Sunday, May 31, 2020

Some Critical Responses — Peter Radford

I happen to think that the ignorance revealed by total factor productivity could be reduced by the abandonment of both “capital” and “labor” from a production function and replaced by more accurate inputs such as energy, raw materials, skill, and information or knowledge. Heck, I would even find room for management in there. I don’t think it possible to “maximize” anything in an economy because of the irreducible uncertainty facing decision makers. Equilibrium is more an illusion than a fact because the system is bothy open and dynamic. It may be useful as an investigative tool, but as a description of reality? Oh, and I tend to see the world through the prism of evolution and complexity.
The Radford Free Press
Some Critical Responses
Peter Radford

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