Wes, a "node" is simply a circuit point in DC 
circuits.  It is not a component.

Say's Law does parallel Kirchoff it that it regards 
economic sectors somewhat as nodes where inputs equal 
outputs and outputs equal inputs.  Leontief follows 
the same line of reasoning and is equally fallacious.

This from your post is not a proper rendition of 
Kirchoff:

***>...all flows, in or out of the node, must be 
measured and accounted for in the equation for the 
particular node and the sum of the flows must equal 
the measured change of inventory within the 
particular node.<***

There can be no "change of inventory" within a node 
because a node has no inventory--it is simply a 
point.  The sum of currents into the point must equal 
the sum of currents simultaneously out of the point.

Economic sectors are more like components than 
points.  Inputs do not automatically equal outputs in 
terms of financial flows.

***>[WSB  If social credit had contained a complete 
and technically valid general theory of human 
development (GToHD), surly C. H. Douglas would have 
won public acceptance of it.<***

This is a ridiculous statement on several counts.  
The technical validity of anything does not guarantee 
the "public acceptance" of anything--surely you know 
that.  And "public acceptance" does not indicate the 
technical validity of that which is accepted.

Note that the operative term below is "nodality" not 
"node."

[1] In a system of continuous flow such as a 
pipeline, let N be a nodality which contains a volume 
V defined by the dimensions of N. Let the rate of 
flow of aggregate inputs to N be designated I. Let 
the rate of flow of aggregate outputs be designated 
O. Let the rate of change in V be designated dV/dt. 
Then I = O + dV/dt. Now if N's dimensions are fixed, 
dV/dt = 0, so that I = O. But if N's dimensions are 
expanding, I is > O.

[2] Assert axiomatically that in respect of an 
expanding nodality in a system of continuous flow, 
the rate of flow of aggregate inputs must exceed 
outputs. Now let there be one such nodality P with 
inputs flowing at rate I and outputs flowing at rate 
O. Then configure P in a closed circuit with a second 
such nodality Q so that the outputs of P are the 
inputs of Q, and the outputs of Q are the inputs of 
P. Consistent with the assertion above the following 
conditions must simultaneously obtain: X > Y and Y > 
X, which is impossible. It is therefore concluded 
through implication that for such a circuit to 
function, it must be inferred that it contains within 
its structural complex a counter-nodality that has 
outputs greater than inputs that must be factored 
into the calculation.  That counter-nodality in 
financial systems is credit.

[3] In respect of financial institutions, let 
deposits = D, loans etc. = L, cash in hand = C, and 
capital = K. Then: assets = L + C, liabilities = D + 
K, so that L + C = D + K. Differentiating with 
respect to time: dL/dt + dC/dt = dD/dt; K being 
fixed, dK/dt = 0. Assuming cash in hand is kept 
constant, dC/dt = 0. Therefore dL/dt = dD/dt, which 
means that loans create deposits and the repayment of 
loans cancel deposits.


---original message---
Date:   Thu, 21 Aug 2003 15:59:58 -0400 
From:   [EMAIL PROTECTED]
[snipped]




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