----- Original Message -----
From: "Devine, James" <[EMAIL PROTECTED]>
To: <[EMAIL PROTECTED]>
Sent: Thursday, February 07, 2002 2:23 PM
Subject: [PEN-L:22565] RE: Re: Re: Re: RE: Re: : Premises, Circularities


> > As is always the case with these debates, I can't resist the urge to
> > ask - so what? Why is the value controversy so important? Why is it
> > so important for Justin to reject it and Rakesh to defend it?
>
> I can't speak for those folks, since my mind-reading ability has evaporated,
> but the reason why I think "value" (i.e., one of the key concepts of Marx's
> CAPITAL) is important because I think that it's a central component in the
> kind of alternative research program that's needed to counteract and
> ultimately overthrow the hegemony of the neoclassical orthodoxy (and the
> orthodoxies of other social sciences).
>
> I agree that books like WALL STREET can do an excellent job without using
> value, but that's only describing a piece of the whole (and using concepts
> that Marx developed, partly using value). I'm sure many excellent books like
> that will be written in the future without using value explicitly, but I
> think that it's important to building the alternative research program to
> have a constant cross-pollination between the high-theory level (dialectics,
> value, etc.) and the more empirical level (WALL STREET, etc.)The
> more-empirical works can benefit from more philosophical reflection or
> more-theoretical analysis, just as the high theorists can and should learn
> from doing empirical work and from confronting the ideal nature of abstract
> concepts with heterogeneity (the down and dirtiness) of the real world. Both
> types of analysis can gain from learning the limitations of their
> perspectives.
>
> Jim D.

================

A great post. Below is our real problem. How would we fare with such a disputant?

"In recent years, protectionism has also manifested itself in a somewhat different 
guise by
challenging the moral roots of capitalism and globalization. At the risk of 
oversimplification, I
would separate the differing parties in that debate into three groups. First, there 
are those who
believe that relatively unfettered capitalism is the only economic organization 
consistent with
individual and political freedom. In a second group are those who accept capitalism as 
the only
practical means to achieve higher standards of living but who are disturbed by the 
seeming
incivility of many market practices and outcomes. In very broad brush terms, the 
prevalence with
which one encounters allegations of incivility defines an important difference in 
economic views
that distinguishes the United States from continental Europe -- two peoples having 
deeply similar
roots in political freedom and democracy.

A more pronounced distinction separates both of these groups from a third group, which 
views
societal organization based on the profit motive and corporate culture as 
fundamentally immoral.

This group questions in particular whether the distribution of wealth that results 
from greater
economic interactions among countries is, in some sense, "fair." Here terms such as 
"exploitation,"
"subversion of democratic choice," and other value-charged notions dominate the 
debate. These terms
too often substitute for a rigorous discussion of the difficult tradeoffs we confront 
in advancing
the economic welfare of our nations. Such an antipathy to "corporate culture" has sent 
tens of
thousands into the streets to protest what they see as "exploitive capitalism" in its 
most visible
form -- the increased globalization of our economies.

Though presumably driven by a desire to foster a better global society, most 
protestors hold
misperceptions about how markets work and how to interpret market outcomes. To be 
sure, those
outcomes can sometimes appear perverse to the casual observer. In today's marketplace, 
for example,
baseball players earn much more than tenured professors. But that discrepancy 
expresses the market
fact that more people are willing to pay to see a ball game than to attend a college 
lecture. I may
not personally hold the same relative valuation of those activities as others, but 
that is what free
markets are about. They reflect and give weight to the values of the whole of society, 
not just
those of any one segment. [Alan Greenspan]

< http://www.federalreserve.gov/boarddocs/speeches/2001/20011203/default.htm >

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