Two economic mechanisms. Two components of concrete relations. Two simultaneous roles for human participants

Part I. Two economic mechanisms. Two components of concrete relations. Two simultaneous roles for human participants It is the viewpoint of the present inquiry that, besides the pricing system, there exists another economic mechanism, that relative to this system man is not an internal factor but an external agent, and that the present economic problems are […]

Two Economic Mechanisms; Two Components of Concrete Relations; Two Simultaneous Roles for Human Participants; Consequent Responsibilities for Both Academics and Everyday People

Two Parts: Part I. Two economic mechanisms. Two components of concrete relations. Two simultaneous roles for human participants Part II. Two perspectives by which to interpret prices. Prices do not explain; they beg to be explained. Consequent responsibilities for both academics and everyday people Part I. Two economic mechanisms. Two components of concrete relations. Two simultaneous […]

The Two Components of Concrete Relations

One cannot help but think that Bernard Lonergan had functional macroeconomic dynamics clearly in mind as he treated the intelligibility of world process in CWL 3, Insight: …, which is very much an implementation of the act of understanding of mathematicians and natural scientists.  In his understanding of mathematics, the natural sciences, and the science of macroeconomics in […]

The Two Components of Concrete Relations

One cannot help but think that Bernard Lonergan had functional macroeconomic dynamics clearly in mind as he treated the intelligibility of world process in CWL 3, Insight: …, which is very much an implementation of the act of understanding of mathematicians and natural scientists.  In his understanding of mathematics, the natural sciences, and the science of macroeconomics in […]

Two Summaries in Functional Macroeconomic Dynamics

.I.   Summary of the Analysis:  Heuristic, Observations, and Discoveries .II.  Summary of the Argument (verbatim from CWL 15, 5-6) .III. Supplement to the Summaries .I.  Summary of the Analysis:  Method, Observations, and Discoveries .I.a.  Heuristic Analysis of the objective economic process prescinds from subjective human psychology. The process must be understood as always the […]

The Fundamental Quantum of Political Economy is Denoted by the Subscript k

  Taking a cue from Descartes, Lonergan advised that we attend to the simple things that anyone can understand. Again and again, in his regulae ad directionem ingenii, (Descartes) reverts to this theme.  Intellectual mastery of mathematics, of departments of science, of philosophy, is the fruit of a slow and steady accumulation of little insights.  […]

A Contrast: Understanding Pricing in Macrostatic DSGE vs. Macrodynamic FMD

.I.  Introduction: Contrasting Diagrams and What They Represent .II.  The Dynamic Process Consists of Interdependent Rates of Flow .III.  The Treatment of Prices as Constituents of Explanatory Flows .IV. Primary Relativities and Secondary Determinations; an Excursus and Repetition .I.  Introduction: Contrasting Diagrams and What They Represent We contrast an assumption and description with an explanation […]

Primary Functional Relativities in the Diagram of Rates of Flow

As represented below in the Diagram of Rates of Flow, in Functional Macroeconomic Dynamics the “basic terms are defined by their functional relations.”  The basic terms are precise analytical terms upon which a superstructure of explanatory relations can be constructed. Thus, the terms are of scientific and explanatory significance. The Diagram constitutes a technique, tool, and aid […]

Fundamental Disorientations at the Federal Reserve Bank and the National Bureau of Economic Research

We have arranged this Topic into four parts: Part I: The Disorientations of Macroeconomists Part II: Principles and Precepts of Analysis Part III: A New Textbook, Lonergan’s Macroeconomic Dynamics: A Proto-Textbook in Circulation Analysis Part IV Comments on The Federal Reserve’s Current Framework For Monetary Policy: A Review and Assessment, by Janice C. Eberly, James H. Stock, […]

The Broad Context of Interest Rates and Interest Payments

Our subject is Interest Rates and Payments; and “The Macrodynamic Rate of Return”. Interest rates are intrinsic to the process; they are neither extrinsic nor exogenous.  The context of our subject is the intelligibility of the entire process.  Thus, there are several inner aspects of the process which merit consideration. To provide background and context […]