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[projectvrm] System D


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  • From: Doc Searls < >
  • To: ProjectVRM list < >
  • Subject: [projectvrm] System D
  • Date: Sat, 5 Nov 2011 22:31:24 -0400

Anybody ever heard of System D?

It's the underground economy. Off-grid. Big in places where commerce is
personal and taxes are avoided. "Unlicensed bazaars," for example.

See here: <http://bit.ly/tEXJhL> An excerpt:

> System D is a slang phrase pirated from French-speaking Africa and the
> Caribbean. The French have a word that they often use to describe
> particularly effective and motivated people. They call them débrouillards.
> To say a man is a débrouillard is to tell people how resourceful and
> ingenious he is. The former French colonies have sculpted this word to
> their own social and economic reality. They say that inventive,
> self-starting, entrepreneurial merchants who are doing business on their
> own, without registering or being regulated by the bureaucracy and, for the
> most part, without paying taxes, are part of "l'economie de la
> débrouillardise." Or, sweetened for street use, "Systeme D." This
> essentially translates as the ingenuity economy, the economy of
> improvisation and self-reliance, the do-it-yourself, or DIY, economy. A
> number of well-known chefs have also appropriated the term to describe the
> skill and sheer joy necessary to improvise a gourmet meal using only the
> mismatched ingredients that happen to be at hand in a kitchen.

Sounds VRM friendly to me.

More:

> ...System D is on the rise. In the developing world, it's been increasing
> every year since the 1990s, and in many countries it's growing faster than
> the officially recognized gross domestic product (GDP). If you apply his
> percentages (Schneider's most recent report, published in 2006, uses
> economic data from 2003) to the World Bank's GDP estimates, it's possible
> to make a back-of-the-envelope calculation of the approximate value of the
> billions of underground transactions around the world. And it comes to
> this: The total value of System D as a global phenomenon is close to $10
> trillion. Which makes for another astonishing revelation. If System D were
> an independent nation, united in a single political structure -- call it
> the United Street Sellers Republic (USSR) or, perhaps, Bazaaristan -- it
> would be an economic superpower, the second-largest economy in the world
> (the United States, with a GDP of $14 trillion, is numero uno). The gap is
> narrowing, though, and if the United States doesn't snap out of its current
> funk, the USSR/Bazaaristan could conceivably catch it sometime this century.
>
> In other words, System D looks a lot like the future of the global economy.
> All over the world -- from San Francisco to São Paulo, from New York City
> to Lagos -- people engaged in street selling and other forms of unlicensed
> trade told me that they could never have established their businesses in
> the legal economy. "I'm totally off the grid," one unlicensed jewelry
> designer told me. "It was never an option to do it any other way. It never
> even crossed my mind. It was financially absolutely impossible." The growth
> of System D opens the market to those who have traditionally been shut out.
>
> This alternative economic system also offers the opportunity for large
> numbers of people to find work. No job-cutting or outsourcing is going on
> here. Rather, a street market boasts dozens of entrepreneurs selling
> similar products and scores of laborers doing essentially the same work. An
> economist would likely deride all this duplicated work as inefficient. But
> the level of competition on the street keeps huge numbers of people
> employed. It liberates their entrepreneurial energy. And it offers them the
> opportunity to move up in the world.


Thoughts?

Doc





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