09 January 2011

The growth in real domain wealth

Where financial capital is used to build real domain productive enterprise, there the growth in real domain wealth can mean an increase in the wealth of one party without a corresponding decrease in the wealth of another party. Where financial capital does not increase wealth in the real domain, there the increase in the wealth of the banker or trader must somehow be countered by the decrease in the wealth of someone else in the economy. The increase in undeserved wealth must be matched by the loss somewhere else in the system of deserved wealth. 
As regards the measure of wealth, deserved refers to the real domain while undeserved refers to the financial domain. 

No comments:

Post a Comment