Money Interest and the Structure of Production

Money  Interest  and the Structure of Production

Loanable funds are depicted in monetary terms and then transformed into real terms on the productionpossibilities frontier. Eventually we do not really know what the dimension for consumption in the structure of production is.

Author: Mateusz Machaj

Publisher: Lexington Books

ISBN: 9781498557559

Category: Business & Economics

Page: 214

View: 211

Is macroeconomic equilibrium possible under capitalism? How do economic bubbles develop? How does a monetary system influence the market mechanism? Is the return on capital a beneficial feature of the economic system? How does complexity of a capitalist organization influence the market process? Can output under capitalism be easily measured and modeled? Such questions and many others relate to the central concept discussed in the book: heterogeneous structure of production, an envisioned theoretical connection between stages of the capitalist process. An inquiry into the functioning of a capital structure is necessary to understand the workings of the interest rate, savings, aggregate demand, and economic growth. Additionally it provides a theoretical framework to recognize consequences of monetary regimes and interest rate policies performed by the central banks. Capital structure concepts have their place at the center of economic theory as they can provide a broad range of insights into our understanding of the real world. Money, Interest, and the Structure of Production offers key insights in that direction.
Categories: Business & Economics

The Structure of Production

The Structure of Production

Introduction : the case for a new macroeconomics -- The theory of production in classical economics -- Hayek and the 1930s : a new vision of macroeconomics -- Time and production in the post-Keynesian era -- The structure of production : ...

Author: Mark Skousen

Publisher: NYU Press

ISBN: 9781479848522

Category: Business & Economics

Page: 417

View: 987

In 2014, the U. S. government adopted a new quarterly statistic called gross output (GO), the most significance advance in national income accounting since gross domestic product (GDP) was developed in the 1940s. The announcement came as a triumph for Mark Skousen, who advocated GO nearly 25 years ago as an essential macroeconomic tool and a better way to measure the economy and the business cycle. Now it has become an official statistic issued quarterly by the Bureau of Economic Analysis at the U. S. Department of Commerce. In this new revised edition of Structure of Production, Skousen shows why GO is a more accurate and comprehensive measure of the economy because it includes business-to-business transactions that move the supply chain along to final use. (GDP measures the value of finished goods and services only, and omits B-to-B activity.) GO is an attempt to measure spending at all stages of production. Using GO, Skousen demonstrates that the supply-side of the business spending is far more important than consumer spending, is more consistent with economic growth theory, and a better measure of the business cycle.
Categories: Business & Economics

The Nature of Money

The Nature of Money

In this important new book, Geoffrey Ingham draws on neglected traditions in the social sciences to develop a theory of the ‘social relation’ of money.

Author: Geoffrey Ingham

Publisher: John Wiley & Sons

ISBN: 9780745638034

Category: Social Science

Page: 264

View: 614

In this important new book, Geoffrey Ingham draws on neglected traditions in the social sciences to develop a theory of the ‘social relation’ of money. Genuinely multidisciplinary approach, based on a thorough knowledge of theories of money in the social sciences An original development of the neglected heterodox theories of money New histories of the origins and development of forms of money and their social relations of production in different monetary systems A radical interpretation of capitalism as a particular type of monetary system and the first sociological outline of the institutional structure of the social production of capitalist money A radical critique of recent writing on global e-money, the so-called ‘end of money’, and new monetary spaces such as the euro.
Categories: Social Science

Prices and Production and Otherworks

Prices and Production and Otherworks

Economics never labels anything any more. Well, more accurately, it does; only now it hardly ever uses labels formed from people?s names. In part, this is due to the smorgasbord approach to ideas taken by economics.

Author: Clasicos-economia

Publisher: Bubok

ISBN: 9788468628950

Category: Business & Economics

Page: 593

View: 987

Economics never labels anything any more. Well, more accurately, it does; only now it hardly ever uses labels formed from people?s names. In part, this is due to the smorgasbord approach to ideas taken by economics. Like many other academic disciplines, economics ruthlessly mixes and matches, customizes and adapts, rips and mashes the most penetrating insights, the most appropriate models from all different sources, applying them to whichever economic problem is currently being addressed. In those circumstances the message gets through to the practitioner economist that it is more useful to know an idea itself, and how to apply and modify it, than to peer into its provenance or to understand how the originator of that idea thought about three or five other substantively different problems.
Categories: Business & Economics

The Capitalistic Cost Benefit Structure of Money

The Capitalistic Cost Benefit Structure of Money

The liquiditypremium and the cash holder's sacrificed interest have nothing to do with the production cost of the technical equipment of money, but with its economic liquidity and utility. This side of the production of money, ...

Author: Dieter Suhr

Publisher: Springer Science & Business Media

ISBN: 9783642747588

Category: Business & Economics

Page: 136

View: 622

This study is concerned with the time-honored problem of the change that is induced when money enters into the economy. As far back as Aristotle (Politics, pp. 1135-1143) the still-unanswered question regarding the dichotomy of the real-exchange and the monetary economy was raised. He contrasted Oeconomic, where people strive to obtain real utilities (household management), to Chrematistic, where they use money to make more money (art of wealth-acquisition): The true wealth consists of such values in use; for the quantity of possession of this kind, capable of making life pleasant, is not unlimited. There is, however, a second mode of acquiring things, to which we may by preference and with correctness give the name of Chrematistic, and in this case there appear to be no limits to riches and pos sessions. Trade does not in its nature belong to Chrematistic, for here the exchange has reference only to what is necessary to themselves. ( . . . ) In the case of Chrematistic, circulation is the source of riches. And it appears to revolve about money, for money is the beginning and end of this kind of exchange. Therefore also riches, such as Chre matistic strives for, are unlimited. ( . . . ) Oeconomic, not Chrematistic, has a limit ( . . . ;) the object of the former is something different from money, of the latter the augmenta tion of money ( . . .
Categories: Business & Economics

Time and Money

Time and Money

The primary focus of this text is the intertemporal structure of capital, an area that until now has been neglected in favour of

Author: Roger W Garrison

Publisher: Routledge

ISBN: 9781134895892

Category: Business & Economics

Page: 288

View: 464

Time and Money argues persuasively that the troubles which characterise modern capital-intensive economies, particularly the episodes of boom and bust, may best be analysed with the aid of a capital-based macroeconomics. The primary focus of this text is the intertemporal structure of capital, an area that until now has been neglected in favour of labour and money-based macroeconomics.
Categories: Business & Economics

Foundations of Economics

Foundations of Economics

Though the prices of final products will decrease throughout the production structure, so will the prices of the ... We have seen that the interest rate is not merely a monetary phenomenon, but a time phenomenon. it is the price of ...

Author: Shawn Ritenour

Publisher: Wipf and Stock Publishers

ISBN: 9781556357244

Category: Social Science

Page: 564

View: 112

Foundations of Economics: A Christian View is an introduction to economics from an explicitly Christian perspective. It maintains that there is no conflict between Christian doctrine and economic science, properly understood. Therefore, Foundations of Economics has three goals: to demonstrate that the foundations of economic laws are derived from a Christian understanding of nature and humanity; to explain basic economic principles of the market economy and apply them to various economic problems, such as poverty and economic development; and to show the relationship between Christian ethics and economic policy. Foundations of Economics: A Christian View accomplishes these goals by rooting the fundamental principles of human action in the Christian doctrines of creation and humanity, and integrating them with the Christian ethic of private property. This volume explains the relevance of economics for fulfilling the cultural mandate set forth in the first two chapters of Genesis, by demonstrating how economics can help us in our task to be fruitful and multiply and have dominion over the earth, without spoiling creation, starving to death, or descending into a barbaric struggle for survival.
Categories: Social Science

Business Cycles

Business Cycles

The latest editions in Routledge's ongoing series The Collected Works of F. A. Hayek, these volumes bring together Hayek's work on what causes periods of boom and bust in the economy.

Author: F.A. Hayek

Publisher: Routledge

ISBN: 9780429637995

Category: Business & Economics

Page: 292

View: 977

In the years following its publication, F. A. Hayek's pioneering work on business cycles was regarded as an important challenge to what was later known as Keynesian macroeconomics. Today, as debates rage on over the monetary origins of the current economic and financial crisis, economists are once again paying heed to Hayek's thoughts on the repercussions of excessive central bank interventions. The latest editions in Routledge's ongoing series The Collected Works of F. A. Hayek, these volumes bring together Hayek's work on what causes periods of boom and bust in the economy. Moving away from the classical emphasis on equilibrium, Hayek demonstrates that business cycles are generated by the adaptation of the structure of production to changes in relative demand. Thus, when central banks artificially lower interest rates, the result is a misallocation of capital and the creation of asset bubbles and additional instability. Business Cycles: Part I contains Hayek's two major monographs on the topic: Monetary Theory and the Trade Cycle and Prices and Production. Reproducing the text of the original 1933 translation of the former, this edition also draws on the original German, as well as more recent translations. For Prices and Production, a variorum edition is presented, incorporating the 1931 first edition and its 1935 revision. Business Cycles: Part II assembles a series of Hayek's shorter papers on the topic, ranging from the 1920s to 1981. In addition to bringing together Hayek's work on the evolution of business cycles, the two volumes of Business Cycles also include extensive introductions by Hansjoerg Klausinger, placing the writings in intellectual context, including their reception and the theoretical debates to which they contributed, and providing background on the evolution of Hayek's thought.
Categories: Business & Economics

Money Liquidity and the Structure of Production

Money  Liquidity  and the Structure of Production

We use a model in which media of exchange are essential to examine the role of liquidity and monetary policy on production and investment decisions in which time is an important element.

Author: Joshua R. Hendrickson

Publisher:

ISBN: OCLC:1305516031

Category:

Page: 33

View: 814

We use a model in which media of exchange are essential to examine the role of liquidity and monetary policy on production and investment decisions in which time is an important element. Specifically, we consider the effects of monetary policy on the length of production time and entry and exit decisions for firms. We show that higher rates of inflation cause households to substitute away from money balances and increase the allocation of bonds in their portfolio thereby causing a decline in the real interest rate. The decline in the real interest rate causes the period of production to increase and the productivity thresholds for entry and exit to decline. This implies that when the real interest rate declines, prospective firms are more likely to enter the market and existing firms are more likely to stay in the market. Finally, we present reduced form empirical evidence consistent with the predictions of the model.
Categories:

Early Speculative Bubbles and Increases in the Supply of Money

Early Speculative Bubbles and Increases in the Supply of Money

Thus, the lower the time preference, the lower the pure rate of interest. This lower time-preference rate leads to greater proportions of investment to consumption, and therefore an extension of the production structure, ...

Author:

Publisher: Ludwig von Mises Institute

ISBN: 9781610164559

Category:

Page:

View: 605

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