Dominant Revenue Economics
For most of us, our eyes glaze over when
The Minister of Finance, Bank executives or economic spokespersons begin
to speak about interest rates, inflation, the GDP; and so on. We wonder:
'What are they talking about?'
To better understand economics, it is necessary to clarify that it is not some mysterious set of perfect mathematical equations over which we have no control. Today, the Marketplace is often alluded to in almost Godlike terms, as if it were some all-pervasive, self-correcting, immutable Presence. To criticize operations of 'the Marketplace' smacks of blasphemy. But, believe it or not, economic spokespersons do not carry about with them some secretive, inner knowledge of the way in which the world works!
A fundamental concept which aids us in bringing economics down-to-earth is the very important notion of dominant revenue economics: from it, we see that dominant interests devise an 'economics' which serves their exclusive monetary and economic interests, rather than the interests of all, or of the Earth.
Francois Perroux (1903-1987), a leading figure of the French school of economics during the sixties held that in every historic period the revenue of a particular group is taken to be the 'dominant revenue'. With each successive dominant revenue there was associated a very distinct economic theory:
The crisis of modern-day economics springs from a
quixotic attempt to understand a mixed economy (explained later on
in our tutorial) in which profit is no longer the dominant revenue- in
terms of a theory based on the assumption that it is.
|Throughout these periods, dominant revenue 'economics' is used to give voice to and legitimate the claims made by the dominant revenue stakeholders for their actions. Today, these 'stakeholders' are primarily national and international banks and related financial institutions, transnational corporations, and global organizations which regulate and police monetary (bank) and economic (political) policy.|