The power of the Direct Economy lies in the possibilities that disintermediation and networks offer to reach a market in continuous innovation.
The launch of John Robb’s new blog and his conceptual proposal on the Direct Economy have served as a detonator to give order to the thoughts and proposals we have been working on recently. David began presenting the Direct Economy as the response to the need for promise in a context of decomposition, in which the crisis of scale and the capture of rents have salted the Earth. Yesterday, Ester wrote a stupendous summary, framing the models that, up until now, have applied to local development, in the Direct Economy. However, she missed one of the key things Robb is developing his theoretical base, which is the capacity for innovation.
It accumulates innovation faster. It’s that simple. The direct economy enables levels of innovation that will make the old economy look static in comparison.
Basing the ability to generate innovation on the creation of new companies and the disintermediated offer of services with high value added.
Then, he also identifies complementary revenue channels, which could include things related to the productive capacity of your house, or little rents from sharing your car, tools or Thermomix [a sophisticated kitchen appliance not available in the US]. But it seems to me that the powerful part of the model is not there, but rather in the possibilities that disintermediation and the network offer to go out into a market in continuous innovation.