Sunday, January 9, 2011

OK then, Trade Produces No Losers

Says Don. I am reading the cross linked posts after this post. So, I take this statement at face value, and it tells me a whole lot.

There exists a Triangle Inequality in Don's model, based upon a normative measurement called Good.  Right away my vague memory of Hilbert Spaces tells me that Don has a economic calculus  that can decompose the macroeconomic measures down to agent measures.  And straight away you know my measure of good is Less Redundancy in the Distribution of Inventory. My norm comes straight from a strict definition of trade: Exchange two quants of inventory.

The only thing in dispute for the Austrian formal calculus is whether there is a better definition of Good, if so tell me.

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