A Study of Capital

First an analysis of Capital in terms of its Libidinal nature.

History
Capitalism proper was invented by the Dutch to sustain the colonial effort. They brought to life the first stock exchange in order to finance the ventures across the seven seas. People could invest in promising risks. Most empires are to some degree based on such investments - Crassus represents this principle in Rome - but the formal structure came to be in Amsterdam to finance the VOC. With this structure, a new dynamic of capital flow was born. This dynamic we’ve come to know as Capitalism.

Meaning
What is the ultimate value in all this. What drives it all at the very foundation. What does wealth buy you? Freedom. And here is the deep crux, the contradiction, the Negative at play Wealth ties, makes the owner dependent on it.

The wealth provides the freedom of action but removes the freedom from the machinery of capital that a wage-worker has. As the capitalist accumulates wealth he is immersed deeper into the machinations and his consciousness becomes a function of it. So the prize of freedom of action is counterbalanced by the imprisonment in the machinations of capital, including the corruption. Which is a very strong bondage for reasons obvious to the philosopher.

This is capital wealth, in the sense of wealth acquired purely through the machinations of capital as such. Which means: value generated by the economic valuing of economic valuing. What stands free of this is capital generated simply by value. This means manufacturing, industry. If we take Amazon, it means the service the company provides. In this phase, which is ancient, values are produced and put on the market, whereby the market perpetually comes into existence.

The second phase, that of capitalism, which came into being in the Colonial axis between Amsterdam and Indonesia, with the VOC; United East-India Company, for the financing of which the first stock exchange was created. In this phase we have the capitalization of profit as such, profit manufactured as a product. Of course this only means prospects of profit; you can not buy the profit directly like you buy a shovel or a sack of potatoes.
In this phase, the market is created a priori to the product. The product cones into being as a function of the market. Of course there is no market without products, but where the primordial market is one of local coincidence of cross-interests generated from the earth, the capital market does not arise freely, it is built on the basis of a trust, an agreement bound and held over time by law.

It’s entirely secondary, as its goods are currency rather than directly appropriable values; its goods have to be translated into appropriable values; the actual freedoms, or freedom-givers, which are bought on the primary market.. For the power of secondary goods to be translated into greater secondary goods, the distance to primary goods is required, and this is the dimension of growth over time. The real value of the good has to be suspended for it to increase in speculative value. The real value is always Freedom, so it is this which is being suspended in capital as such.

Thereby capital becomes libidinal. Not as an aphrodisiac to the human libido like money is, but in that it acquires libido of its own.
As Capital, wealth no longer predominantly brings men freedoms from their pressures, but actively seeks freedom from its own pressures; it seeks to discharge itself. [from elsewhere]

Present
This logic had been on my mind for a while but this post was prompted as a response to a post by Pezer about the Vietnam war. What is omitted in these matters usually is a serious scrutiny of the reasons the US engaged that war how plausible the domino theory really is, or was. Did this war really rise from strategic considerations? I have my doubts. It makes more sense to me seen in the terms dictated by capital; expenditure for its own sake. “Self-lightening” in @zeroeth_nature’s/Lamperts terms.

Things as real as war always have many factors playing into them. Of course strategic interests are usually part of these. But what’s usually meaningful is to look for the cause that most accurately predicts the results. In the case of Vietnam, this expenditure for its own sake is more elegant than geo-strategy. Geostrategy was taken as an end serving as a means to legitimize the effort, which has the thoroughly a-moral (different from immoral) engine of libidinal capital.

So its not: bad people sit in a room contemplating how they can make more money off the backs of other poor folk. It’s: cogwheels in the machinations of capital are driven by mutual pressures to invent ways to meaningfully expend to release the pressures. Capitalists aren’t in control of capital thats the beauty of it as well as the danger.
Meaning is necessary as a means, but it is still secondary. Sometime the meaning fits and the endeavor is hugely successful, sometimes the meaning is ephemeral and the endeavor just results in experience and chaos, ands perhaps from that, some knowledge, some wisdom and some cowardice. All very human-like.

At this stage it is necessary to distinguish Capitalism from America or generally Western Liberty. These aren’t the same. Capitalism flows from this liberty, the Dutch protestant enterprising ethics, but is not equal to it. America was founded on the back of these original Capitalist ventures, but its foundation stone itself, the Bill of Rights and the philosophy espoused in the Declaration of Independence, does not relate to the machinery of capital. Nor even to that of Democracy, by the way. It is rather based on the French idea of the trias politica, the separation of powers, combined with then newly rising models of man as self-determining, God as rational, and history as progress. It is a philosophical construct which is a fertile host to Capital, but Capital is not at all sufficient to its essence. Capital is necessary to drive the effort of competition that allows such a state to continue functioning, but Capital serves that same function for different types of states and ideologies.

Which brings me to the next point; China. In the sense of Capital as libido, the Chinese model is a tantric. The pressure to expend is severely regulated, fed back into the system willfully and through subtle knowledge of the own organism. Note: the pressure is treated as the substance, rather than the wealth that fuels the pressure. It’s not that China is the only one to do it this way, the original VOC functioned in a similar way in fact, it was very much a blend of state and private venture, of venture and control. The early United States did not entirely lack this regulatory discipline, but the opportunities in that country so vastly outweighed the risks, that capital was basically set entirely free, which led to the greatest sense of liberty mankind has probably ever experienced. Which led to the abolition of slavery and several kinds of other new freedoms.

In the early 2000s, the concentration of capital and the lack of freedom, the pressure inherent in that for the capital ‘owners’ became so great that it led to another leven of expenditure, the result of which is the worlds current AI superstructure. I think that most of the current industrial trends are the result of Capitals blind will to expend, and no longer carry the excuse of meaning in them. The distortion of the phenomenon of meaning itself through AI is a fitting irony. Irony is a form of serendipity. And speaking of irony; Elon Musk, in a way, is addressing little bit of this problem when he diverts resources into what are now ironically more earthly endeavors such as space travel.

Future
What’s ahead for us on this trail? Now that we understand Capital as a living thing, rather than as a mere result of human properties, how do we approach it? What’s our preferred relation to this animal? What would we have it do for us, keeping in mind the ferocity of its nature?

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But what is the root of the will to expend? What is it relaly? It certainly isn’t something based on biology at first glance, since there was nothing to expend 20000 years ago

Yes this is the point; the invention of Capitalism proper in 1602 marked the transformation of wealth, which hitherto had been more or less inanimate, into something that behaves like a biological entity.

Then you mean that the ‘will to expend’ was created in 1602. How do you create a will? Out of nothing? How come the ‘will not to expend’ wasn’t created, for example?

I understand actually reading the post is too much to ask.
You could run it through an AI and ask it to summarize it for you.

Yes, you understand false things

I think you’re a little scared from witnessing an actual thought process.

I notice this is more and more common. People increasingly want to jump to conclusions based on a few syllables. First people might still process a few sentences, now even that’s mostly too much to ask. Its evident that the smartphone is the cause of this.

Following through the logic of Capital as compulsively expending itself, regardless of whether there are any sound objectives - power is always setting goals regardless whether they are realistic or good, as Nietzsche observes, and Capital is a particularly compulsive power - it’s interesting to look at the history of the dollar as reserve currency.

This thing, this idea, was brought into being, first under the English currency, to facilitate trade. It’s meant to circumvent currency price fluctuations between particular nations trading with each other, to decrease the hassle and loss of profit. Its in a sense like a tarmac paving the road for smooth trade. This enables smaller profit margins and this facilitates mass production.

A strange and fatal logic following from this role of the dollar in the world is as follows:
Im order for the dollar to pave the markets of the world, it needs to flee the US.
The US, in order to fulfill its default issuing function, must spend more than it makes.
It must create a production deficit in order to keep flooding the world with dollars.
It was thus a necessity, when the US took on this role, that it would lose its industrial self-sustenance.

The people making the profits, Chinese, Arabs, whoever, take these dollars and invest them in the US stock market and real estate. Some say that this benefits the US economy, but in any case this economy, stocks and real estate, increasingly falls in foreign hands. As industries leave and debt is accumulated, the US population is offered up as a sacrificial cow to the global economy.

Irony upon irony is that a massive portion the wealth that the US still has is spent on military power that functions to protect the trade routes from which China and other producer countries benefit and from which the US as a nation suffers.

When Marxists or otherwise leftist economists accuse the US of holding on the a financial hegemony though this default dollar, and that the brave BRICS nations are trying top break free from this, they don’t see the picture clearly. China would perish as a producer nation if it was forced to issue a default to facilitate trade. China needs the dollar.

It seems to be true that various of such nations are seeking an alternative, now that the US seems to be bleeding dry. But it’s not going to be easy, as long as capital is being so clumsily and callously deployed, it will not generate the sediment on which trade can take on a more natural and life-conductive behavior.

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So Capital demanding to be expended, pressing to expend itself, requires ever new and often larger goals. But man is not imagining alive enough or healthy, sane enough come up with sufficiently great goals.

Such goals as would be proper to the current might of capital seem to be beyond what peoples hopes and courage permit them. Not imaginative enough: too scared of the Earth to attach the imagination to it. For most, imagination must mean ‘ethereal’, super-real, etc. The Earth isn’t good enough — i.e. it is too vast, too good, too far superior to our current collective humanity. Also it is too slow.

Huxley said the only pleasure modernity affords that is any goods speed (as in velocity, not amphetamines), which is fairly true (moviemaking, entirely different from moviewatching, is the only other I can think of) but a greater pleasure even will be a new slowness.

I was on my roof in the sun as I wrote this, as I am typing it out behind my computer inside, as the sun has set I can’t even connect to it anymore. That is the power of these machines, the discontinuum inherent in the digital. It would seem cubits, being probabilistic bits rather than hard ones, may remedy this. It is interesting that Google calls their quantum processors after trees and plants. Sycamore, Willow, Foxtail, Bristlecone. But this is very far from the type of investments I have in mind.

Life is community, and that is why the US is bleeding dry.

Relatedly:

Yeah, it seems so and so to you, quite amazing!
Now, did the ‘will to expend’ got created in 1602?

No, America is bleeding dry because of industries departing to the countries that profit from the dollar.

Work creates community. Requires education which creates community. Pays for houses and vibrant towns which form communities, with an active local economy which is community.

In many ways the US is still the most vibrant economy on the planet. Not just the tech industry. The amount of different goods you can get in a mid rage city still far outstrips what Im used to here and this is an extremely first world place.
Also the US is great at constantly rediscovering forms of community.

Speaking of expenditure for its own sake; study this guys work.

But. Lots of unemployment, decaying towns, which all challenges communities.
On the other hand places like this still have poetry to them, and a sense of individuality thats absent in most countries.

Community based on dogma from above vs community based on basic mutual interests and general love of freedom and country because it offers freedom, is different.
Some groups within the US have the best of both worlds.

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Jakob, I read the first half of your post. I have issues with big reading. I may be able to reply later some time.

Good to see you’re still here Dan.

I recently ran into a video about a philosophers camping ground we were apparently discussing, pondering possibilities for self-sustaining through growing tobacco and other fine crop. Seems optimistic in todays light, on the other hand we may just be distracted.

…profit from the dollar is the definition of life?

You started out talking about libidinal stuff, but ended here:

You’ve already admitted it isn’t our animal. It isn’t us. It is something to which we relate.

Either we tame it or it consumes us.

The poster boy for that object lesson:

@Jakob

The Chinese model is market socialism with the future goal of technological and transhumanistic automated communism. That is basically the entire modern Chinese point of view.

:clown_face:

I don’t think either of us knows the entire Chinese point of view and I doubt any individual Chinese does.
Capital as well as international politics enforce their own type of goals and administrators accommodate. Its up to philosophy to master any of this and a question whether it is up to that task.

The US has a philosophy dead set against concentration of power behind it which, at least in part, guides the expenditure and the consolidation of capital. I don’t know what the Chinese adaption of Marxism really constitutes, I do know they work with their own ancient principles in this.
All of it is just will to power, to be clear.
But will to power is never fully machine like.

To grasp a bit of the problem capital posits imagine you have to spend a dozen billion in a year, but you have to spend it on this website. You cant just give it away, you need to make sure that the capital keeps mobile. Obviously you need to redefine what ‘this website’ is.

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When I say the US seems to be bleeding dry (note: seems) I am talking about a nation state. So that is not literally a living organism. So not literally blood.

In economic terms, profit is life-blood.
A business needs profit.
I mean at this level I hope you’re still with me.

I got a vision of this site yesterday, about it not having any actual thinkers, just people yelling ‘hurr durr durr’ essentially, balking at the sensation of the proximity of thought.
I think thats not entirely accurate.

Capital can be metaphorically indicated as an animal because of its libidinal nature.
It is a wild animal and various powers make various efforts to control it, to have it work for them.

In simple terms, yes. But taming is very dangerous, as it does consist of private businesses. To just cut off its freedom entirely means immediately to choke off private business, and kill a lot of humans. Its a very difficult task to bring this under control.

My ideas of controlling it is not simply tantric regulation like the Chinese do, but to actually extend the conception of the organism it represents. Only philosophy can do this and, ironically (in my view), only Nietzschean philosophy. In this sense:

"Remain true to the earth, my brethren, with the power of your virtue! Let your bestowing love and your knowledge be devoted to be the meaning of the earth! . . . Let it not fly away from the earthly and beat against eternal walls with its wings. . . . Lead, like me, the flown-away virtue back to the earth—yes, back to body and life: that it may give to the earth its meaning, a human meaning!” - N, Thus Spoke Zarathustra

We still have to discover that meaning. I would say create, but what I see is that much of that meaning is already there, as seed, hidden in the past.
This strangely ties into a social-psychic knot that we as modern westerners are caught up in and cant seem to get beyond.
To hint at it, the animal-likeness of Capital may actually be a guide here.

no, ¬ really

Native Americans (indigenous folk) traded and didn’t waste anything. We should go back to that.

This is more of an anthropomorphism/animism than theists are accused of. Reminds me of Hobbes’ Leviathan. But it’s really just a way to shift responsibility onto The They.