ABC Fair Trade

1. Summary

More than 90% of ordinary products in ordinary markets are not in the market of the city as those are owned and operated by the city. For example, the city owns about 90% of all houses, furnitures, electronics, vehicles, computers, smartphones and so on.

The fair trade module is mainly for trades between the city and others outside the city.

2. Price Index & Fair Market Values

The city monitors the prices of all significant products outside the city. If price or a contract article is abnormal, it tries to find out the reason. Only when reasonable, it approves the trade and the ABC Bank transfer money to the seller outside the city.

1. Public Procurement Service

Most of the assets are owned by the City and must be purchased by the City first. Some are produced in the city and others not. The procurement of any asset begins by a proposal from citizens. For example, a citizen may suggest to purchase some 86" LED TVs. If the suggestion obtain a predefined level of votes from other citizens, the procurement of the TV set nay start. However, not all the assets suggested to buy can't be procured as the budget of the city is limited. So, we need some mechanism to select some from all. That mechanism is so called market mechanism.

For example, the number of 86" LED TVs to be bought is determined by the number of citizens willing to rent them for a long term.

Then, how to determine wether to buy a few wind turbines which will both benefit and burden all the citizens of the city? And how to determine the number of those turbines? That's what the city assembly, ABC legislature, does.

When the city determines to buy some number of assets, the procurement procedure starts.

• Requirements of the assets are publicly noticed.

• Any business inside or outside the city may participate in procurements.

• Citizens to rent them may discuss the merits and demerits of each candidate product.

• Those citizens vote to select one.

Pseudo Code

2. Fair Market Price

All the products and providers in the city are evaluated by their customers, and also scrutinized their prices by ABC Fair Trade module. For example, if Alice want to have a dinner with a friend, she may review the rating of all the restaurants in the area where she will meet her friend. She can also read reviews of each menu at a specific restaurant, and schedule specific foods and meal times.

Since all products are evaluated for their quality and price by customers, the price range of each product or service is naturally derived. If the price of a particular product is significantly out of the price range of a similar product, ABC Fair Trade will scrutinize the reason and decide whether to authorize payment for the product.

Pseudo Code