The Wine Maker’s Business and the Logical Origin of Interest in the Monetary Economy

Abstract

Any serious alternative to the standard approach requires a distinct axiomatic foundation. The crucial point is not axiomatization per se but the real world content of axioms. The purpose of the present paper is to make the implications of the objective structural axiom set concerning the relation of profit, money, the nominal/real rate of interest, and the time structure of production explicit and to contrast them with the familiar conceptions.

Keywords: new framework of concepts, structure-centric, axiom set, income categories, factor income, profit, rate of interest, classical capitalist

JEL Classification: B41, E40