Person A gives person B money for work that B for A. A –$$-> B
B passes the money on to person C for something that C is selling that B wants. B –$$-> C
That’s A-B-C economics.
We say that B is paid when A gives B money, but B is not actually paid until B gives C the money for the product C gives B. The product B gets from C is the pay for the work B did for A.
The problem with money today is that it does not state on it the value of the money, so A is not told how much money to give B, and C is not told how much money to charge B. So they all must guestimate.
Everything is regulated by time, except money. People are paid by the hour but it does not say so on the money. ‘Hour’ on money will tell A, B and C (who represent all of us) the actual value of our money.
My time for your time is fair trade. It’s that simple.
What do you think?
What effect does a system like this have on efficiency? In the of case Henry Ford, he brought the time to produce a car from months to hours. Lets say in simple terms 10 hours to produce a model T where previous methods took 100 hours. Under the capitalist system one could charge 50% less and society as a whole would benefit from cheaper transportation provided in a shorter time frame at a reduced cost. Just as the historic model points out. Under a pure time hour system would efficiency suffer where there would be little incentive to decrease your labor hours as that would be your only means of income?
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