Friday, April 14, 2006

Capital Structure Extends as Far as Transformation Allows.

Consider the time structure of an organism like a tree. It starts as a seed. It becomes a seedling and then a sapling and then it begins to take on its structural identity. It continues to mature and it yields fruit.

Now consider capital and its structure. It starts as savings. It becomes investment and then it enters the production process which gives it a structural identity. Part of this identity is the time frame of the specific production process. Does it yield products immediately or does it yield products in a roundabout manner? Regardless, capital is an essential part of structural maturation.

In the divine economy model the capital structure extends from the womb of the market process, where it is acted upon by the exercise of entrepreneurial alertness, all the way to the outer reaches of production and as far as tranformation allows.

The capital structure of the economy is like the plant ecology of a forest. There are many different types of plants of great variety in size, shape, rigidity, function and longevity. All play an important role and all operate according to the principles of symmetry and reciprocity. Similarly, capital is heterogeneous and it, too, is an intricate latticework.

Follow me on Twitter @DivineEconomy

For more information go to my newly renovated website.

If you know of anyone interested in ethics and economics,
or liberty and justice, please send them this link:

No comments: