ABC Market

Readers are recommended to real ABC Financial Reports first.

1. Summary

ABC is the currency of the financial report format. Different from ordinary financial reports which track and record the change of the value of assets for a given period in the form of currency issued by central banks, the ABC financial reports themselves are currency. No central bank is necessary.

And, the ABC Financial Reports are to compose SINGLE financial report. For example, ABC generates as many financial reports as 8 billion population of the world, and one consolidated financial report of them.

That means ABC knows everything in the world.

The efficient-market hypothesis is a hypothesis in financial economics that states that asset prices reflect all available information[Wikipedia]. ABC market is an efficient market.

As long as adapting ABC as their default currency, all economic entities will record and update their financial reports. It means that ABC knows who produces what product where when and how much value added by the production from raw materials etc.

In ordinary market economy, individuals gather information and make various decisions including what to produce, when to sell, from whom to buy materials, how to deliver products etc. But, in ABC, the system does most of them.

• ABC can figure out which products to consume by the world tomorrow, next week, next month or next year, only if the world use ABC as its default currency.

• ABC can calculate how to maximize output with the least amount of labor in a society.

Though the market economy driven by ABC is quite different from various market systems until now, people don't have to understand how ABC market works. They just do what they have done. People just know that ABC is always available to advise them on various decisions such as what to produce, what price to sell, where to build a factory or open a shop, where to buy materials at what price, who to employ and how much to pay and so on.

1. Competitiveness Analysis using ML

Billions of people around the world produce something to make a living.

• ABC automatically generate a set of financial reports including balance sheet and income statement for each of them.

• Some are more profitable than others, and, If one product sells better than another, there must be a reason. ABC can figure out the reason.

• How to find out the competitiveness of some products which other products don't have?

• In fact we don't have to know the reasons of the competitiveness of some products or producers, we need only to know whether our products will be competitive or not.

• Assume that, among 100 different producers in a market, 10 producers make products which sell better than those of other 90 producers. And, you want to produce a new product. How to know whether your product will sell good or not?

With a sufficient number of producers and their financial reports, we can write a simple machine learning model to simulate the sales of a new product we are about to launch.

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2. Labor as a Product

One of the basic commodities is human labor, and everyone sells his/her labor in the market. Everyone is the producer of his/her labor too. For example, Alice could be a doctor or a cook, and her learning process is to produce a labor commodity for her to sell.

Like other producers, Alice should determine what labor to produce. And, like other cases, ABC helps her. ABC can advise on the type of labor she can produce and the best course of education.

The only difference is that ABC's advice is not based on financial reports but her achievements in curricula.

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3. Planned Economy by Linux

The ABC market system is similar to a planned economy, but it is different from a socialist planned economy, where all planning comes from the human brain. The plans in ABC market come from the system composed of numerous linux machines.

All economic entities including humans, self-driving cars, facilities, corporations etc. are linux machines or represented by linux machines.

Contrary to humans being key players of ordinary market economy, and linuxes are key players in ABC markets.

Imagine that everyone has an AI assistant which does all kinds of business behalf of its owner, and all AI assistants in the world are connected and share one giant database. The assistants come together to discuss the best option for their respective owners.

That's what ABC market is.

See ABC Cloud for detail.

2. Price Index

Price index, measure of relative price changes, consisting of a series of numbers arranged so that a comparison between the values for any two periods or places will show the average change in prices between periods or the average difference in prices between places[Britannica]. ABC records and updates the price indexes of all the products in the market from transaction data from economic entities who use ABC as their default currency. That is, price index is a meta data extracted from transaction data.

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1. Abnormality Detection

If there is an abrupt change in price index, it surely is caught by ABC. ABC scrutinizes the cause of such change, and may automatically proceed necessary countermeasures.

Of course, geopolitical causes can't be settled down by ABC.

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2. Benchmarking Best Practices

If a product is sold way more than others, it surely has a strong competitiveness. ABC scrutinizes the competitiveness of all products in markets, finds out what makes some products more competitive than others, and establishes a standard procedure for each product's production and distribution. Weak companies may follow the ABC standard of production to be more competitive.

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3. Enlist Products in the ABC Market

Any economic entity may enlist its products tangible or intangible in the ABC market.

• ABC is the default currency.

• A standard format for product details including producer information,

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4. Meta Data

The ABC market yields various meta data such as market trends, economic cycles and so on.

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5. Fair Trade

All products are traded in fair market values. If the price of a product is beyond a reasonable scope, ABC scrutinizes the reason of that price before permitting the amount to be transferred from buyer to seller.

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6. Taxation

The ABC market is integrated with tax services of nations. So, when Alice buys something from Bob, related tax is automatically paid to tax services of nations which Alice and/or Bob belong to. See ABC Taxation for detail.

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