Anarchism vs communism

[Friend of Mara]

Yes, USSR and China became the very thing Marx swore to destroy. It’s a very common sore spot among my lefty friends. I remember it being mentioned even in my economics class.
How did Capitalism become the model then? That was a sort of consequence (eventually) from the secular state becoming more independent, right? Moving away from monarchies and establishing liberal “freedoms.” Same hierarchies different name, oddly.
Ahh this is beyond my fuzzy comprehension.

Its really really really complicated to answer. I went into economics for two years before dropping out of that major to pursue history instead so I'm not an expert. I know just enough to think I know something and typically thats a dangerous spot to be.

So with that in mind a really really simplified explanation has to do with the advancing concept of debt, the invention of work and the standardization of liquid assets to represent wealth.

So because i'm so consistent I'll stat with the middle one. The industrial revolution made it so that we could make lots of **** really quickly. But we did so by having people work mechanized jobs. So one person used to just knit whole pieces of cloth. Now we have 10 ladies in a room full of machines and we make 100x what we were doing before. But a normal person can't "own" a textile mill. So someone had to pay them to come do the "job" rather than buy the product from a skilled producer. So the concept of labor comes into play. We had laborers before for things like ditch digging and what not. But now we have a major portion of the population who "works" for someone else. They profit off of the surplus labor of these individuals. Not to sound like a communist but that is a super important factor in capitalism.

Part two...debt. Debt based economies basically just mean that both debit/credit count as buying power. So someone can "buy" say a textile mill with no money down. Then they can make a massive profit to pay back the "debt". usually with interest. So now you get a sweet startup and free money from nothing. Deals and accreditation lube up the buying and selling of profit.

Part three...liquid assets. Now we have used money (silver, gold ect) for a long time. Bank asset notes (the forerunners of paper money) had also been in use for a while. But now that we have a rising debt economy and surplus labor the use of paper money and other liquid assets means that someone can hold CONSIDERABLE wealth without actually gaining anything. It doesn't turn into wealth until they spend it. Or they can invest and become a creditor yourself. So that you then can make money simply by giving this imaginary wealth to someone else and they make payments back in more than full to you. More or less this is the total basis of the stock market today.

Anyway all this together made it REALLY easy for markets to move with lighting speed never before seen in the world. And the less centralized an economy is the more fluid and flexible it is. So long as there is growth in the economy it will prosper.

Negatives however are that there are looser in the economies now. Oh and the fact that they need continual growth was only made possible by colonization. Not the first economic system to use colonialism (that was the ****ING basis of mercantilism).