The name form governments change with time.
But the Economic activity of Production -
Distribution - Consumption will remain same
as ever
There are four components of an economy. Any
economic Theory that targets only the profit
maximizing ignoring the :following will lead
to both economic disaster and social unrest
affecting the peaceful coexistence of people in
the society.
1. Well being of the People (who produce,
distribute and consume)
2. Safe and healthy Products (Goods &
Services)
3. Wealth (generated in a society) :
(a) Not distributed among citizen
(b) Diluted in value, by introducing Pseudo
products and pseudo services.
(c) The wealth leaving the society to other
societies both legally and illegally,
Economics Basics that every citizen should know
1. People
The Human beings in any economy are the
most important.
To understand the economics and its dynamics,
it is absolutely necessary to understand each
one component that too thoroughly.
In this chapter we will understand people in a
couple of dimensions.
1. Lowest
2. Moderate to low
3. High ( Dominant Wrong knowledge)
4. High (Dominant Right knowledge)
Why are we discussing knowledge?
Knowledge determines how one would live
on earth. The wealth health possession and
possession of an individual depends entirely on
their knowledge levels. If one would be a master
or slave, is determined by one’s knowledge
levels. The essence is, the economic and social
life is determined by one’s knowledge.
What makes one person different from others
is their knowledge levels. So we need to
understand knowledge. The details on how to
improve our knowledge so that we lead a life free
of poverty and slavery require more pages to
explain. That we will discuss in a book dedicated
to knowledge.
1. Anatomy of Economics
Learning & thinking are the two skills that are
required to acquire knowledge.
There is an e-book written exclusively on
Learning & Thinking, titled: “Knowledge.
Go, get it.
Ability to remember:
Ability to retain in memory and recalling them is a
basic requirement for a life. Nature has provided
lives with varying extent of this ability.
Those who have less are invariably very poor.
This ability can be improved so that we will not
be pushed into poverty and poor will shed his
poverty and slavery.
Further, for a successful life It is necessary for
us to remember the lessons that we learn
and retain the knowledge we gained through
efforts.
Knowledge 2 Types
Nature has provided lives with two types of
knowledge, in varying mix of:
A. Right knowledge, B. Wrong knowledge.
There are limitless knowledge both old and
emerging, that we cannot acquire in our life
time.
All the three play their role when a man acts
in a given situation giving different results for
different people.
Economics Basics that every citizen should know
Acting with right knowledge results in
constructive positive, and favourable life
situations. Acting with the wrong knowledge
leads to destructive, negative acts resulting in
unfavourable life situations. Actions with no-
knowledge is not possible. Such people act on
faith.
The faith could be God or some selected people
around them.
To have knowledge one should have the ability
to learn and think.
Knowledge levels and type one acquire
depending on their ability to learn & think.
Now will discuss four group of people with very
low to very high Knowledge in our society.
Grouping people Differentiated by
Knowledge
1. Men-of- Knowledge
They are the most knowledgeable in any
society. The world understand them them
as thinkers, philosophers, Saints, Sufis,
Sages, Zen Masters.
They do not play a direct role in Economy.
2. Highly knowledgeable.
People with higher levels of knowledge than
common man but far less than Men-of -
Knowledge.
1. Anatomy of Economics
Knowledge has two compartments namely,
Right knowledge, Wrong knowledge.
Right knowledge is useful for constructive
and, positive activities with pleasant
outcome.
Wrong knowledge, on the other hand , useful
for destructive and negative activities that
often leads to unpleasant situation.
There are two major group of people who have
more knowledge than common man, who are
middle class and poor in the socieity.
The first group of people with Dominant
Right Knowledge who run enterprises
big or small. They do not work for others on
wages.
They are capitalists.
(Special Classes of Capitalist are Crony
Capitalist and Global Capitalist)
The Second group of people with Dominant
Wrong knowledge form leaders of all shades
and all walks of life.
It Is natural that people with higher knowledge
dominate those with lower knowledge levels.
3. Knowledgeable
Common man identified as Middle class is
more knowledgeable than poor in the society.
They have sufficient knowledge to keep the
povery away from them. But not sufficient to
Economics Basics that every citizen should know
become a leader or a capitalist.
4. Poor in knowledge.
Poverty is the result of poor knowledge.
Exccept the Men-of-knowledge, every one is
chasing Wealth.
More knowledgeable corner most of the
wealth. That leaves those with very little to
no significant knowledge, to be pushed into
poverty, slavery and deprivation.
To Grow upwards, in the society, one needs to
acquire knowledge. So, the reader must know
all about knowledge.
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1. Anatomy of Economics
2. Grouping People
Differentiated by their
knowledge.
*People with Highest knowledge.
(But not part of an Economic System)
Those are, very few in every society with highest
knowledge But are not part of the Economic
System for the reason that they are not in the
race to corner the nation’s wealth.
They pursue the highest knowledge. The
knowledge of everything that is beyond the
“Sense perceptible world. ”
Thus, our discussion is limited to four class
of people, that are described in the following
pages.
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Economics Basics that every citizen should know
Four dominant animal minds
taking part In Economy
Introduction:
Not any two people are same in any aspect. But
yet, the entire society can be grouped into a
few based on one or the other aspect of life.
The reader may not dispute the fact that “it
is the knowledge that decide one’s poverty
and affluence”. The success and failure in our
pursuits is largely determined by the extent of
knowledge of the individual.
(Ideal Education system is expected impart
students the processes involved in acquiring
ability to Learn & Think, that is required for one’s
life needs. Needs of the People are varied and
1. Anatomy of Economics
the situation of each individual is also different.
The worst is that every individual has different
extent of abilities to Learning & Thinking.
The world of humans can be divided in various
ways to understand and help them. I have chosen
to divide humanity, broadly into four. The
division is based on the four animal character
that form the dominant part of Human mind.
(Read the e-book: The Mind of Man, An Animal
Farm) for a detailed discussion).
The four are :
(1) The Common man with Donkey Dominant
Mind.
They form the bulk of the members of any
society.
People with the Lowest ability in the society
to Learn & Think.
They are, for generations, born and live
poor.
They depend on others for decisions and
others depend on their for actions.
(2)
Donkey-Dominant-Minds
with
a
Difference.
A small group of people from among the
common man have significantly larger
proportion of Right knowledge with higher
knowledge levels than the rest of them who
are known to the world as poor..
Economics Basics that every citizen should know
These people have sufficient learning &
thinking skills that they can save themselves
from poverty and slavery.
They managed get some to some small share
of the nation’s wealth due to them that would
provide them the basic necessities of life.
(3) Fox Dominant Minds:
Characterized by higher knowledge levels.
Higher capabilities in learning & thinking
than the above two groups of people.
Fox, do not hunt their food. Runs along with
the lions and enjoys a small share of lion’s
hunt.
Fox-minded people, do not produce or
distribute products among consumers. They
work along with Capitalist and enjoy a share
of the profits made by Capitalist.
Greater levels of knowledge than the two
groups discussed above, but they are largely
Wrong-Knowledge.
(4) Lion dominant mind - among people. Who
have the highest knowledge in the society.
Like the Fox-minded people, they neither
produce not distribute.
They use their right knowledge to combine
both human and natural resources and
Produces wealth. They share the wealth with
Foxes and deprive the common man of their
1. Anatomy of Economics
dues.
For both Foxes and Lions, the common man is
merely a resource.
We will examine how these four groups contribute
to the economy and how the dynamics of their
knowledge impact the society.
Economics Basics that every citizen should know
1. People with
Lowest knowledge levels
“POOR”
• Learning, the first step to knowledge,
is repulsive for them. Fond of fun and
entertainment.
• That makes the poor to choose tasks that
require mostly Physical tasks that are tough
and tiring, high risk. Typically the Farmers,
artisans, drivers, porters, street vendors,
construction workers belong to this group..
• They are the most exploited in societies
and their due share of their society’s wealth
robbed by other three group of people.
• They Live always in the edge of the life and
the mostly the victims of nature’s fury.
1. Anatomy of Economics
• They are paid wages, when there is a work
to do. Any small subsidy on food, who cannot
afford to buy is decried as Anti-Economic
measure by Elite in the society.
• The poor, have the following weaknesses.
(A) Alcoholic drinks, There had been no
elections in India without a liberal supply of
liquor to poor.
(B) Give Undue importance they give to Caste
system. They Kill and get killed for Caste.
(C) They have leaders for every life
situations. One for Caste, another for
profession. And the list is endless They
follow their leader blindly. Here they can be
compared to Cattle.
(D) Film hero, playing pro-poor become
leaders in real life for them. They will never
realize that there are many people behind
the scene (such as story and script writers,
directors) who make what a hero looks on
screen. Many actors starts a second career
as political leaders, after their film career
ends.
(E) Ability to Remember - Insignificant. (The
leaders bank on poor for their survival)
(F) Take active part in political activities such
as public meetings, agitation,
(G) They are involved in all kinds of politial
violence. They are both perpetrators and
Economics Basics that every citizen should know
victims.
(H) They have very high imagination.
Imagination is a Power. Combined with the
power of thinking, it can make one strong
and successful. In the absence of thinking
abilities, it is a terrible weakness.
This power of imagination, is misused by
Leaders into making them imagine their
saviour. The capitalist make poor believe
that they delivering value for their product or
services which they really do not.
(I) The election seasons are favourable to
them when when they enjoy free flow of
money, liquor and food.
(J) They can be easily provoked using ethnic,
linguistic, caste and communal issues.
• They emulate Goats. Goats trusts a Butcher
rather than their well wishes.
Entertainment for people of this group!
Entertainment has a close relation to one’s
ability to learn & think (Knowledge).
Movies are produced to meet various sections
of the society. The movies for the poor would
have a formula-mix.
• Unrealistic Fighting sequences.
• Glamour and Dance sequence with least
dressed woman.
• Slapstick Comedy,
1. Anatomy of Economics
• Dialogues with double meaning.
• Hero playing a saviour of poor, promising to
eliminate poverty.
• An Old actor playing hero role, help the poor
& dance with girls rich and beautiful.
There need not be any story or a message in a
movie. Essentially, there shall be no aspect that
calls for “thinking” .
Criminals among the poor?
Evil People among the class Leaders use the
ignorance of the poor to commit crimes for
their monetary and political gains and shield
them from punishments.
This gives birth to a sub-class among the poor
who takes Crime as a profession.
The notorious among them are known
as Rowdy-sheeters. Paid-killers, drug
peddlers and extortionists are part of Crime
Syndicates.
The Poor, (when Grow in
Knowledge), become .............
Every one grows with time. Some grow more with
additional efforts and compelling situations.
The growth include their growth in knowledge
that changes their way of life, in social and
economic dimensions. The knowledge that
grows could be either the Right Knowledge, or the Wrong knowledge or both.
Economics Basics that every citizen should know
(1) Those ambitious and with reasonable
effort become learning enabled. With that they
achieve growth in right knowledge. Such people
seek Education for their growth in economic and
social status.
They become a middle class through education
and employment to white collar jobs.
(2) Those ambitious among the poor, with
muscle power and “mind block” that prevent
them Learning, seeks to become a leader.
Running enterprises, small or big is not a natural
choice of the poor. Running enterprises call
for lesser Wrong knowledge and larger Right
knowledge.
2. Moderate to low knowledge levels
MIDDLE CLASS
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1. Anatomy of Economics
Then comes the middle class, with a
substantially higher level of knowledge that
the poor in a society.
• This group of people have, in their knowledge
content, lesser proportion of wrong
Knowledge than the Right- Knowledge.
• That largely Right knowledge ensure them
freedom from poverty and slavery.
• They typically work in the society as teachers,
professors, clerks accountants managers in
government and private enterprises, doctors,
engineers, supervisors scientists Pilots,
• They know so much, not to trust or follow any
leaders.
• Typical Middle class do not get anywhere
near political parties in their meetings, party
sponsored agitation,
• Trust worthy among middle class are hired by
leaders to complement their short coming
in their Learning & thinking as legal advisors,
personal advisors,
• Typically leaders do not count the middle for
any role in the party politics.
• This class of people are fit for work involving
Letters & Numbers, Logical thinking,
Planning and almost anything that does not
involve physical efforts.
• Though paid low in the society, next only to
Poor, they ensure that have a roof over their
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Economics Basics that every citizen should know
head, three time meal and education for their
children.
• They are the wealthiest among common man.
There are people feeling insecure and fear
being pushed to poverty. They save for their
furture. So the business enterprises devises
techniques to rob them of their savings.
ENTERTAINMENT
Entertainment is an indicator of the Learning &
thinking capabilities of members of the select
group of people.
The second largest group of people in most
societies are the middle class. These people: