Thursday, March 23, 2006

The Productivity of the Capital Structure and of Property Rights.

Productivity is easily recognizable as an economic concept and it receives much attention. In the Divine Economy Model © productivity has been placed in a quadrant the boundary of which is defined by capital structure and property rights.

In this context productivity comes to life. The means to improve productivity is capital and the structure of capital over time and across the spectrum of economic production. Equally as influential upon productivity is the existence of property rights. If my efforts are rewarded I will be more productive, it's as simple as that.

Additionally, the Divine Economy Model © places productivity in the domain of transformation and law. Of course productivity leads to the transformation of something from one degree to the next but it also stirs a sense of accomplishment and stimulates further creative acts. Finally, as the law protecting human rights (and its most important manifestation - property rights) becomes more ideal there will be a corresponding increase in productivity.

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