Breaking Change: Supereconomics Equations

Table of Contents

We recently updated the Supereconomics in a Nutshell ebooklet with equations for the Four Laws of Value:

Supereconomics

Law 1: Exchangeable value is based on relational desire

V_A1 : V_B1

V_A1: value perception of identity A at time 1
V_B1: value perception of identity B at time 1

The ratio sign introduces the concept of relationality. The concept of metaphysical spin is within the identities A and B. This means the value is a result of interaction of spins. This can be extended to include C, D, E, and so on.

The time snapshot, as 1, represents the spacetime slice where the perceptions occur. This basic relational exchangeable value, based on demand, is called the nominal price. Both relationality and spin are core concepts in Superphysics which is the parent science of Supereconomics.

Law 2: Exchangeable Value goes from areas with high value to areas with low value in order to spread and remove the lack in society

F = (V_↑ - V_↓) / E

F: Flow or Force (such as the force of capital)
V_↑: high value perception
V_↓: low value perception
E: effort (toil and trouble)

Economic activity or flow is biggest when there is a difference between value-perceptions, and Effort is minimal. We call this difference as "primary arbitrage".

Economic flow is lowest when there is no difference between value-perceptions, and Effort is high. Effort is naturally lowest if it matches the dharma or purpose of the entity making the effort.

Law 3: There must be a balance in the creation and spread of value in an economy.

P = V_l1 + V_l2 + V_l4

P: Consolidated Price
V_l1: Nominal Price (Exchangeable Value from Law 1)
V_l2: Real Price (Exchangeable Value from Law 2)
V_l4: Market Price (Exchangeable Value from Law 4)

V_l3,t = V_li,t / P

V_l3: Natural Price over time (Exchangeable Value from Law 3)
V_li,t: Nominal, Real, and Market Price over time

This shows the natural price, which results from the balance of the demand, supply, and the logistics that connects supply with demand.

For example, the table below shows the economy growing by 1 unit each year. But it exposes an imbalance favoring market price at year 3. Thus, even if the consolidated price shows growth, the third law exposes market price as being unnatural -- it overfeeds the merchant class and starves the working class.

Year	Total Value of Economy	Nominal	Real	Market
1	10	3	4	3
2	11	3	4	4
3	12	2	3	7

Law 4: Value is transferred through fair exchange whether it be through money, barter, points, promises, etc.

V_l4,t = k • P_t

V_l4,t: Market Price as the actual value exchanged (markup, fee, or payment) at time t (Exchangeable Value from Law 4)
k (The Fair Exchange Coefficient): The agreed-upon "Markup" or "Service Fee" ratio. Unlike interest, k is a percentage of actual output, not a fixed percentage of a past debt. We call this "secondary arbitrage."
P_t: Consolidated Price as the total value of the economy or the individual's productivity at time t which includes Value from Law 1 and 2