Social Value: A Study in Economic Theory, Critical and ConstructiveAnderson, Benjamin M. (Benjamin McAlester)
General
Social Value: A Study in Economic Theory, Critical and Constructive
Anderson, Benjamin M. (Benjamin McAlester)
Value
interest, return to him a golden harvest. A religious value may flow into
the economic value of religious books. A moral or religious value may be
transformed into a law. A legal value--as a franchise right[180]--has often
a definitely recognized economic value as well. Economic value, spent in an
educational campaign, may result in the establishment of a new moral or
legal value. And so on indefinitely. Enough has been said to show that
there is some sort of analogy between social and physical forces, in that
both can be transformed into other forms of force. The analogy might be
pushed further. It is often difficult to make the transformation in both
cases--there's lots of "friction" if a man starts out publicly and brazenly
to buy a political office, and a great deal of waste in the process. But
enough has also been said to show the weakness of such an analogy: in
creating personal prestige through the wise use of his political power, an
officer may actually increase, instead of exhausting, his political power.
Or, in the moment of attempting certain transformations, the original power
may be suddenly wiped out--as if a great political leader should undertake
to popularize some form of immorality. There is no law of equivalence, of
conservation of energy, in social forces. Their nature and their relations
are organic, and not mechanical.
Or, we may speak of equilibria among social forces. Economists have for a
long time been used to this, speaking of equilibria between supply and
demand, between labor and capital, between enterprise and the other factors
of production, between intensive and extensive margins, etc. But we may
also have equilibria between, say, demand and moral values, as when moral
forces oppose the consumption of liquor, or between supply and law, as in
the case where regulation, rather than total suppression, of certain
vicious businesses is the practice, or where the effort at total
suppression falls short. And equilibria between enterprise and law and
morals are being constantly worked out--entrepreneurs seeking to produce at
the minimum expense, even at the cost of the lives and health of their
employees, and law and morals[181] drawing limits beyond which they must
not go, with a struggle between them at the margin--and the money prices of
the products reflect the marginal equilibrium attained. Supply may be in
equilibrium with a protective tariff, or an internal revenue excise--legal
values which the economists have long been accustomed to treat
quantitatively by the laws of incidence, and whose strength they measure in
terms of money prices.[182] Not "utility and cost," but an infinite complex
of social forces are in equilibrium in the economic situation.
Public-domain text, read in full here on John Shaqi.
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