The roots of Austrian economics go back to the great theologian Saint Thomas Aquinas, whose view of what constitutes a good was a prototype of Menger's pathbreaking theory of the good.
Contrary to myth, businesses can't just set prices at whatever level they want. "Greedy" capitalists can ask for higher prices, but prices mean little if people are unable or unwilling to pay them.
Standard neoclassical definitions of money call it a means of exchange and a store of value. But is this correct?
Standard neoclassical definitions of money call it a means of exchange and a store of value. But is this correct?
There is only one way to improve the standard of living for the wage-earning masses: increased capital investment.
"The free market and the division of labor does not promote hyper-atomized individuals. It creates social harmony and community."
Menger discovered much more than the principle of marginal utility—he created an entire system of economics based on subjective value and individual choice.
This concept of economic calculation is really the foundation of all economic theory, and price theory is the cornerstone of economic calculation.
Man gives to other men in order to receive from them. Mutuality emerges. Man serves in order to be served.
