ABSTRACT
The various types of competences which each individual acquires through affiliation with a succession of developmental institutions represent the output of the anthropogenic system—just as the goods and services supplied by business firms represent the output of the economic system. In the conventional model of the labor “market,” it is the wage rate that brings the demand for and supply of labor into balance with one another, thereby ensuring—in the long run if not more immediately—”full employment.” According to the conventional theory, the decision of how many hours to work is made by the individual worker, with that decision depending on the wage that can be earned. The supply of human resource inputs, or labor, is no different from the supply of goods and services and the supply of credit. A strong case can be made for the existence of a natural resource constraint—indeed a much stronger case than for any human resource constraint on the rate of economic expansion.
