20 Pages Posted: 23 Feb 2014 Last revised: 2 May 2015
Date Written: February 21, 2014
Jevons composed his value theory of nonenties. These creatures are elusive. Subsequent formal refinements did not eliminate the fundamental flaw but made it only harder to detect. A vacuous formal structure is one that cannot be interpreted in some domain. For want of any correspondence in the monetary economy Jevons’s approach could not produce viable results. Roughly speaking, Jevons made value dependent on subjective factors. This paper gives a rigorous formal proof that value is determined by objective conditions. Within the structural-axiomatic framework there is no formal spare room for the major behavioral nonentities utility, optimization, rational expectations, and equilibrium.
Keywords: new framework of concepts, structure-centric, axiom set, entity, nonentity, principles, exchange value, allocation, Jevonian interlude
JEL Classification: B59, D01, D61
Suggested Citation: Suggested Citation