Fred, Thank you for your extensive explanation, that’s helpful. In substance you must be right (a similar story is provided by the Cambridge critique of capital theory), but I don’t quite agree, insofar as:
(1) the concept of opportunity costs is applied to ALL factors of production, and it has been for a long time. (2) there is a sort of rational kernel, because if you use resources in one way, then you forego the possibility of using them in other ways, and that is important to know in evaluating an investment decision. There are many different versions of the theory, though. Jurriaan
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