8 research outputs found

    Toward and Evolutionary Theory of Production. LEM Working Paper Series no

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    sought to ground their theoretical analyses of economic organization in an appreciation of the nature of real production activity. Any such an effort must balance two competing concerns. On the one hand, the obviously fundamental role of productive activity in economic life seems to demand a highly accurate appraisal, presumably based on detailed scrutiny. On the other hand, the objectives of economic science often seem best served by a broad-brush characterization done from a considerable distance. Those scientific objectives are, after all, quite different from those of engineering or operations management. In mainstream neoclassical theory, the second of these considerations seems clearly generality and treats production in a way that is convenient for the neoclassical analyst. Mainstream production theory is partly for answering questions about production and its place in economic organization, but it is at least equally concerned with sealing off questions that are not considered fruitful for economists. It places a boundary marker that serves to identify the limits of the specifically economic concern with production, beyond which lie areas of concern to engineers, managers and technologists

    Differential rent in the 1760s: two neglected French contributions

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    Possibly the earliest contribution to the theory of differential rent is contained in C.-F.-J. d'Auxiron's Principes de tout gouvernement (1766). Two years later, in 1768, another discussion of the phenomenon of extensive differential rent appeared in the physiocratic periodical Ephemerides du citoyen, probably written by J.-N.-M. de Saint-Peravy. This article, while remaining a short and isolated contribution, indicates how differential payments for the use of land can be incorporated within a value theory in which normal prices reflect necessary costs of production and how differential rent can be reconciled with the explanation of rent as a return on capital.Rent Theory Differential Rent Auxiron Saint-PERAVY Physiocrats Ephemerides Du Citoyen,
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