + irrelevant;

___________________________________________________________________________________

ε,ε1xε,ε1p = Θ x [ζ(ζ x ΙΔ)]

_____________________________________________________________________________

μ1 = [μ + (ε,ε1xε,ε1p)] = Θ x [ζ[A(y1y7)|P (1) +B(x1, x2, x3, x4, x5, x6, x7, x8, xn)|P (1n) x ΙΔ |P(-050.5)]

_____________________________________________________________________________

(μ1) – it is seasoned Market Development after the gained Entropy, Equity;

ε,ε1Equity, Entropy (x p) added by the Θ amount invested through – Market Leap, Targeted Project, Carry-on Capital Infusion) multiplied by the ζ – J Constant then subtracted by the multiplied ΙΔ – Inflation or Deflation. (see: Example)

ζ J Constant is the sum of 2 probabilities; the Market Agents and the Market Tools.

A Market Agents implementation A(y1y7) considered probability to 1

B Market Tools probability p(1n] utilize the B

(x1, x2, x3, x4, x5, x6, x7, x8, xn) Market Tools’ probability effect on the Real Market that is most complicated probability that needs Quantum Approach possible by using Quantum Computers – Market Tools are used as probabilities in conditions of implemented Market Agents meaning in high Market Security business environment that allows lower interest lending and high transmissionability of the invested capital.

ΙΔInflation or Deflation acceptable variance p(-050.5)

_____________________________________________________________________________

Example:

14 = (Θ)10 X c[(ζ)2 [(μα)1(Ω)(μτ)(1] X (Ι/Δ)0,3/0.3 = 0.6] 2 – 0.6 = 1.4 x 10 = 14

14 = 10 x [2 x 0.3] = 0.6 (2 – 0.6) = 1.4 x 10 = 14

ε,ε1(Equity, Entropy) gain 14 thus M^ = 114-10 Liabilities;

if the invested capital comes from QE, SDR it must be subsidized to lift the EE will reach 121 whereas ‘seasoned’ EE may bring it down (seasoned E,E – Equity, Entropy = M^ – Market Development

_____________________________________________________________________________

The Quantum Probabilities are:

Market Agents [A(y1y7) ]complete implementation that will keep in (0….1) variance;

Market Tools [B(x1, x2, x3, x4, x5, x6, x7, x8, xn) ] that will add to the J Constant to accelerate, multiply the Market leaps, Targeted Projects, Carry-ons;

The J Constant ζ up to n%;

Targeted Low Inflation / Deflation Ι/Δ[(0.5….0….0.5)] that will not undercut Market Development – these factors are specific for individual markets, too;

Market Leaps / Targeted Projects / Carry-ons Θ that will be enough in value (at least 10% of the current M’s GDP) to ensure full employment and consistent Market Development;

These variances are targeted by the Market Tools indiscriminately; but also these are in relations to each other that must be taken in consideration and therefore only Quantum Computing can take so diverse variances into possibilities. Fundamental is the retaining of Inflation / Deflation where the Market Actions are tagged to it. The Partial / Sectoral Market Equilibriums are reached to make up the General Equilibrium; so, the Uncertainty and numbers of Possibilities are becoming even higher.

Μ– Market Development requires seasoned E,E – Equity, Entropy

Θ– Market Leap, Targeted Project, continuous Market Development

A(y1y7) Market Agents:

Strict Rule of Law in Business,

Unlimited Corporate Liability for the Management

Enhanced Protection Laws in;

Insurance,

Bonding,

Earth Environment,

Consumer,

Labor

B(x1, x2, x3, x4, x5, x6, x7, x8, xn) – Market Tools to accelerated Entropy/Equity

Quantitative Easing, SDRs;

Subsidies;

Low Rate Lending;

Social Expenses (incl Educational, Pensions, Medicare, Social Security, Unemployment Benefits, etc.);

Infrastructural Expenses;

Markets, Regions Parts Equilibrium Monetary Policies;

Fiscal Policies;

Sectoral Regulatory interference by Central Banks, International Finance Institutions).

n. Others

ζ J Constant (0……n) where MS (Market Security) with implemented A (Market Agents) brings ζ to (1) in relation whereas the (1 – n) relate the adapted, adjusted Market Tools toward the Macro-level Market thus the efficiency fraction.

Ι/Δ – Inflation/Deflation

The Principle of self adjusting Micro-level Markets and artificially adjusted using Market Tools as Parameters on Macro-level Markets on Parts / Sectors Equilibriums’ approach.

The most perplexing, hard to adjust, Probability in the above relativities is the B

(x1, x2, x3, x4, x5, x6, x7, x8, xn) Market Tools: Parameters’ mitigating effect on individual Parts/Sectors acceleration or slow down but also the relation among these parameters themselves; so, when a parameter is added or subtracted to certain value it affects the overall Market Development on a Sectoral and General Equilibrium as well other parameters in the occasion; when having in consideration the UNCERTAINTY PRINCIPLE and the MULTIPLE POSSIBILITIES and apprehensive overview requires QUANTUM COMPUTING capability to do such multi-functional, multi-operational, multi-informational estimation.

The ζJ Constant (0…1n) is consequential to the implementation in complete of the Market Agents that would give (0…1) ; the (1 to n) is a effect coming up from the proficiency of B(x1, x2, x3, x4, x5, x6, x7, x8, xn) in the execution of a Market Leap or Targeted Project that reflect the specificity of Individual Markets: (example: let’s take a market that is socialized so the more private business inclination will have better effect on the ζ performance, or the way around: if the market is too privatized that reflects lack of employment: then the adding some social distribution would be more effective). The targets are high business activities to keep full employment using indiscriminately the Market Tools in an ‘as it comes; as it goes’ approach. Even there are countless variations in putting pressure on different Data Indicators: the positive, accelerating business are some that can be considered boosting business activities, employment to the required levels, thus the probabilities are limited and the % of impact vary but is yet limited in varieties: from these possible varieties are extracted the most vigorous for a particular market under its circumstances, development.

Joshua Ioji Konov 2017

Marketsm – Active Economics


Economics has been a playground for the governments for the good part of the 20th and the 21st Centuries; from the far right trickle-down Austrian liberalism to the Soviet style ultra left total control by the government. Such extremes were prompted by the ideologies of from one side firm believes in the free Libertarian economics founded on the pro-supply marketplace, vigorously suppressing Inflation through tight Monetary and Fiscal policies and a generally controlled economies by the Communists believing in the Marxists views proclaiming the constant classes’ straggle for who to control the means of industrial production: a pro-supply economics, too ‘from quantitative aggregations to qualitative improvements’ dialectic theory that is just on the opposite side of the Libertarian philosophy whereas the pro-supply principles that create economic growth are the same! Both theories rely on a ideological control over the economy using very common explanation of how a pro-supply economy works: the dialectic powers of the industrialization establishing high profit margins economics!

 When the Communists economies and economists are gone for good with a very few exceptions of Cuba, Venezuela, and North Korea the Libertarians continue ruling the global economics almost unconditionally. By its nature the pro-supply economics is trickle-down driven: either by the rich or by the government owning and controlling the industrial means of production – makes no difference philosophically and practically – the ideas and ideologies are based on the same principles: ‘shady’ business (remember the huge factories polluting, filthy. full of injustice and Communist officials in total control on individuals freedom or the big businesses and investors using Offshore Banking and many other ways not to pay taxes). The Communism and the Capitalism have many things in common even when the results are different: the first is gone without glory when the second has succeeded in building prosperity in North America, Western Europe, Japan. etc 

 However, the industrial production capabilities evolved from a pro-supply short marketplace into a pro-balance such: the ongoing Globalization, rising Productivity, the Internet and Chinese Industrialization have reached very highest tipping off the supply driven markets. The exogenous global forces are up to the point of suppressing markets invoking stagnations: dilation instead inflation.

 The Global Warming is a turn-off on the old style pro-supply economics factor, too: the inability of the libertarianism to establish stable markets with less inequality and alleviation of the global poverty necessary for reduction of  old vehicle usage and primitive heating, excessive deforestation that is a main source of pollution and improper garbage disposal.

 A practical economics able to comprehend and apprehend these new developments into  productive force is needed more that anything because the global marketplace is ruled by conceptions and ideologies. In the modern age of high technologies and the Internet the probabilities for setting up such productive economics are as high as ever, but the ongoing believes and conveniences of the old even underperforming practices are overwhelming.

 Such economics, I called Marketism i.e. Market Economics saves on a Micro level the markets and market competition as factors that can limit excessiveness by keeping free entrepreneurship the main source for development, and by limiting governmental powers and market take overs.

Economics that marginalize the inequality with which Small Businesses and Investors participate in the market competition in compearance to the Big Businesses and Investors, and makes economic tools such as Social and Infrastructural expenses of the past partially equitable parts of the Market Equilibrium. Takes in account the exogenous powers and environmental protection to steer business activities in these very complex marketplace.

 Marketism is also flexible: it differs from market to market, from country to country, where even though, the Market Agents such as the Rule of Law in Business, Contracting, the Environmental Protection, Consumer and Labor Protection, Intellectual Property Protection, Insurance and Bonding Laws must be mandatory the Market Tools of Private and Public Investment, Subsidies, , Social and Infrastructural expenses, targeted Market Leaps with less or more governmental involvement are disproportionately used and specific for individual markets.

There is no status quo in using Market Tools: some markets where the governments are much involved may need less involvement some to the opposite may need more; however, targeted are Full Employment and Low Inflation/Deflation: the Budgetary Economics goes to a secondary factor – the risk to reward investment of Marketism is similar to the Stock Exchanges present system – Governments should not be neither becker nor  investors; even though the strict business laws call for personal liability the insurance and bonding,and bankruptcy are market tools,

Joshua Konov 2016

Market Economics Using Quantum Approaches


The number of articles I have written on the subject could be very perplexing for specialists and regular readers alike, because of the complexity of issues evaluated and mostly because of the ideologies have been broadened out for centuries, the ideologies that justify the deep division between rich and poor, countries and regions. The Cold War with its profound partition between the ideas of free market entrepreneurship of the Western Block Countries and the government-run economies of the Soviet Block Countries. Thus, it will be well concluded that altogether cultures of philosophical schools and religious conceptions have been exploited to smooth these divisions inside countries and set up conditions for unity and normality in life. Nationalism, chauvinism, xenophobia and over all “I am better then you are” aptitude have helped countries prosper competing to others, Empires rose and fall alone; and at present Economic Powers came up into existence.
Most of these Historical developments could be greatly explained by the processes of economic progress, because the Economy is a mirror of the History indeed. Over all the farther we go in the past when the means of production were less developed and the individual intellectual involvement was far less productive the bigger division between the having and the having not. And, in the same time the closer to the most recent times, the more middle class participation, the more individual intellectual involvement, and the more enhanced standard of life for the majority.
The rise of the technologies, the Internet, the ongoing Global political depolarization and the subsequent Economic Globalization, the ability for investing to another place not just into the developed part of the Western world for a substantial ROI “Return On Invested” capital, had brought general economic explosion of the 1990’s, but also these brought the economic upheaval of the 1989 stock exchange crash, and the most recent Great Recession of 2006.

The existing economic and social structures of (I call it) Social Order that was well perfected by the Most Developed Western Economies which is pro supply by nature of more or less trickle-down economics with relatively high lending rates (the set by the Most Developed Economies’ Governments low almost to 0 internal interest rates do not affect that much the inter-countries lending rates nor this do to the majority of the Worlds’ Small and Medium Businesses where these rates are even higher then before the Last Recession: see the interest rates of the securities sold by Greece, Ireland, Portugal, Spain, or see the rates Small and Medium Businesses are borrowing in the US). The Capitalistic trickle-down

economics is based on a relatively shady Business Practices maintained to prompt “easy business” which under the most recent conditions allows better and faster concentration of capital which effect does not result a possible on the US marketplace business expansion  but instead this effect consequences of high  profitable ROI from some Developing Countries then from the US; the “shady” business practices in which laws and regulations are far from the perfected common laws generally allow easy businesses start-up but than the “security” of these start-ups is quite limited to let lower interest lending, nor the Small and Medium Businesses have easy chances to collect on contracts from their Big Brothers’ Intercontinental Corporations by lengthy court cases, and finally when they (SMB) outsource or move any production to elsewhere trying to stay competitive globally these Small and Medium Businesses easily become a prey of weak international laws for intellectual property and anti damping protection, therefore it could be easily concluded that in the most recent times and under the most recent economic conditions the system of Social Order works better for the Large Transnational Corporations then it does for the Small and Medium Businesses, also the same formula could be well applied to how Global investment affects Large Investors and Small to Medium Investors; the lack of proper Personal Liability Laws and Regulations on National and International levels of Stock, Money and Commodity Exchanges benefit mostly the Large Investors by lowering substantially the security of investment for the Small and Medium Investors.
It may be noticed with great certainty that the Social Order of the so-called Capitalism is more in favor of Big Transnational Corporations and Large Investors then of their smaller brothers Small and Medium Businesses and Investors. Well, if such Social Order had worked well under a pro-supply conditions of a less connected and less developed world of the past, when under the most recent ongoing Globalization and ever rising Productivity such approaches are becoming quite contra productive by their fundamentals for a consistent economic growth and development; First, when Small and Medium Businesses and Investors use more than 75% in the US and the industrial production by the Transnational Corporation has been gradually moved and outsourced to China and elsewhere, Second, when Large Investors have gradually moved their investing to these Far Eastern Markets where the ROI and the economic prospective are mach advance then these in the US, Third, when in Global prospective there could be considered impossible for all regions in US and all countries in the World to enhance their Industrial Production to support in order and properly enhance their Fiscal Reserves for handling their ever getting older population required by the economics of Capitalism approach it is obvious that high interest inter-countries lending, the high rate securities controlled by the World Bank and IMF is beyond contra-productive for these underdeveloped economies , and Forth, may be the most important. The diminishing Earth resources and the disastrous Global Worming may not and cannot be addressed if the division between rich and poor people, regions, and countries is not overtaken by some new approaches in Economics differing from the Capitalistic one, in less developed and developing markets the usage of old cars, means of primitive heating, uncontrolled wood cutting, uncontrolled usage of pesticides and etc. may well destroy this Earth much faster then it is expected, to address these issues better system of Economics should be used that may accommodate and use flexible approaches to solve these.


So, even when the Capitalism or the Socio-Capitalism or the Communism systems of Economics which all represent the Social Order of the past claim to comprehensively deal with Market Economics it must be easy to prove that under the new Global market conditions non of these or any combinations of them could properly be called Market Economics: First, any economics of so-called Social Order is based on the philosophy of cyclical dialectic development that rely on the market economy to fix by itself when market fluctuations of recessions and upheavals occur which could have worked out in a pro-supply marketplace but experience real difficulties in a Global ever rising Productivity marketplace; the last Recession, the stalled industrial employees income diminishing Middle Class  for the last 10 years in the US, the setback in the European Union where maybe only Germany is doing relatively well and it is because of the German export to China of high-tech machinery, most of other countries are experiencing tremendous economic stress and are literally reducing their once succeeded higher standard of life: their social security, pension funds, Medicare instead of being enhanced and improved is being losing quality because of Fiscal shortages; then it comes China which succeeded in maintaining high growth and withstand the Recession of 2006 by expanding their own marketplace and export even under not very favorable economic conditions: China have done it and is doing it just because the flexibility with which the Chinese authorities use the economic instrument to maintain growth is very proper, the balance between social and infrastructural policies for employment and private sector, the prompt action when the real estate market was overheating last year by regulating second house lending matrix a developers specula regulations (2009), the constantly adapted policies of subsidizing exporters and certain economic areas (the photovoltaic equipment as an example), the policies of equity enhancement and values, and the etc. showed that the Chinese approaches are the best in the World now days, and such accomplishments showed to everyone that politics and economics under the most recent economic developments are two separate things to deal with, and showed that Karl Marx, Adam Smith, John Stuart Mill. And etc. are dead wrong in how the economy works under these most recent economic conditions of the Globalizing and high Productivity marketplace. And, second, no one ever really philosophically explained how the lock of resources and the Global worming could be dealt with under the Social Order conditions in an open marketplace, because never in History the people were given the opportunity or more exact had the abilities to produce more industrial goods then they consume (because by China, India, Brazil joining the Most Industrialized Economies of the US, Japan, Germany such capability for industrial goods is just very high) and at the same time the exhausting Earth resources are pushing toward Alternative Energies and Very High Technologies, and at the same time any countries but very few in the World rely on Industrial Production for their GNP, Fiscal Reserves and so on.


Even the Social Order systems of Economics in one way or the other proclaim the Market Economics as their best; none of them really deals with the most recent market fluctuations by using their established system of economics; so when under the pressures of the last Recession many governments took monetary and fiscal actions to stimulate their economies, which they still continue doing it, these actions include taking off debt from Banks and Large Financial Institution, partially acquiring businesses as it happen with GM, and printing money and quantitative easing as they are doing now; actually what the governments were doing is interfering with the market forces to prevent their economies from collapsing, and at least for moment they are succeeding, but what they are mostly doing is braking with the philosophy of cyclical dialectic economics of the trickle-down capitalism to not relying on the cyclical dialectic forces of the market to fix the mess of the consequences from the  last real estate overcapitalization that brought the Recession of 2006. The Keynesian approach of financial market interference that also was used in the Great Depression was well extended by the actions taken in this Recession to points well beyond Keynes imaginations and limits. When from Microeconomic prospective: “The cost-push theory basically emphasized the role of excessive increases in wages relative to productivity increases as a cause of inflation, whereas the demand-pull theory tended to attribute inflation more to excess demand in the goods market caused by expansion of the money supply.[1]” non of the conceptions can explain the total disruption consequence of extensive moving and outsourcing of industrial production and outflow of capital to other parts of the world. Neither Thomas Robert Malthus [2] nor John Maynard Keynes [3] neither most modern economists could or even like to explain an employment shortage not founded on economic development in a particular market, economy being replaced by a quickly globalizing marketplace where industrial production went so far out of hand so the question of balancing wages to employment to inflation is cut short of industrial employment which as it seems becomes in shortage not just because of the ever improving high technologies but even farther it becomes such because the majority of industrial employment is moved and outsourced indeed. Thus the questions from Micro and Macro Economic prospective are beyond existing logic in current economics. The question about inflation started relating more the value of the US Dollar to the Yuan, and the real costumer consumption when the costumer may not have a job in industrial production, and when in the same time GDP is founded predominantly on industrial production. Such, in an economic environment of exploding demand enforced by the new industrial powers in a marketplace of shortening industrial employment for the rest of the world, and reducing industrial employment for even some most developed industrial economies the questions about employment, Fiscal policies, distribution and redistribution of wealth are taking more power than ever if ever in History, so the questions become with depleting industrial production in the US marketplace and almost everywhere:

·        How to manage inflation without industrial production growth?
·        How to keep up and enhance consumption related growth when unemployment is high and may get higher?
·        How to manage Fiscal policies and Monetary quantities without industrial production growth?
·        What is this new world that changed one time from Farming into Industrial Production, and now what change is coming?
·        Why and what China is doing better to keep up high economic growth when the rest of the world crawls?
·        Why such a good world as the US Economy which with a few exceptions had grown for the last 100 years with at least 20% every 10 years in case has stalled for the last 10 (2000 – 2010)?
·        Why the hard-working and with the highest in the world productivity US workers are running short of jobs and how far it would go?
·        Etc.?

Actually, let me suggest what is happening and to where things in economy in the US and almost everywhere else may go to:
·        The Economics of trickle-down Capitalism may have to change to a Market related Economics of variances (I call) Quantum Economics which promotes the ideas of prompt, practical, flexible economic actions to prevent violent economic fluctuations such as the Last Recession of 2006, Inflation and deflation;
·        With the  self-adjusting  Economics gone, economic instruments/tools may be used “as it comes as it goes” approach of pure statistical principles;
·        The ideological approaches of Republicans against Democrats of how to run the economy may still be in place but will be much less intrusive to how the economy is run, because it maybe much clearer the principle system of the Science of Economics as a system of adjusting market fluctuations by using old and some new Instruments of Economics;
·        Social and Medicare expenses,  Infrastructural expenses along with

Subsidies for Alternative Energies may have to be considered more on the equity side of the governmental books not on the expenses side as it has been practiced until now, which also may have to be considered Instruments of Economics.
·        The Industrial production US Economy is about to continue changing into a Service Sector Economy, but the already succeeded equity including over all standard of life, Social and Medical Structures, Infrastructures, Educational System, relatively high valued Real Estate and the accumulated Capital may have to play important role in a more regulated Stock and other Exchanges for investment into less developed areas in the US as well Global by the Small and Medium Investors who now are handy caped by the hostile to them market exchanges;
·        The business laws and regulations may have to be enhanced for corporate, limited liability and trust management that must improve their security for lower rates “lend-ability” of Small and Medium Businesses, that must prompt more employment in different spheres of business;
·        The Government may have to start using better tools to subsidize and prompt growth; tax breaks, tax initiatives, employment stimulus, and etc. are part of these;
·        Internationally, the government may have to promote equal laws and regulations to these on the US market.

The Social Order of the Past may be changing into the Market Order of the Present and the faster these new developments are adapted by an economy the better this economy will stand globally. There maybe countries and economies losing their superiority over others and really hope the USA is not one of them. As stated above Personal Freedoms, Democracy, Liberties are not necessary bring and support the best and most advance economics because the game has changed, however the values of these succeeded extremely important accomplishments of Humanity must be preserved in any cause.
http://sites.google.com/site/economicsofmarket/
© Joshua Konov, 2011


[1]“Macroeconomics,” Microsoft® Encarta® Encyclopedia 99. © 1993-1998 Microsoft Corporation. All rights reserved.

[2]“Macroeconomics,” Microsoft® Encarta® Encyclopedia 99. © 1993-1998 Microsoft Corporation. All rights reserved.

[3]“Macroeconomics,” Microsoft® Encarta® Encyclopedia 99. © 1993-1998 Microsoft Corporation. All rights reserved.

Association For Heterodox Economics 17th Annual Conference 2-4 of July,2015 Presentation by Joshua Konov


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State and Private Debt of Market Economics


In recent economics debt is in the foundations of business and equity – state debt limits governments’ expenses, social, educational, infrastructure, policies and international relations – private debt limits individuals’ expenditures, abilities to access better education, housing, and etc; however, ‘credit’ that could fall into ‘debt’ is a main market tool giving governments and individuals the abilities to expand infrastructure, business, equity, and etc using capital, which could not be approachable but by through crediting. The difference between ‘credit’ and ‘debt’ is in the momentum – whereas ‘credit’ is targeted investment considered in motion, a ‘debt’ is a negative after deficiency market imbalance. The distinction between working ‘credit’ and accumulating ‘debt’ is a thin line that could be crossed by global recessions, works of nature, or political turbulence. Between ‘credit’ and ‘debit’ comes public financing – in case the ‘risk’ is taken partially by the investors thus limiting the issuers (could be governments or corporations) liability; however, in cases like “Bond holders against Argentina”,

CAMBRIDGE – Argentina and its bankers have been barred from making payments to fulfill debt-restructuring agreements reached with the country’s creditors, unless the 7% of creditors who rejected the agreements are paid in full – a judgment that is likely to stick, now that the US Supreme Court has upheld it. Read more at http://www.project-syndicate.org/commentary/jeffrey-frankel-explains-why-a-recent-us-supreme-court-ruling-leaves-creditors-and-debtors-worse-off#LEKoUJp5KSDDLW2A.99

or “IMF, ECB, Germany and other lenders against Greece” bonds are capitalized into loans and the governments of Argentina and Greece are required to pay these in full.

There are many historical occasions when ‘debt’ on countries level was forgiven or let it die in time:

The revolutionary war setup the United States’ new monetary system – all partially causal to the austerity measures and trade restrictions on the Colonies implemented by the Minister George Grenville – by year 1763 Britain’s national debt had risen to £122 million, or over 150 percent of the Gross Domestic Product that prompted strict austerity and trade restrictive policies:

“Grenville passed the Currency Act of 1764, which forbade the colonies to emit any new currency. Finally, in 1765, Grenville ushered the American Stamp Act through the House of Commons, a measure that was designed in part to restrict the colonial land market.” se 1776: The Revolt Against Austerity”

Germany after the Second World War  and Poland after the fall of Communism are the best example of such …

Yet debt forgiveness has an established historical precedent in Europe. Poland, for example, had accrued external debts of about 57% of GDP by the time the Communist system had collapsed, with the majority of that debt (around $33 billion) being owed to Western governments. Poland’s largest creditor at the time was Germany, which reluctantly agreed in 1991 (under pressure from the United States) to go along with the “Paris Club” of creditor nations and forgive half of Poland’s debt to the West (though this was less than the 80% write-off Poland had originally been seeking). An even more dramatic example is provided by Germany itself. Historically, Germany has been described as the biggest “debt transgressor” of the 20th Century, with restructurings in 1924, 1929, 1932 and 1953. Total debt forgiveness for Germany between 1947 and 1953 amounted to somewhere in the region of 280% of GDP, according to economic historian Albrecht Ritschl of the London School of Economics. Today, Greece has an external debt-to-GDP ratio of roughly 175% (by comparison, Germany’s external debts currently stand at about 145% of GDP).

On individuals or corporate level ‘debt’ has been washed out by bankruptcy procedures – in the US bankruptcy courts are much speedier and over all easier than these in the EU, that some economists consider a main reason for the better way US economy has performed in post 2007-9 Recession times. By giving debtors a second chance bankruptcy courts play some fundamental role in taking individuals and businesses out of the big hole of debt into the market opportunities, thus boosting business and consumption.

The most unorthodox economic approaches to flood capital into underperforming markets is the used by the US, UK, Japan and now EU central banks so called ‘quantitative easing’, while instead of borrowing publicly or privately capital to revive their economies these central banks ‘produced’ such capital from ‘thin air’ into the system. The ‘status quo’ economics predicts that additional capital – such not product of an economy market activities (debit/credit) – would prompt inflation; however, no inflations but deflations have occurred in the post recession times? Neither, the huge debt accumulations by Japan, the US, many EU countries, and others have prompted inflations either! Thus, neither the quantitative easing nor the huge debt has yet created sweeping inflationary forces. In context with the ‘status quo’ economics are the ways government accounting is done by not properly deducting QE from the overall debt even so the capital infusion by QE writes off debt by acquiring issued bonds? In referring to inflationary forces or the lock of it for the last 20 plus years the ongoing Globalization, rising Productivity, China’s Industrialization, and the Internet could be considered causing the increasing exogenous economic pressures over national economies indicated in by their deficit adding to their debt.

The world is crippled by too much debt. The borrowings of global households, governments, companies and financial firms have risen from 246% of GDP in 2000 to 286% today. Since the financial crisis began in 2007, debt-to-GDP has risen in 41 of 47 big economies. For every extra dollar of output, the world cranks out more than a dollar of debt. The Economist explains why the world is addicted to debt http://econ.st/1eaQEgc

As simple as things may look like the results of this system of economics not being able to accommodate these exogenous forces cause fundamental global market imbalances – unemployment, declining middle class, small business and investment, and accumulation of high national debt.[1]

Market Economics employs exogenous market forces and thus capitalize on the 21th Century irreversible developments by not only enhancing the international accounting but further by employing the immense powers these exogenous forces posses to boosting national and global Market Development through alleviation of poverty and environmental Earth protection.

The countries debts are considered by Market Economics as the present corporate and individual debts involving bankruptcy, mitigations, negotiations, and etc; whereas investors take their reward and risk; however, Foreign Direct Investment and Productivity are not considered primary force for global development but supplementary such, because the more important consideration such as Earth protection requires poverty alleviation by not prompting mass industrialization.

The Capitalism uses foreign direct investment by transnational corporations to raise productivity and bring return on this investment that could be only achieved through industrialization, and the global accounting system is setup on these principles;

The Marketism uses subsidies, low interest financing, and etc along with foreign direct investment to prompt environmentally friendly Market Development that will alleviate global poverty and thus save Earth from destruction using market principles and saving individual freedoms.   Joshua Konov 2015 [1] http://www.economist.com/blogs/graphicdetail/2015/05/daily-chart-4?fsrc=scn/fb/wl/dc/st/thetracksofarrears

Parameters – Market Agents and Tools – of Market Economics


Market Economics uses environmentally friendly approaches to steer business and employment of a democratic societies that consequences into poverty alleviation and middle class growth on a global scale. It is founded of the existing principles of the Capitalism, however, it changes the shady ‘easy’ business into strict law of business to deleverage the inequality of market competition to raise ‘market security’ and the small businesses and investors lend-ability that differs from the currently economics.

If Market Economics accepts ‘uncertainty’ as an ongoing and growing market (economic) development – product of the ongoing exogenous for individual markets (economies) forces coming from the ongoing Globalization, rising Productivity, Chinese Industrialization, and the Internet – to manage such ‘uncertainty’ an ‘as it comes; as it goes’ approach is needed that could be only achieved if market (economic) tools are used as ‘parameters’ to prevent the global marketplace from exasperations that could bring upheaval.

The ‘market agents’ are status quo necessities required for raising the ‘market security’ by marginalizing the existing inequality in current market competition – how ‘small and medium businesses and investors’ are affected by the business laws and conditions in comparison to the ‘large businesses and investors’. For the ‘market economics’ to enhance ‘capital transmission-ability’ and thus boost business activities – employment and fiscal abilities – the acceptance of more fair ‘market agents’ is paramount: enhanced business, liability, contract, environmental, consumer protection, bankruptcy, insurance, bonding, and labor laws will raise ‘market security’ allowing lower rates of lending.

However, the ‘market tools’ are used as ‘parameters’ to balance market equilibriums in synchrony with the ongoing deflation/inflation forces in the real economy – flexible capital infusion through FDI but also through Subsidies, Low Interest Lending using ‘market leaps’ mostly by developing alternative: energies, tourism, and farming should go global. Social, educational, research and development, and infrastructural expenses, prevailing wages, and etc are also such ‘market tools’,

To save Earth the alleviation of poverty is necessary; however, achieving it not through the industrialization of the present Capitalism but through targeted ‘leaps’ of diverse environmentally friendly businesses of the Marketism (Market Economics).

The Marketism will work under high ‘market security’ with enhanced ‘market agents’ whereas the ‘market tools’ are used indiscriminately in comparison to the ideological approaches or current budgetary economics – the debt issues will resemble the individuals/businesses system of lender/debtor approach in which governments and countries will have less intrusion in economics being more on the controlling side than on the capital transmission such – Commercial Banks and International Financial Institutions will approach directly markets thus reducing corruption and politically motivated investment of the Presence.

The ‘parameters’ are flexible in nature: some on the supply side such as targeted subsidies and low interest business financing another on the demand side such as social, infrastructural, educational, prevailing wages, and etc expenses. Balancing ‘market equilibrium’ because of increasingly relevant exogenous market forces will be targeted through market sectors ‘parts equilibrium’ than the currently used ‘general market equilibrium’ – thus monetary policies will not work by varying discount interest rates of the Central Banks but by expanding or reducing individual market sectors lending rates and/or fiscal initiatives. If markets are taken as ‘demand to supply’ (not to be mistaken with ‘supply to demand’) places for business competition the long-term ‘market development’ depends on the relative ‘stable’ market environment that is only possible by mitigating the excessive market/economic fluctuations through using the ‘parameters’ to prevent ‘big waves’ of excessiveness – the market forces on sectored/partial level – natural to the market competition are the best ways for keeping ‘marketing equilibrium’; however, the fierce variations experienced in the last 2007-9 Recession lesson goes to active usage of these ‘parameters’ to prevent such harmful consequences of a ‘as it comes; as it goes’ economics.

Joshua Konov 2015

Bankruptcy in Market Economics


There are well-substantiated suggestions that the difference in the bankruptcy procedures between the US and the EU has given the US an upper hand while dealing with the 2007-9 Great Recession and the Post-Recession tremendous economic issues. By giving individuals and businesses a second chance in relatively short procedures the US Bankruptcy Courts have helped jump starting the economy, whereas their EU counterparts followed much lengthier and complacent largely ineffective practices – the divisions among countries and even regions in the EU, in their economic achievements and jurisprudence apprehension have taken an additional toll to prolonging bankruptcy procedures; however, the difference in the way bankruptcy has been processed in the US and in the EU is just one of the issues that have brought to substantial divergence in economic growth between the two – the insistence by the EU on the trickle-down economics of austerity, the redistribution of wealth from the have and to the have not: through VAT, monetary and fiscal means, subsidies and programs targeting mostly large businesses, the overall reliance on the large corporations and investors – the so called FDI – to boost productivity and growth, the growing nationalism, xenophobia, and the pressure on the national governments to comply through pay backs boosting corruption are just some of it. However, this article will concentrate on the ‘bankruptcy’ and how it is considered by the Market Economics as a ‘tool’ of economics.

Just for reminding – the Market Economics is an ‘as it comes; as it goes’ approach in economics that uses market ‘tools’ as parameter to steer up or slow down market forces under the circumstances– it is not so much a ‘budgetary’ economics as it is ‘inflationary/deflationary’ adjusted to system. What brought Market Economics as possibility was the tipped off over all industrial capability by the ongoing Globalization and rising Productivity, the Chinas Industrialization and the Internet; the Market Economics is necessary to deal with the needed Environmental Protection and related Poverty Alleviation not relying on an industrialization of the Capitalism, and therefore not relying on the Large Transnational Corporation and Investors or the so called FDI to boost productivity and economic growth. The deleveraging of market structures to marginalize current economy’s market advances to the large corporations and investors is a postulate to raise the market security – and thus the Small Businesses and Investors lend-ability. Fundamental, for this approach, is the exogenous economic forces consequential to the ongoing Globalization and rising Productivity.

Market ‘agents’ and ‘tools’ to succeed market security vary from the enhanced business, insurance, environmental, consumer protection laws to the prevailing wages, labor laws, to market ‘quantum’ leaps through investment, subsidies, and low interest rate – all pinned to inflation/deflation.

The idea is by enhancing market security the global economy would allow small businesses and investors through natural to the markets means.

Market Economics changes the ideas about what a global marketplace should look like – whereas Environmental Protection Laws are paramount – but such to be succeeded in a world, deepening in poverty, an alleviation of such poverty on a global scale must be accomplished!

A ‘bankruptcy’ is a ‘tool’ of economics such as ‘infrastructure’ and ‘social expenses’ are – just a balance market tool on the demand side of the occasion, and therefore, the laws of market economics and the possible balances between the demand and the supply sides apply to the quantities of bankruptcies’ market tool used without provoking inflation/deflation that can hurt an economy – it is all about market equilibrium that could be achieved by using FDI or/and targeted subsidies, low interest rate lending, etc through gradual and/or market leaps approaches. Alike ‘social and infrastructural expenses’ that could be expanded to a point when these start hurting the market economy by prompting excessive inflation/deflation ‘bankruptcies’ even needed to keep market equilibrium may easy rise up into excessiveness – that must be sustained accordingly!

Joshua Konov 2015

The EU Mixing True and Fiction in Dealing With Greece


The European Union authorities and the media are constantly talking about reduction of Greece’s debt whereas it is about the turnaround of the Germany’s insisted austerity policies that have wracked the EU ever since the 2007-9 Recession. An approach of ‘bagger your neighbor’ by keep cutting social services, education, medical, and any governmental expenses – the theory goes: ‘when a market gets indebted by cutting expenses and regulations such market becomes attractive to foreign direct investment with its low salaries, desperate work force under high unemployment, low social expenses, cheep prices privatized assets, etc idyllic conditions for the large investors and transnational corporations to move in raise productivity and get such market becoming competitive and sound’; however, that was suppose to happen, instead – the unemployment reached heights unknown, the consumption plummeted without attracting major investment or rising productivity – in reality, the whole theory that is founded by neo-liberalism collapsed prolonging slow if no growth in-and-out of recession business environment followed by rising National Dept as a percentage of an ever declining GDP – it has become a ‘catch 22’.

The Brussels bureaucrats and the Berlin masters instead of sitting down in comprehensive evaluation of these realities has continued to call their mantras until Greece elected a totally different and not controlled by them government who called for change.

Seemingly, the Greece’s insufficiencies in administration and business environment did – in the past – cause substantial debt, the EU actions targeted reducing the existing administration and improving business to overcome these insufficiencies; in practice, nothing good came out of the austerity measures but misery, unemployment, lack of development, so obviously the reasons for these insufficiencies were not the one evaluated by the ideologically inclined Brussels and Berlin, or at least the actions requested were not the right one to change the existing pattern, you should recognize them by the results: higher unemployment, increasing Debt to GDP ratio, and total economic collapse of the Greek market equilibrium and development.

What went wrong and why the liberalism did not perform? One sentence: – the exogenous pressure were not accounted for and taken in consideration – the Globalization and rising Productivity have brought pressures in manufacturing, employment, technologies changing the pro-supply market growth of the Capitalism that could have been positively affected by the Austerity into a pro-demand (pro-market equilibrium) market development of the 21st Century in which inflationary forces change with deflationary, exogenous factors take larger percentage from economies/markets, and the Economics must change to accommodate these changes in order to perform, the Liberalism has not done it and therefore the results are negative. Greece is a best example of these new developments: the high debt and unemployment, and lack of growth will persist unless new approaches are used to take the Greek as well entire EU. 20150214_gdc778.0 Joshua Konov, 2015

Market Leap of ‘As It Comes; As It Goes’ Market Economics


Market leaps are necessary to achieve Market Development on a Globalized Marketplace.

The difference between the passive currently used Economics and the proactive Market Economics is in the approach to prompt Market Development id Economic Growth; whereas, the formal one uses Investment (mostly private) and Productivity preferably under shady business practices and lower taxation to prompt Economic Growth; the Market Economics uses targeted financing through investment, subsidies, low interest lending, and other market tools for a pre-programmed approach (Market Leap) to prompt Market Development.

The ‘J Factor’ indicates the level of sufficiency of the market transmission-ability of Capital. It varies in conjunction with the functionality of an economy/market. The Rule of Law in Business, the Infrastructure, the Social Structure are the objectives for the ‘J Factor’; however, the ongoing Globalization and rising Productivity provide higher flexibility to have economies/markets enhance their ‘J Factor’ by the implementation of the following Market Agents:

The inadequate infrastructure and social structures play important role to higher ‘J Factor’; however, the implementation of the appointed ‘Agents’ gives over ‘0’ – ‘J Factor’. Artificial Market Tools as Subsidies and Low Lending boost such undeveloped markets through targeted investment. Through a ‘Market Leap’ using Quantum Probabilities Theory to project and limit inflation/deflation effect a Market Development is achieved; however, with the improvement of the Infrastructure and social structures in a longer-term development the ‘J Factor’ comes substantially higher. Undeveloped markets with corruption, weak banking, and lack of infrastructure and social structures are considered impossible for exogenous interference; however, the globalization allowed large retailers, manufacturers, and banks to open outlets almost elsewhere – with the few exceptions of North Korea, Cuba, and the war zones. The exogenous Market Leap can be financed and controlled through the commercial banks; the government should be required to implement the Market Agents.

The Projects of Alternative Energies, Tourism, Farming, and Technologies should be the motors for Market Development; so, Market Leaps should be the Market Tool for succeeding it. The world cannot afford any more deforestation, exploitation of old cars, and fossil fuels heating resulted of the poverty driven markets/economies.

A ‘J Factor’ could vary from ‘-2 to 0 to +2’. Such J Factor is a multiplier to the invested capital; whereas, a market performs causal to its pre and projected level of development could bring straight return on the invested capital, along with some ‘Equity” built up of a long-term Market Development. Thus seasoned ‘Equity’ is to improve these markets’ standard of living, prompt environmentally friendly development, and eradicate poverty. The Market Economics uses Quantum Factors to provide “J Factors’ for different markets: first, to show their transmission-ability and return on invested capital along with added market ‘Equity’, and, second, to prevent from harmful inflation/deflation sparks.

The J Factor performs in its best while a market runs from 2% Deflation to 2% Inflation; however, such precondition is optional and is mostly advancing to a straight return on investment, and not that much to a long-term Market Development, which would advance independently as long the pointed Market Agents are implemented in a market/economy (such independent – not connected to the Inflation/Deflation Market Development depend from the size of such market/economy as well of the size of the targeted Market Leap. In such a case, the expectations would be for more volatile return rising with the increasing Inflation/Deflation market environment.

In relation to the ‘J Factor’ a market/economy could need pro-demand market (when the globalization is well presented), a combination of pro demand and supply, or a pro-supply leaps; therefore, the planning of a market leap is specific for individual markets.

Pro demand Market Tools:

  • Fiscal Expenses
  • Investment
  • Low Interest Lending
  • Monetary Subsidies
  • Insurance Expenses
  • Social Expenses
  • Infrastructural Expenses
  • Educational Expenses

Pro supply Market Tools:

  • Fiscal Breaks
  • Investment
  • Subsidies
  • Sectional Inflation/Deflation Interest Rates
  •      Lending Rates
  • Borrowing Rates
  •      Prevailing Wages
  •      Bonding on Market Prices
  •     Access to Public Financing

A Market Leap is the approach to boost business activities through subsidizing, low interest lending, or investing will differ because of the ‘J Factors” levels for individual markets. The industrialization belonging to the supply side of individual markets is not considered possible Market Leaps, because as stated in many places of this research, the global industrial production capability has tipped-off as a result of already succeeded by the Transnational Corporations and China capacities, which will benefit substantially from other markets increase of demand.

Example 1 for a Demand based Market Leap:

Undeveloped Market A (could be a country or underdeveloped markets ex. Detroit) in which 60% of the heaters are on fossil fuels, 80% private and commercial residences not-insulated (walls, windows, doors, etc.) resulted in very high pollution.

Low-income results to low consumption:

GPI 5,000 USD per person

GDP 10,000 USD

Residential Occupied Properties: $3 Million

Commercial: $1.5 Million

High energy consumption and on fossil fuels 2,000,000 Residential 1,000,000 Commercial

Inflation 1%

Required by the Environmental Protection Laws improving to standard properties.

To Improve Properties to low energy consumption with non-fossil heating per Item $20,000 US total $60 billion US:

  1. Market Agents implemented.
  2. Market Tools used:
  • Fiscal Expenses – 0 Taxes on Non-commercial Houses for 5 Year
  • Investment – 20% (Commercial properties related) – $12b US
  • Low (1-2%) Interest Lending – 40% – $24b US
  • Monetary Subsidies – $24b US – IMF
  • Insurance Expenses – $2b US – Gov
  • Apprenticeships – $1b US – Gov
  • Prevailing Wages plus Materials 95% from Total or $6b US
  • Local Employment Preferential and Market Related
  • Financing and Financial Control: Lending and Subsidies thru Commercial Banks
  • Social Expenses– N/A
  • Infrastructural Expenses – N/A
  • Educational Expenses – N/A

‘Equity” (on paper) built non-seasoned $50b US, seasoned equals Total (minus 20% on Loans) plus ‘J Factor” – example 0.50% – $25b US ($18b US Commercial with ROI $6b US in ‘Equity’). Overall seasoned ‘Equity’ gained by the market – $75b US.

Paid for Construction Employment – about $27.5b US or $9,500 US per Unit.

Paid for Equipment and Materials – about $27.5b US or $9,500 US per Unit

Pollution from heating and waist of energy after Market Leap NONE.

Joshua Ioji Konov, 2014