Nature assures the need for insurance. No sooner do you think you have it figured out than a catastrophe happens and you end up starting over. Insurance was invented by some smart guy to protect himself from the inevitable. Over time the insurance industry got very good at what it does and, for the most part, everyone benefited.
Fraud is the next inevitable force of man’s nature that has from the beginning of time assured the need for laws, there ought to be a law against that.
The third issue is contracts. You have something that I want but it is not moral or legal for me to take it. So We arrange an agreement where I compensate you and you give me what I am willing to pay for.
Social welfare is the fourth issue. If we all don’t do what is beneficial for our community it fails and each of us are harmed in different ways. The most extreme is starvation when the farming community is dysfunctional and conflict between various interests, which believe they have the right to kill, maim, and steal other people and their stuff.
In the world of the global mind nothing is different. The weather still changes, Men are dishonest, Legal issues still require contracts, and things fail which adversely affects the community and influences antisocial behaviors.
The dishonesty factor is a thing of the past. We all know who is lying and the moral and economic values of the community dictate the relative value of each member. Agreements are still important for the enrichment of society and the rewards are consecrated back to the community not by mandate but by faith and integrity. Technologically my needs are met in respect to my situation and circumstance. The global mind provides access to the available resources and limits excessive consumption as a function of the communities’ values. If you truly need it and it is available you can have it. This is an objective decision based on physiological feedback.
A community prospers if the resources are available and there are incentives for people to take a reasonable risk. This is where insurance play a pivotal part. If the outcome is occasionally negative but the endeavor is justified everyone in the community understands the value of covering the cost. The important aspect is that moral hazard also plays a part. If one of the community members takes a risk greater than is can be justified the cost is not covered and in fact a repayment maybe in order.
The challenge is not to fall into the trap of centralized planning and so-called government by experts. The value of risk and the potential for reward is embodied in each community. Those who are risk adverse migrate to and associate with each other. As a consequence as never before the also suffer the disadvantages of lack of prosperity. Not that they go hungry or suffer needlessly but their lives are relative to their willingness to take risks and support risk takers.
The risk takers don’t have to be in the same place they are associated by their willingness to participate either physically or monetarily. With each success the participants are rewarded. With each failure the participants are afforded the loss. The key is divestiture. No one group, organization, or enterprise can put at risk the greater community. This is a function of the global mind. Each individual, family, neighborhood, and community weigh in first by their historical preferences and then secondly by their conscious decision brought about by the global mind polling everyone that has an interest in the outcome. If the community and vested interests agree then the risk is underwritten. If it succeeds then that same community receives the benefits. Because each is related the concept of trickle down is applied and the concept of consecration is also practiced. This is possible because in a society where honesty and integrity is insured by technology a person’s reluctance to participate is alleviated and the consequence of a person’s propensity to lie, cheat, and steal is exposed to everyone.