Divirtualigente I4.0

The Industry 4.0 era

Divirtualigente I4.0 model of technology and digital progressive transformation vs. Polarized Economy by COVID-19 (VII)

COVID-19 has revealed the Polarization economic model, consequence of the productive, economic and social crisis; identify by Admexus investigations. This Polarization model have two classes. The first class corresponds to “Planning Economy” and the second to “Market Economy”. Both classes contain similar and unequal elements, which seem to behave differently, however, in real the behavior is similar, evident on the following table.

The Admexus research demonstrates an analogous behavior between the Planning and Market economy through a common denominator, which is identified by the management, distribution, control and accumulation of money, resources, goods, reserves and value added. An example of this common denominator is "private money" and "social money" displayed in red color on the table. Both seem to be antagonistic, but in realism, they have the same merits. This affirmation is demonstrated by the behaviors of a person, people or organisms that subjugate the management of money, resources, reserves and the collection of creation of value added by the productive processes and / or individual work efforts. This procedure has identified as "Polarization Economy"; when one pole represents the monopolization of richness, while the opposite pole represents the insufficiency money and poverty. This polarization model is support by concurrent and divergent nodes, functions and forces.
Even more, the "Polarization" economy establishes a static flow and intensity strength differential between the poles. This is a consequence of small or almost zero money flux between extremes. To reactivate this money flow and intensity differential, it is sets standard practices like: economic support, loans or financial provisions among others. These actions seem a good idea, however, their long term success results are just temporary because the differential outcome from low flow and small monetary intensity are increasing every time that the cycle appears. The polarization economy generates additional distance and extreme poverty in every period that acts.

Divirtualigente builds a disruptive economic model, called “Flow Economy” with the aim of offsetting the effects of polarization economy. These flow economy encloses the class definition of "Progressive Economy", which principal task is to eliminate the poles, implement improvement actions and develop value added. The model progressive economy is built by new innovative ideas, disruption concepts, technologies and digital elements. The main purpose is creating value added, circular market, digital flow, collaboration under competencies and other sufficient and necessary actions. The focus is to meet key objectives of polarization reduction, leveling, independence, productivity, economic, political and social stability.

In the following articles, the topic of flow economy and its progressive class will be explain in detail.

Author: Octavio Fernández Divirtualigente I4.0 President Mexican Association I4.0