[HN Gopher] Human capital, innovation, and growth
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       Human capital, innovation, and growth
        
       Author : luu
       Score  : 30 points
       Date   : 2022-08-14 09:44 UTC (13 hours ago)
        
 (HTM) web link (onlinelibrary.wiley.com)
 (TXT) w3m dump (onlinelibrary.wiley.com)
        
       | nayuki wrote:
       | > The tax on human capital indeed has a negative effect on its
       | accumulation. ... An increase in the tax on savings has an
       | immediately negative effect on the growth rate
       | 
       | So, tax unimproved land instead?
       | https://en.wikipedia.org/wiki/Land_value_tax ,
       | https://en.wikipedia.org/wiki/Georgism
        
         | joeamroo wrote:
         | You might wanna challenge your priors:
         | https://www.orionsarm.com/fm_store/Critique%20of%20Georgism....
        
       | tuatoru wrote:
       | The abstract and introduction read like this is the "assume a
       | spherical cow on a frictionless plane" level of theorising.
       | 
       | A better use of time might be reading a chapter or two of
       | Bowles's _Microeconomics: Behavior, Institutions, and Evolution_
       | [1], which at least tries to engage with the real world.
       | 
       | Edit: Or learning about Hotelling's Rule[2], given recent rises
       | in the price of fossil fuel.
       | 
       | 1. https://www.amazon.com/Microeconomics-Institutions-
       | Evolution...
       | 
       | 2. https://en.wikipedia.org/wiki/Hotelling's_rule
        
         | t_mann wrote:
         | > assume a spherical cow on a frictionless plane
         | 
         | It's even worse than that. In physics, we know in principle
         | what's wrong with that model and how to fix it. Macroeconomics
         | would need to ditch its entire modelling paradigm, except that
         | we still don't really have a good replacement.
         | 
         | https://paulromer.net/the-trouble-with-macro/WP-Trouble.pdf
        
           | contingencies wrote:
           | _Classical economics is based on a false analogy with
           | Newtonian physics._ - George Soros, billionaire
           | 
           | The better replacement is behavioral.
        
             | paganel wrote:
             | Behavioral economics also gave us all that nudge non-sense,
             | so not sure that's a good choice, either.
             | 
             | Economics as a whole would certainly gain from using less
             | maths, but unfortunately I think that ship has sailed by
             | now.
        
         | nonrandomstring wrote:
         | > Hotelling's Rule [2], given recent rises in the price of
         | fossil fuel.
         | 
         | Fair points. Some of the economic language is a bit hard for me
         | to follow, but I always took Hotelling as an explanation for
         | some perverse incentives not explainable within, but adjacent
         | to, systems theory.
         | 
         | Weird ones like how the demand for killing nearly extinct
         | species goes up because mega-rich crazies will pay a fortune at
         | black-market restaurants to eat the last one.
         | 
         | [2] https://en.wikipedia.org/wiki/Hotelling's_rule
        
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       (page generated 2022-08-14 23:02 UTC)