Hotel economics and the circulation of money

 

The concept of hotel economics

The candidate for the 21st president of South Korea, Lee Jae-myung, explained the economy by likening it to a comprehensive 'hotel.' This analogy helps to understand the functions of the economy and consumption structure. A hotel needs customers to operate and thrive, and if the customers are limited to the high-income bracket, the remaining services either vanish or are provided only in a limited manner. Ultimately, for a hotel to prosper, it requires that all customers have the ability to consume, which means financial flexibility is necessary. If money does not circulate, the economy is likely to stagnate, and through this, we can understand the importance of ensuring liquidity in the economy.

The necessity and universality of basic income

The basic income proposed by candidate Lee Jae-myung is based on the purchasing power accumulated through regular monetary support provided to all citizens. Unlike traditional welfare policies that only assist specific groups, basic income turns every individual into a consumer in the economy, allowing each person to contribute to the economy through their spending. This is not just simple welfare, but a strategy to invigorate the market in a substantial way, enabling various social classes to benefit. The essence of this policy is to allow diverse groups such as the middle class, youth, and small business owners to engage in economic activities through basic income.

The Flow of Money and Policy Design

What is important in the modern economy is not simply an increase in the amount of money but the quality and flow of liquidity. If funds are concentrated only in asset markets, the real economy will not recover, and at this point, basic income becomes a method to spread liquidity across all areas. Candidate Lee Jae-myung has attempted to realize various models of basic income for this purpose. Through various experiments such as youth basic income and agricultural basic income, he is implementing policies to disperse liquidity down to the very bottom of the market through 'money flow experiments'.

New Paradigm of Basic Income

The economy is facing a variety of complex crises, including inflation, technological unemployment, climate issues, and deepening inequality. In such circumstances, it is becoming difficult to respond with past theories, and a universal and inclusive strategy that involves all citizens in the economic cycle is needed. Basic income serves as a solution that addresses these demands, acting as a key mechanism to ensure that the economy can operate sustainably. Ultimately, basic income creates a structure for everyone, providing the foundation for revitalizing the economy when each person functions as both a consumer and a producer.

Vision for the Future

The economic theory of candidate Lee Jae-myung is based on the purchasing power of consumers, providing the lesson that for the economy to thrive, money must circulate smoothly. Basic income is presented not just as a means to assist a specific class but as the key to building a sustainable economic ecosystem for all to live together. We are at a point where we must move away from an era of supporting 'only those in need' and advance toward a healthier economy based on the recognition that everyone is a guest. Basic income is a powerful tool for moving in this direction and becomes the vision we should pursue.