 This is Gio, welcome to my channel. Now what I want to do in this video is do a follow-up to the previous video we put together for ASMR Math and Politics, where we talked about how interest rates affect our society and connected up that concept with differential accumulation and rate of return, rate of interest. We put a video out on that, it was a fairly long video, it was an hour and a half and I tried to connect up a whole bunch of concepts, giving examples and looking at data. We started off with the compound interest rate formula and we created a table of different rates of interest, accumulation of interest, accumulation of capital. From that table we created a graph and we showed that in the limit really if any person in the individual, in the organization, in the entity, in the country is accumulating interest at a higher rate than someone else, then in the limit whoever is accumulating a higher rate of return basically ends up owning everything, that's the way exponential growth works, that's the way compound interest works. And then we took that concept and related it to differential accumulation, the ideas presented in differential accumulation, not all of them but some of them, I try to put in as many of the ideas as I could, and from there we looked at how that affects our society and what the concept of differential accumulation tells us in a rudimentary level. Now I like the way that video came out, I like the flow of it and I like the way that it started off and how it ended. So what I ended up doing is forwarding that video with a quick little short message to Jonathan Nitzan, one of the people that's come up with the concept of differential accumulation along with, I'm sorry if I'm pronouncing these names incorrectly, but Shumsham Beshler and Jonathan Nitzan. So I forwarded the video to Jonathan Nitzan and just because I know in academia when you're putting forward an idea, it's really hard to keep track of where it's going and you usually can't keep track of where your idea goes, it's like throwing a rock and a pond and watching the ripples go out. So I thought he would be interested in this and to my surprise he replied back to me and he ended up watching the whole video I believe because he sent me some feedback regarding the video and what I want to do is share that feedback with you because I think it's pretty important and I think it sort of will tie in with some of the future work that we're going to do regarding the economics, the mathematics of economics, how we're going to deal with politics and create a whole series on the mathematics of economics which is going to be hopefully a module for math and real life in the language of mathematics. Now I forwarded the link, the video to Professor Nitzan, Jonathan Nitzan and he sent me some pleasant corresponding, just a couple of comments and whatnot with me thanking him for putting Jonathan and Professor Bessler for putting this idea forward because I think it connects up with a lot of the things that we see happening in our society, right? And Professor Nitzan had a couple of comments that I want to share with you and the first one is this. Now in the video, because we started off with talking about the rate of interest because we're talking about compound interest and stuff like this and we continued or I continued that phrase rate of interest all the way to the end and Professor Nitzan mentioned that I should have not just referred to rate of interest but I should have referred to it as a rate of return. So in the video when we transitioned from the compound interest rate and rate of interest and we graphed the different rates of interest, you know, someone accumulating interest at 5%, 2% or 10% and taking a look at the exponential growth on that. At some point, as soon as we start talking about differential accumulation, I should have changed the terminology from rate of interest to rate of return because we're not just talking about, as Professor Nitzan pointed out, we're not just talking about finance, we're talking about rate of return on anything, right? And that's more encompassing than rate of interest. So if you're watching that video or if you haven't watched that video, keep this in mind that it's not just the rate of interest that we're talking about but it's the rate of return and rate of return can be anything coming your way, right? And we see that through a lot of technology that we've, that has come into play in the last 15, 20 years or so with metadata or whatever it might be, as well as power that our present system gives to organizations or individuals or whoever it might be based on their rate of return, right, based on how much capital they've accumulated, right? So that's, you know, a phrase that you should keep in mind if you're watching that video. And the second one is the one that really got me excited about the next paper that Jonathan Nitzan and Shumshan Beshter are going to be putting out. Now I'm going to read you the comment that Professor Nitzan sent me in his email and I'm pretty sure it's okay to read this because it's sort of related to this concept, right? So basically this is, so this is what Professor Nitzan said in one of the paragraphs, okay? And I'm going to read this whole thing to you and I'm going to expand on this concept because this concept, previous to this, he did, through this actually, he sent me a link to an article, one of the papers that they had published, I believe this was in 2012, and he mentioned that they were going to be doing an updated article, an updated piece on this concept in the next few weeks or the next couple of months, so I'm really looking forward to reading that. So let me read you this paragraph in one of the emails that Professor Nitzan sent me, and then we'll expand on it, okay? My gas model is starting to, it should be ready in a few weeks, okay. So here's the paragraph, this is quoting Jonathan Nitzan, right? Two comments regarding your video. First, you refer mostly to the narrow concept of the rate of interest rather than the general concept of the rate of return. Although the math is the same, and although you note several times that the principle is general, the emphasis on rate of interest, the interest, the emphasis on interest rates might give the impression you're dealing with finance and banks rather than with every form of capital, right? Second, differential growth rates do not necessarily imply the concentration of all capitalized power in the hands of a single entity. The reason is that power is a dialectic process, it elicits its own resistance, and that resistance pre-orders the very underpinnings of power. See for example our 2002 paper on the asymptotes of power, okay. And the paper that he's talking about is this one, the asymptotes of power, and this is, you know, I spent the last few days reading through this and taking some notes and looking at the charts and graphs and stuff like this, right? And it's a good paper to read, and it's called the Asymptotes of Power, and I'll supply a link to this article in the video, as well as a more recent, I guess it was 2015 that it came out. I just finished watching it, or almost finished watching the whole thing, it's like a two hour plus sort of a lecture that's sort of summarizing everything about capitalist power, which they refer to as CASP, which is, you know, an extension of differential accumulation, where, well it's not really an extension, it's sort of together, where it's more broad talking about how our present system works, right? Now what Professor Nitzen implies with this comment, the second comment that he made, where he says, differential growth rates do not necessarily imply the concentration of all capitalized power in the hands of a single entity. The reason is that power is a dialectic process, it elicits its own resistance, and that resistance pre-orders the very underpinnings of power, right? Now just one comment regarding the previous video, I try to fit in as many concepts as I could regarding differential accumulation in that video, but I didn't cover everything because I would have to go through defining things, right? Two of the, or one of the main concepts that I didn't mention in that video was CRE-ORDER. Now CRE-ORDER is short form, it's a word, I believe, Professor Nitzen and Shim Shon Bachelors introduced. So CRE-ORDER you can think of as creating order, okay? And in our present capitalistic system, those who accumulate power at a faster rate than others, they create the order. Now the creating of the order, CRE-ORDER plays out in our society in many different, many different branches, many different fields. It basically encompasses our complete society, may it be through mainstream media, may it be through film, may it be through intellectual property rights, may it be through copyright, may it be through monopoly powers, may it be through food, control of food, may it be through control of transportation, may it be through control of academia, right? Every individual, every organization that has placed themselves who have been accumulating power at a higher rate than others, they've basically placed themselves in our current capitalistic system in the echelons of power, right? In the higher, if you think about it as a pyramid, they're at the top of the pyramid creating the order of our society, right? CRE-ORDER. Okay. That's a really important concept to appreciate because it implies so much, okay? So what Professor Nitzan implies that the entities that are accumulating power, right, at a higher rate than everyone else, as we talked about in the previous video, they become asymptotic relative to, you know, its exponential growth, and they dwarf anyone else that is accumulating at a lower rate than they are, right? So their rate of growth goes up like this and they become asymptotic, right? They just keep on going up, going up, going up like this. And asymptotes is something that we talked about in a previous video for the language of mathematics, right? Where we took a look at a function f of x equals 1 over x, right? And in mathematics, the one restriction we have is that we cannot divide by zero because as soon as we start dividing by zero, what happens is the universe basically explodes, the laws of mathematics collapse, or our understanding of what happens based on the laws of mathematics are undefined. We really don't know what happens at an asymptote. We really don't know what happens when we divide by zero. The only thing we can do in mathematics, when we come up with a situation where in the functions we are dividing by zero, what we can do is look at what the function does as it approaches the asymptote, right? For the video where we did, where we took a look at the asymptote, talked about the concept of the asymptote, we were talking about zero and infinity, we had the asymptote and on one side of the asymptote the graph was going up, I believe it's on the other side, on this side the graph was going up as we approached the asymptote from the positive x-axis, right? Going up exponentially to positive infinity and on the other side, the asymptote was going down to negative infinity as we approached the asymptote. So when Jonathan Nitzan mentions that form of capital second differential growth rates do not necessarily imply the concentration of all capitalized power in the hands of a single entity. The reason is that capital is a dialectic process. Dialectic process meaning that there's opposing forces to this accumulation of capital, right? It's not these entities that acquire all this capital, they try to create the order in our society, they create order in our society, right? They try to do that, but it's a dialectic force where there's opposing forces, right? One of the best examples that we have at present right now were in 2016 November, at the first week of November 2016 and this thing has been playing out for the last few weeks, few weeks is what's going on at the pipeline, standing rock pipeline, right? Where those who have been accumulating power for a long time, the oil industry, the pipeline industry, the energy industry, the fossil fuel industry, the policing industry, the Wall Street power really, they're trying to put a pipeline through a water supply, right? Through a zone which if there's any problems, right? With that pipeline, if there's any leakage, if there's anything that goes wrong, has the possibility of contaminating huge, huge area that people are dependent on for fresh water, right? As they're drinking water, right? As they're water of life, right? And as if you know, I'm a geophysicist, right? And I did 10 years of geophysical work and I've done a lot of work in the environmental field. That's basically what I focused on for a whole decade, right? I went up to Brian Pitts and, you know, we leaked out contamination and landfills and looked at pipeline leaks and stuff like this. And I can honestly tell you, I have never been to a Brian Pitt that doesn't leak. I've never been to a landfill that does not have plumes coming out of it. And as far as I know, the places I went to, there is not a single pipeline that does not leak, right? So these organizations, right? Wall Street organizations, new organizations that have been accumulating capital over the last few decades, right? That are choreoring our society, are meeting resistance from the people, right? And not just the people that are living in that zone, but people who have been affected with the same type of problems in other parts of the world, right? In other parts of the United States where a lot of them are dropping everything they do, and they're going to resist this pipeline coming through, right? That's what Jonathan Nitzan is referring to as reason that the power is a dialectic process, right? It elicits its own resistance. And that resistance pre-orders the very underpinnings of power. So what we are seeing right now is the resistance becoming more powerful and possibly reordering things, right? We're at present right now, the administration, the government has come on and said they might think about redirecting the pipeline. They're just going to see how things play out. So what they're implying is they're waiting to see how this resistance, how this conflict is going to play out and how it plays out is going to decide what the government's going to do, right? An extremely relevant example of what Jonathan Nitzan is talking about and going back to this paper that he sent, the asymptotes of power and the follow-up that they're going to do in the next few weeks. What they do in this paper is give examples of where our present economic system, our present political system is meeting, is coming up against their asymptotes and how that will pre-order our society into the future. How the present order that has been created based on those of accumulated power over the last few decades or last few centuries, if you want to think about it, how a lot of those areas are hitting their asymptotes or not hitting it, approaching their asymptotes at a fairly fast rate and growing, growing, growing where we're seeing, I forget what the stats are right now plus 1% of the world of people in the world control more than 99% of the people in the world or 0.01% controls more than, has more wealth than 50% of the world, right? So they're hitting their asymptotes and what Jonathan Nitzan and Professor Shimon Beshler are mentioning is that the dominant capital right now in our society and dominant capital is the other term that I didn't cover in dominant capital is basically our present economic and political system. Those institutions, those individuals who have been accumulating capital over the last few decades and some centuries, right? Dominant capital has pre-ordered society but they're meeting resistance, they're meeting their asymptotes. And if you recall in some of the other videos where we've talked about this, where if you wanna see how the dominant capital with the order that they've created in society is approaching asymptotes to a level where all of a sudden something clicks, right? And the order in society changes. What you wanna do, if you wanna get a good example of some of the places that this has happened throughout history is read some of Chris Hedge's work where specifically the book that we've talked about a few times, maybe through how to read a textbook and we talked a little bit about this politics is days of destruction, days of revolt. And Chris Hedge just gives examples where the order in society, everything seems to be business as usual until something happens where there's a huge paradigm shift and all of a sudden the dominant capital loses complete control over the society and a whole new model comes up, right? And one of the best examples, and I've watched a few Chris Hedge's lectures and read some of his articles and days of destruction, days of revolt and he always mentions this is, I believe it was in Poland or Czech Republic is one of the Eastern European countries where there were people demonstrating in the streets and the dominant capital, those in power in government gave the order for the military, for the police to fire on the demonstrators, right? With live bullets and the police refused and as soon as that happened within days the people in power lost complete control. The whole society was reordered, right? There was a brand new, right? As Professor Nitzan mentions, the reason is that power is a dialectic process, right? It elicits its own resistance and that resistance pre-orders the very underpinnings of power. And that's sort of as far as I wanna take it when it comes to the politics aspect of things. But I wanted to share this extra info regarding the previous video and my conversation that I had with Jonathan Nitzan and thank him for providing the sort of the corrections I guess to the video that I put out or the additions to the video that I put out. I will supply the links to capital as power website in the description of the video as well as to this article that I read in regards to the asymptotes of power, which is sort of providing some data, some analysis of sort of showing us that a dominant capital, our present political economic system is coming up against this asymptotes and we're not really sure what's going to come out of this, right? What's going to happen on the other side of the asymptote if we continue the function, right? As time progresses, right? Because time is one directional moving this way. So as we come up towards the asymptote, how is this asymptote gonna play out? Is it gonna be coming down like this where dominant capital is gonna give up a lot of its power, right? To create order or society? Is it gonna be a smooth transition into a more, well, let's say different system or is dominant capital gonna start off down here and try to build up capital again? Is it gonna be a complete restructuring of our society with a certain amount of reordering, hopefully peaceful reordering within our society, okay? So I'll supply that link to that article as well as well as the most recent lecture that I found online from Jonathan Nitzan where they're sitting down and talking about capitalist power, differential accumulation, a pre-order in our society, basically. And it's a really good little discussion. It's a long, long video, two plus hour video and it's well worth watching. And that, you know, should those links should give you a direct view to the right places if you wanna follow this concept more and we will follow this concept more in the future. And we'll see where it leads us, right? And we'll take a look at some of the more recent events that are happening in our society, one of the places being at Standing Rock right now where, you know, there's a pipeline coming through and there's resistance, right? There's resistance, right? And we'll see where that leads. The governments already come out and said, they're gonna wait to see how the things play out, right? That's, you know, dialectic process. That's it for now. I just want to give you guys an update and follow up regarding the previous video and just pass on, act as a node really and pass on the additional information that Jonathan had said and shared. And I thought for those of you who are interested in this, you'd appreciate it and there will be links in the description of the video that will take you to Capital's Power website and a paper and a lecture where you can, you know, if you're interested in this, you can follow this up a little bit more, okay? That's it for now. I'll see you guys in the next video.