Prof. Dr Nikola Charakchiev
Bulgarian Scientific Center, Chicago
the Sixteenth Session of the Bulgarian American Association
29 April 2012, Chicago
on the occasion of the opening of
the Bulgarian Days in Chicago: Spring 2012 Festival
The material has been presented according to a specific and original method. We accept that the trends in this study are more important than facts and logic. The negative leitmotif aims to motivate positive solutions.
The world appeared 13.7 billion years ago after the Big Bang. We will call this moment the First Cosmic Period. After the Big Bang, an expansion of the Universe started, and this period was the Second Cosmic Period with supposed duration of 30 billion years. The contraction of the Universe can be considered as the Third Cosmic Period. After the Third Cosmic Period, a repetition of the cosmic periods began.
Mankind can be classified according to various factors. We suggest a new classification of the development of mankind based on a Market Factor (Table 1).
Development of mankind according to a market factor
Development of mankind
First: Natural Period
Second: Market Period
5 000 000 B.C.
10 000 B.C.
5 000 000
Poor and Medium vs Rich Ratio
Life expectancy, years
Up to 150
Up to 1500
First period in the development of mankind
The Solar System and the Earth were formed 4.6 billion years ago. Life started to appear on Earth around 4 billion years ago, the first fossils uncovered so far dating back 3.5 billion years. Approximately 5 million years ago, hominids, our first ancestors, appeared. Hominid evolution passed through our ancestors Australopithecus, Номо habilis, Homo erectus, Homo neanderthalensis, to reach modern man called Homo sapiens – a reasonable, cultured man. The first uncovered fossilized remains of Homo sapiens in Africa date back 142,000 years. In primitive society, man was effortlessly satisfied with the food provided by nature. Man spent the best part of the day searching for food and eating it. We will mark the first five million years of the existence of reasonable man on earth as the First, Natural Period in the development of mankind.
Second period in the development of mankind
The second period in the development of mankind consists of stages reflecting the most characteristic functional factors in its development.
Perhaps due to natural reasons (a change in climatic conditions, migration, etc.), man began to possess food which could be accumulated, i.e. stored. The so-called ‘Surplus’ was formed. This can tentatively be dated to around 10,000 years B.C., or the time of the so-called Neolithic Revolution. The salutatory development of mankind started with the appearance of the Surplus. The Surplus created the need for an Exchange of Valuables and the function called Trade appeared. Trade probably came into existence around 6,000 years B.C., and was first based on a (barter) principle of exchange of goods. Trade was carried out through or at the so-called Markets. The appearance of markets marked the beginning of the second, so-called Market Period in the development of mankind. Trade and markets formed the so-called First, Barter Stage in Mankind’s Market Period.
Trade demanded a criterion (equivalent) for a valuable, hence present-day metal and paper ‘Money’ came into being. Modern money appeared in Mesopotamia around 3,000 years B.C. Money is a medium given and taken as payment for goods, services, debt, etc. in a certain socioeconomic system. Today money moves at the speed of light and is the mightiest financial, political and social force in the world. It creates new world elite having no loyalty to any particular country. The ongoing revolution of electronic money promises to enhance its role in man’s life. Money is a new kind of energy that society cannot function without. This is the first (with no analogue in nature) artificial energy created by reasonable man.
In order to store and work with the money, Banks and Banking Institutions came into existence. Some elements of banking appeared over 4,000 years ago. The first banks were created in Asyria and Babylonia around 2,000 years B.C. The word ‘bank’ is of Italian origin, meaning a table on which money was exchanged or counted. The first modern-day bank is believed to have been opened in Genoa in 1407 under the name of Banco di San Giorgio. The first bank in the USA dates back to 1772. Today the world cannot exist without banks. Significant progress in financial operations started with the appearance of the so-called debit and credit cards. The first credit card was issued by Diners Club International in 1950. Money and banks started the so-called Second, Monetary Stage in Mankind’s Market Period.
Money gave rise to the feeling of Power thereby enabling the formation of Absolutism (Absolute Rule) and the emergence of persons called Rulers. The term ‘absolutism’ was first used in ancient Greece in Plato’s works (around 400 years B.C.). The emergence of Rulers marked the beginning of the Third, Corporate Stage in Mankind’s Market Period.
A Ruler’s fear of losing the level attained generates new, protective functions in him, such as Greed, Rapacity, and others, not always qualified by him as negative. Greed can be regarded as a pathological condition. Rulers are victims of greed and suffer from the so-called Comfort Greed, whereas a large number of other people are only Victims of Greed and suffer from a disease called Greed Problems.
Greed generated the appearance of the Protesting Man. Greed removes the values established in society. Generally, the only sustainers and guardians of society’s moral values are still Religions, God’s ideology in particular.
Rulers govern corporations. The oldest, and still existing, business corporation in the world is Swedish Kopperberg (currently, StoraEnso) founded in 1288. The first American industrial corporation was Boston Manufacturing Company set up in 1813.
Corporations unite into Mega Corporations. Dutch East India Company was the first mega corporation established in 1602. Mega corporations unite to form Movements, Streams, Flows, Avalanches, Parties and participate in the so-called Global Actions. With the expansion of Global Events, the Fourth, Global stage in Mankind’s Market Period begins.
During the Fourth, Global Sstage in Mankind’ Market Period, World Markets consist mainly of investment banks, insurance companies, pension and hedge funds buying and selling four basic types of assets: currencies, stock, government bonds and derivative products.
The Global Stage has control mechanisms that no individual country has. Therefore, the numerous meetings of representatives of the so-called Great Powers are problematic. Today we can accept, under certain conditions, that the world is governed by Markets with the help of instruments called Market Instruments.
The world today is entirely dependent on the exchange of the so-called surplus. If there is no exchange, mankind cannot meet its everyday needs related to its existence, and can start declining, i.e. it cannot do without markets. Markets cannot function without money. Money gives rise to new functions and new market control instruments. The increased competition between corporations demands new market instruments. Market control instruments include different forms and degrees of Greed, Rapacity, Extortion, etc.
Greed generates the need for a World without Restrictions (Everything is possible, everything is admissible, everything is permitted.). The world without restrictions degenerates into a form of Deliberate Anarchy which can trigger society’s degradation and destruction. Elements and mechanisms for controlling a World without Restrictions today are some above-mentioned products called Extreme Power Instruments ranging from a degree called Humane to a Genocide degree. It can strongly conditionally and tendentiously be accepted that in the presence of Deliberate Anarchy, Credit Bureaus can be a nuance of the initial phase of Humane Extortion, Receivables Collection Agencies can turn into an initial phase of Humane Racketeering, and Banking Institutions can unintentionally show an initial phase of Humane Fraud. In trade, there is the well-known phrase: ‘A fool will always be duped – why don’t we dupe him first?’ Extreme Power Market Instruments are frequently used profit mechanisms. To curb these trends, special software programs for identification of the probability of fraud, extortion, etc. have been developed. The most frequent users of these products are insurance companies.
During the Global Stage, mankind starts gradually adapting to the so-called Humane Negativism. The absolutization of some goals in some countries in the world can lead to the so-called Humane Selection, and according to some authors, even to Humane Genocide. ‘Humane’ because the goals are noble; ‘genocide’ because some elements known and used in the initial phases of genocide are applied.
Markets require that trade, services, production and consumption function rationally, optimally and sometimes cruelly. Groups of individuals who have predominantly consumer functions are not of interest to markets. A selective approach to people begins to form. Different forms of genocide start to be legalized and developed. It is well known that there are several kinds of death: mental, physical, creative, productive, etc. For a certain part of Rulers, man is only interesting up to the time of his/her creative or productive death. After that, man is almost needless. This is how the beginning of humane genocide is set, and then its limits expanded.
Modeling of economic systems
Science and practice have mathematical means of modeling economic (and social) systems. There are still some difficulties and it is hard to achieve adequacy between real systems and the model, but with the so-called first approximation (in object linearization) the system movement directions can be established. Round the mid 60s of the 20th century (1963), Serbian scientist P. Kokotovic developed the Theory of Structural Sensitivity. According to this theory, in a System of units there is a unit having a parameter that has the strongest effect on the result (output) of the system. Using the structural sensitivity method, it is easy to find (or artificially create) the unit and its ‘most sensitive parameter’ which exerts the strongest effect on the system’s final result. For instance, if world economy is modeled today and the method of structural sensitivity is applied, it is possible that the unit called Credit Rating Agency and its parameter, Rating Grade ranging from C to AAA, may be found to have the most significant effect on world economy. Each of the rating agencies popular worldwide, i.e. Standard and Poor’s, Moody’s and Fitch Ratings can do that. Leading experts say that the files of rating agencies are huge piles of wrong forecasts. Unintentional or deliberately wrong? Deliberately wrong forecasts aim at the economic collapse and dependence of small and weak countries.
So, a group of people (or one very knowledgeable, able and motivated individual) can model the socioeconomic system for our planet, and possibly rule the world using mathematical methods. Just one person, at any time and in the manner chosen by him/her. Fantastic, but also infinitely tragic.
During the Fourth, Global Stage, the state’s governing role will be decreasing gradually and this function will be taken over by the administration of global markets. The state will only play a supporting administrative role. Elective state bodies will gradually be replaced by managers and elections will lose their significance. There will be a gradual transition to expert governments appointed by the global stage managers. The fourth stage gnoseology is controversial, i.e. is the global stage a set aim or a natural consequence of the corporate stage?
The global stage gradually conquers the world. Global stage control gradually passes from a group of Rulers to one, Absolute Ruler. The Absolute Ruler’s appearance marks the start of the Fifth, Absolute Stage in Mankind’s Market Period. The Absolute Ruler has a monopoly on the absolute energy of Money, the government of the World and everything he would wish for. He has everything but tranquility since it is disrupted by the Protesting Man. With his protests, the Protesting Man unintentionally enhances the might of the so-called Humane Genocide used to guarantee the Absolute Ruler’s Comfort. Gradually, the Absolute Ruler remains surrounded by super robots. The fear of robots forces the Absolute ruler to constantly reduce their numbers. One day the last robot stops functioning. And peace settles on earth. This peace continues until the Universe is recycled, namely until the new Big Bang. (The Synthesizer is infallible one more time.)
1. For the first time, a new classification of the development of mankind based on a market principle has been suggested and a new model has been developed of the possible future development of mankind.
2. The development of mankind according to the Market Principle consists of two periods: Natural and Market Period. The Market Period is composed of five stages: Barter, Monetary, Corporate, Global and Absolute.
3. The most significant change in the development of mankind occurred 12,000 years ago with the emergence of the so-called SURPLUS at the start of the Market Period.
4. The rate of change of mankind’s life during the Market Period accelerates in geometric progression.
5. The individuals governing mankind are gradually reduced and their quantity decreases.
6. Mankind gradually enters a new social order called ‘Global’.
7. The Global Stage is characterized by a centralized government of the world and reduction in the world’s population.
8. The economic laws valid in the 20th century have partial validity during the 21st century and need to be updated.
9. In its transition from the corporate to the global stage, market economy gradually turns from rational economy into destructive economy.
10. Life expectancy is constantly increasing.
11. The negative tendency in mankind’s development is expected to motivate positive solutions.
* The author is grateful to Nevena Georgieva and Prof. Dr Velcho Stoyanov for their cooperation in the creation of this material. The problems treated in this study can be developed in detail if there are interested institutions, corporations, investors and sponsors. Contact address: [email protected]
(a topic connected with Mankind: An Attempt at a New Classification)
In the development of mankind, there is a gradually emerging hypothesis of the existence of a super function guiding our lives. This is the hypothesis of the existence of a Synthesizer. ‘Synthesizer’ is a collective notion of super powers, such as Nature, God, Lord, Creator, Intelligent Design, and other, still undefined notions. Even if no such function really exists, its introduction enables an explanation and prediction of mankind’s development similarly to the mythical Higgs boson in physics.
The Synthesizer needs to be accepted as an actually existing notion having functions close or parallel to the notion of the Creator, which has been familiar to us so far. The Synthesizer cannot be seen but he endeavors to make the world harmonious and consistent. The Synthesizer’s main goal is to monitor and accomplish the normal world cycle. The world appears, develops and dies. This cycle continues periodically and endlessly. Nowadays we can see discrete elements of this cycle: the Big Bang, Stars, White and Red Dwarves, black holes, etc. To accomplish this cycle, the Synthesizer makes sure that time runs in one direction, from the past to the future, and does not allow it to run backwards. The Synthesizer is only interested in the direction of the world, not in the details. All other actions in the world are resultant and self-adjusting, and most probably, they are not an object of interest for the Synthesizer. The Synthesizer’s major and most important function is the recycling of the Universe.
Professor Stephen William Hawking said: ‘God exists but there has been no evidence that he interferes in our lives.’ (Later, Hawking expressed his doubts about the existence of God?) We suppose that the Synthesizer exists but he interferes in our lives by stabilizing the Universe and not allowing the world (mankind) to develop backwards in time.
Priority since 10 January 2012. File: Ch-GR8t
Note: The material presented herein is in an ‘offer format’ and may be difficult to grasp on a first reading. An explanatory section is being prepared for addition to this material.