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Gabital - Fantasy Capitalism 101: #36 Cooperative (hexbear.net)

submitted 1 day ago* (last edited 4 hours ago) by Awoo@hexbear.net to c/memes@hexbear.net

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Cute Russian comic. The home of the official English version is here if anyone wants to skip ahead (or support them): https://boosty.to/gabiconomics-en

Cooperative(usually abbreviated to co-op) is an "autonomous association of people who voluntarily join together to meet their common needs in a democratically controlled joint venture". There's more than one type of co-op in economics; in our case it's a worker cooperative: simple workers joining together in a democratic fashion to alleviate business hardships while fairly distributing the rewards.

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[–] vovchik_ilich@hexbear.net 6 points 18 hours ago (1 children)

In the chart, "net income" is capital revalorization? As in, reinvested in increasing capital?

[–] Awoo@hexbear.net 3 points 17 hours ago (1 children)

They needed to save up for stockpiling wood before because they couldn't buy it at scale for discount, so I think it's safe to assume they're building an account for the shop so when they do need it to do things they have money ready.

Also it's almost exactly half after materials and rent.

[–] vovchik_ilich@hexbear.net 5 points 17 hours ago (1 children)

Yeah, I see. This shows also one of the main points of failure of coops in capitalism: lower salaries mean higher capital revalorization and higher future investment capabilities, so companies exploiting their workers more can use this extra capital accumulation to outcompete coops

[–] Awoo@hexbear.net 2 points 14 hours ago* (last edited 14 hours ago) (1 children)

Very good point, maybe some of this will come up. I think however that money is usually being pocketed by shareholders and executives instead of workers. But they have the capability to pay less and do that to compete at the most ruthless level if they have to.

[–] vovchik_ilich@hexbear.net 3 points 12 hours ago

Thing is, shareholders can do both. Exploiting your workers more and expanding capital revalorization raises stock value because it increases expected returns in the future