- 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:
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System D is a slang phrase pirated from French-speaking Africa and the
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Caribbean. The French have a word that they often use to describe
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particularly effective and motivated people. They call them débrouillards.
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To say a man is a débrouillard is to tell people how resourceful and
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ingenious he is. The former French colonies have sculpted this word to
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their own social and economic reality. They say that inventive,
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self-starting, entrepreneurial merchants who are doing business on their
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own, without registering or being regulated by the bureaucracy and, for the
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most part, without paying taxes, are part of "l'economie de la
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débrouillardise." Or, sweetened for street use, "Systeme D." This
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essentially translates as the ingenuity economy, the economy of
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improvisation and self-reliance, the do-it-yourself, or DIY, economy. A
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number of well-known chefs have also appropriated the term to describe the
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skill and sheer joy necessary to improvise a gourmet meal using only the
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mismatched ingredients that happen to be at hand in a kitchen.
Sounds VRM friendly to me.
More:
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...System D is on the rise. In the developing world, it's been increasing
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every year since the 1990s, and in many countries it's growing faster than
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the officially recognized gross domestic product (GDP). If you apply his
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percentages (Schneider's most recent report, published in 2006, uses
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economic data from 2003) to the World Bank's GDP estimates, it's possible
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to make a back-of-the-envelope calculation of the approximate value of the
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billions of underground transactions around the world. And it comes to
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this: The total value of System D as a global phenomenon is close to $10
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trillion. Which makes for another astonishing revelation. If System D were
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an independent nation, united in a single political structure -- call it
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the United Street Sellers Republic (USSR) or, perhaps, Bazaaristan -- it
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would be an economic superpower, the second-largest economy in the world
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(the United States, with a GDP of $14 trillion, is numero uno). The gap is
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narrowing, though, and if the United States doesn't snap out of its current
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funk, the USSR/Bazaaristan could conceivably catch it sometime this century.
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In other words, System D looks a lot like the future of the global economy.
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All over the world -- from San Francisco to São Paulo, from New York City
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to Lagos -- people engaged in street selling and other forms of unlicensed
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trade told me that they could never have established their businesses in
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the legal economy. "I'm totally off the grid," one unlicensed jewelry
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designer told me. "It was never an option to do it any other way. It never
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even crossed my mind. It was financially absolutely impossible." The growth
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of System D opens the market to those who have traditionally been shut out.
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This alternative economic system also offers the opportunity for large
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numbers of people to find work. No job-cutting or outsourcing is going on
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here. Rather, a street market boasts dozens of entrepreneurs selling
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similar products and scores of laborers doing essentially the same work. An
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economist would likely deride all this duplicated work as inefficient. But
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the level of competition on the street keeps huge numbers of people
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employed. It liberates their entrepreneurial energy. And it offers them the
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opportunity to move up in the world.
Thoughts?
Doc
- [projectvrm] System D, Doc Searls, 11/05/2011
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