Online Companies Like Facebook Have Created a Meaningless Economy, says Douglas Rushkoff

  1. Very interesting point of view, the truth is that the internet has given people the power to choose where they spend their time, a few decades ago people would obliviate on T.V., radio, etc… I do not believe that the internet is a major player that causes unemployment, it only makes businesses more efficient and dramatically drops prices of goods and services. I.e. Netflix, a few decades ago we had to go to a Blockbuster, rent a physical liability that would be outdated and, we had to spend time and much more money to watch a movie. Nowadays we can choose whatever we want for a fraction of decades ago price. And where does this extra money goes? Into the physical economy, you have mentioned, land, labor or capital. You need to realize that there is no difference between the real world and the internet. When you walk in a Mall, shops displays can be perceived in 3D, however, they are beams of light interpreted by our ocular system. Lately with A.I. studies was observed that we humans have a very narrow focus range, our focus is only a few centimeters, all the rest is literally ignored. When an individual opens up their smartphone and swipe pages, he can see goods the same way that he does in a shop with lower resolution compared to reality. So Facebook, Google, Twitter, etc… is offering the people an opportunity to observe hundreds of items in. a fraction of the time needed if they had to go to physical stores, I believe my time is more valuable than anything else and buying on the internet is a great deal, plus this generates a physical outcome, shipping companies are growing exponentially since the beginning of internet because of the internet. Etc… But I respect your point of view, regards.

  2. The single best articulation and identification of the core cancer of our economy. Scary, but also hopeful.

  3. yeah we've had a few tech bubbles so far, and probably will have a few more, but this seems like an unavoidable way to try out a lot of models and then find the few that work, just like industrialization in the early 20th century, this bubble will pop, we'll get a few solid companies, lose so money, but society hopefully moves forward a little bit, and hopefully after that advertising rates will become more reasonable for higher quality, better targeted customers

  4. It’s as though we got addicted to sizzle and forgot the value of steak. We should be innovating new steak.

  5. The Internet became today what the streets and highway was for millennia, were biggest vendors will get the most public places, the markets and streets where they were positioned to sell the most merchandise, and they got richer and richer. For millennia, nations fought for trade routes, now the internet has become the new Trade Route, the new Silk Road, and if you are Facebook, Google, Amazon, Twitter, doesn't matter what your name is or where you come from, if millions of individuals are seeing you, visiting your site, clicking on your pages, liking them or no, then there´s value there, you can sell, you convert this "virtual foot-traffic" into sales, profits, returns.

  6. It would be nice if VC's gave funds to honest startups that actually need it instead of wasting it on ones that don't. That would create real wealth and lift everyone up. In my industry, pharma, billions of dollars are lit on fire because of con artists that have "the appearance of value" rather than the companies with the actual good ideas that would create value.

  7. Every time I hear this guy talk, I'm impressed. Finally an economist that values ACTUAL value creation. Think I'm in love.

  8. Not being negative but doesn't matter, labor it's being replaced by automatization in an exponential way in production and services. Capitalism cycles are like breathing, expansion, and contraction, each expansion is new technology, new laws, new social adjustment, better living, and health, we are living the contraction destruction, each expansion is more big government and more social, it starts with free and obligatory elementary education, in this expansion will be seeing free college and higher education financed by taxes, government institution about ecology and sustainability and universal basic income. Its change or die. The wealth it's about social if social collapse wealth loses its value.

  9. I'd argue that money is just data at this point. With 20Trillion in debt at a fed level and 18 Trillion or so in consumer debt (plus interest, crumbling public infrastructure), most created in the last 100 years, the data is clear how well this system works. Yet we are still caught up in the illusion that it does and can't quite figure out that it's not the answer.

    Modern Money is the titanic 2.0 post the iceburg 'bump' (when we started insane fractional lending and then unethered it from gold) , still looks impressively great, lots of great parties on the top deck,

    but still fatal flaws that will not keep it from sinking And now labor (mind/body tasks) has been shifting from human to tech to hybrid tech/human and only super skilled or unskilled (to hard/unaffordable for tech to do) which is eroding both sides so soon there will be very little humans HAVE to do in regards to the basics of food/water/shelter/transportation if we choose it.

  10. Its about time that facebook becomes orkut. Sooner or later, a new kid on the block will appear and wipe the slate clean – then – a new era will begin and same shit will happen all over again!

  11. Finally now we start talking about the ills of capitalism coz we know if we don't we are gonna have it…

  12. Who is this phony economist? Facebook had a revenue of $8 billion in last quarter and a profit of $3 billion. The phony economy is people like this guy who make money by saying made up things.

  13. People have money.
    Companies are valued by potential selling power.
    Facebook sells a lot, and so does Google.
    This video is stupid.

  14. Income inequality has rendered a demand-oriented economy more difficult. But there's this apparatus to sell things to people that needs to justify its existence when all they really need to do is make sure to vote for the right clown for president & approve of the wars we fight for our foreign allies.

  15. he is all over the place despite at the end where he has a sincere care of what's happening to the masses or those who are employed. facebook or google aren't different to what already happened in the past which is television/radio/magazines being run by advertisers and funded by companies. the root of the problem are the rich who influences the government to make them richer while the money lays dormant until they find an expense that makes them more money.

  16. Likes don't mean shit, go check out Gary V. on youtube. The old man is wrong, it's just a phase of change from how it used to be, to the new world. The world is currently in an industrial revolution not yet seen before. Don't be afraid of change lol. Companies who base their worth on likes or IPOs are going to fall really soon.

  17. Move atoms, not near-massless electrons and photons, if you really want the economy going. If you're not moving mass, you're not doing work.

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