The Place of Science in Modern Civilisation, and Other EssaysVeblen, Thorstein
Philosophy
The Place of Science in Modern Civilisation, and Other Essays
Veblen, Thorstein
Economics; Science
Under the regime of investment and business enterprise these and the
like differential benefits may turn to the business advantage of a given
class, group, or concern, and in such an event the resulting
differential business advantage in the pursuit of gain becomes an asset,
capitalised on the basis of its income-yielding capacity, and possibly
vendible under the cover of a corporation security (as, _e.g._, common
stock), or even under the usual form of private sale (as, _e.g._, the
appraised good-will of a business concern).
But the regime of business enterprise has not only taken over various
forms of institutional privileges and prerogatives out of the past: it
also gives rise to new kinds of differential advantage and capitalises
them into intangible assets. These are all (or virtually all) of one
kind, in that their common aim and common basis of value and
capitalisation is a preferentially advantageous sale. Naturally so,
since the end of all business endeavor, in the last analysis, is an
advantageous sale. The commonest and typical kind of such intangible
assets is "good-will," so called,--a term which has come to cover a
great variety of differential business advantages, but which in the
original business usage of it meant the customary resort of a clientele
to the concern so possessed of the good-will. It seems originally to
have implied a kindly sentiment of trust and esteem on the part of a
customer, but as the term is now used it has lost this sentimental
content. In the broad and loose sense in which it is now currently
employed it is extended to cover such special advantages as inure to a
monopoly or a combination of business concerns through its power to
limit or engross the supply of a given line of goods or services. So
long as such a special advantage is not specifically protected by
special legislation or by a due legal instrument,--as in the case of a
franchise or a patent right,--it is likely to be spoken of loosely as
"good-will."
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Elsewhere in the archive
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account