Sunday, September 27, 2015

Merijn Knibbe — The return of ‘land’ in macro economic discourse. Wonkish

Summary. One of the most influential critics of the ideas of Piketty is Matthew Rognlie – who, to be able to write down his criticisms and following the national accounts, reintroduced the idea of ‘land’, or unproduced inputs like land and natural resources including land underlying buildings, in a neoclassical world. Herewith he undid the work of John Bates Clark, who purged ‘land’ from the concept of capital of classical economics, therewith enabling the rise of neoclassical economics. But this is not the only example of the return of land into economic discourse – land has made quite a return.…
Real-World Economics Review Blog
The return of ‘land’ in macro economic discourse. Wonkish
Merijn Knibbe

1 comment:

Anonymous said...

Have never seen the sense in 'land, labour, capital'. There is the skin of the earth and its resources, capability (human ingenuity and values), and motivation. So, the fundamental question is: 'what do you want?' You get seventy laps around the Sun to try to achieve it.

Alexander - who roamed his world conquering everything in sight, had a hall built with statues of the Kings he had enslaved depicted, all doing obeisance to him - wanted to be buried with his two hands sticking out of the earth: empty handed he came into this world and empty handed he left. Whatever he wanted he didn't achieve it. He did achieve a mess.

Are we, like the Egyptian pyramid slaves, who had themselves buried under a little pyramid of a few rocks. What did those poor souls want? Everybody gets hypnotised by the resources and capabilities – nobody looks at the motivation. Everybody thinks the resources and capabilities are the only reality. They do not treat their motivation as a fundamental, driving reality. Tangible, formative. They do not understand its true nature or potential.

Deep within the human heart (where motivation actually arises - not in the human mind which just comes up with dumb formulas to try and quell it) there IS resolution. Kabir looked and described the world as grist being ground up between the millers rocks; he also laughed a lot, and was incredibly politically incorrect. What would a weaver know? What could he say to our 'dear world leaders'?

Nobody understood motivation in that day, until they were lucky enough to meet Kabir …...