seeing a change taking place in the world about us that creates a need that is also an opportunity for evolving an effective adaptation to that change
The evergreen theory of investing in enterprise cash flows, directly, begins with a model of the economy as an expanding universe of intellectual and interpersonal connections between people for doing work and sharing wealth that is more or less constantly being reconfigured as times change, and people make prosperous adaptations to life’s constant changes, adding new connections to new and better choices, and letting others go.
The fundamental building block of this economy is technology, in the authentic Greek meaning of the word, as practical knowledge of how the world about us works, and how we can change the way the world works to make it work more a way we choose. The use of technology almost always requires a concentration of effort. It almost always produces a surplus of artifacts – in the anthropological sense of the word, as the work of human hands – in excess of what is needed by those who do the work to effect their own, individual choices. This surplus can be traded with others for the surpluses created by their efforts, and voila! We have an economy, in which many can live much better, together, than any one individual can ever hope to live acting entirely on their own.
All technology is provisional, suited to the circumstances, but subject to change as the circumstances change.
And the circumstances are always changing, not the least because we change them, when we make use of our technologies.
This is the true story of human history, and the real engine of our prosperity, through change, and evolutionary adaptation to change.
It begins with enterprise, and enterprising individuals, who see the way the times are changing and also see the way new technologies can be evolved in adaptation to that change.
When enterprise needs money, finance provides it.
Finance is how society chooses which technologies from making prosperous adaptations to life’s constant change can, should and will be pursued through enterprise.
Giving us the simple, common sense truth that at the level of enterprise and technology, there is a universally applicable, predictably recurring pattern of rising and then falling popularity – and cash flow – over time, as times change, and people make prosperous adaptations to life’s constant changes.
The Wall Street system is built to ignore this common sense truth, and so it constantly gyrates through alternating cycles of boom and bust, as Finance finances growth, while the economy delivers change, and evolutionary adaptation to change. In the Wall Street system, we go and grow, until the economy will not support that growth. Then, we crash. After each crash, we pick up the pieces, make the necessary evolutionary adaptations, and get things going and growing again! Until the next crash. Every boom is really a bust that has not happened yet.
The evergreen system is built to recognize this simple, common sense truth, and to ride the ups and downs in technology popularity and enterprise cash flows. There are no booms, and so, also, there are no busts. There is only sustained, and sustainable prosperity through change, and prosperous adaptation to life’s constant changes.
At the level of the enterprise, look for strategies for matching enterprise investments in organizational capacity to the predicted patterns of rising, recurring and eventually falling popularity for the technology the enterprise is organized to make available to others.
This is the story of the future history you want our retirement system, our university endowments and our endowed foundations to finance.