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By Bread Alone: Economic Planning Models
DOI link for By Bread Alone: Economic Planning Models
By Bread Alone: Economic Planning Models book
By Bread Alone: Economic Planning Models
DOI link for By Bread Alone: Economic Planning Models
By Bread Alone: Economic Planning Models book
ABSTRACT
Economic models dominate large-scale planning. To understand their assets and their limitations, we need to see "where they are coming from."
THE FOUNDATION: UTILITARIANISM
In 1789, moral philosopher Jeremy Bentham came up with utilitarianism, which the dictionary defines as "the ethical doctrine that virtue is based on utility and that conduct should be directed toward promoting the greatest happiness for the greatest number." To make this manageable, Bentham reduced happiness and unhappiness to the concrete experiences of pleasure and pain by individuals. For net utility, subtract the pain caused from the pleasure gained. He developed guidelines for measuring:
• Duration: how long it lasts. • Intensity: how strongly it is felt. • Probability: how certain or uncertain the results are. • Propinquity: how immediate the gratification. • Extent: how many persons affected.
