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The Cycle of Value The Cycle of Value -- A Conservationist Approach to Economics

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  • Nick Harkiolakis

Abstract

A representation of economic activity in the form of a law of conservation of value is presented based on the definition of value as potential to act in an environment. This allows the encapsulation of the term as a conserved quantity throughout transactions. Marginal value and speed of marginal value are defined as derivatives of value and marginal value, respectively. Traditional economic statements are represented here as cycles of value where value is conserved. Producer-consumer dyads, shortage and surplus, as well as the role of the value in representing the market and the economy are explored. The role of the government in the economy is also explained through the cycles of value the government is involved in. Traditional economic statements and assumptions produce existing hypotheses as outcomes of the law of conservation of value.

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  • Nick Harkiolakis, 2023. "The Cycle of Value The Cycle of Value -- A Conservationist Approach to Economics," Papers 2308.07185, arXiv.org.
    • Handle: RePEc:arx:papers:2308.07185
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