The Chimera of Macroeconomics

  If resources were unlimited, we would not need economy. If all are equal we would not need trade. Where there is no need for either, there is no need for economics, either.              Fortunately, both economy (M ∙ U ∙ T -1 ) and trade (M ∙ U ∙ T -1  v is-à-vis  U ∙ m ∙ T -1 ) are absolute necessaries while we stay in Here (T -1 possibly as long as 125 years before “we are all dead”).   Pareto optimum . First, who with the legitimate wherewithal should be served first, from the most desperate to the least desperate? Yes, exactly in that order, whether to the letters of ethics or in the spirit of Adam Smith .              Second, who with the wherewithal should be allowed to utilize the human or natural resources, first before all others, from the most efficient to the least efficient? Yes, exactly in that order.    ...

  By definition and as implied by Adam Smith, Economy flows (T -1 ) goods and services from production (T -1 ) to consumption (T -1 ). In between is commerce, or “trade after specialization.” By design or by chance, la main invisible of the market has two moving hands (T -1 ), that is, the “demanding” and the “supplying.”              On the sidewalk of the economy, Finance balances (T 0 ), or puts in equilibrium, between two petrified hands (T 0 ); the credit side (liabilities, or “sold assets”, T 0 ) and the debit (assets, or “bought assets,” T 0 ).              Owing to conventional wisdom, incidentally, we are never crying (T -1 ) over the split (T 0 ) milk. While history is stuck (T 0 ), the economy keeps flowing with efficiency (M ∙ U ∙ T -1 by definition). For instance, “ labor productivity ” is defined to be the utile output (M ∙ U), or “good” as s...

  Multiple Choices as to multiple Claims of us:             Cl. 1. There are lives in Mars.             Cl. 2. An organism can exist on the Moon.             Cl. 3. A society may be built in Death Valley.                 Cl. 4. A free market is untenable without the rule of law. We are:             Ch.1, kidding.             Ch. 2, silly.             Ch. 3, insane.             Ch. 4, sober.   No matter what we or your answers may be, there without the rule of law won’t be such a thing as liberty or freedom in the...