04 November 2010

Abstractions

The abstracting of the process in the marketplace of value being traded back and forth between firms and households results in a model of circulation that is ideal and frictionless. Within the context of a working economy, that circulatory system transforms factors into products and services, and products and services back into factors. It is a lossless system, and, as such, is an idealized system that cannot but fail to take into consideration the physical, environmental frame in which that circulation takes place. 
The interface between the organism and the environment is, in fact, not circular but linear. At one end is the mouth and at the other end is the anus. The organism relates to the environment by eating and by defecating. What one eats and where one defecates is a question the physical and the spiritual realms have to answer, and not the idealized, abstracted realm of the marketplace. 

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