Cadmus

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New Paradigm in the Service Economy The Search of Economics for Scientific Credibility: In between Hard and Soft Sciences

Abstract
After the very long cycle (about 10,000 years) of societal and economic development based on agriculture, followed by a short cycle in which the industrial revolution became the prime mover (for less than 3 centuries), the world has entered a phase marked by the growing and determining importance of service activities (both monetarized and non-monetarized) . Read More

The Riches of the Ocean for Humankind: Rethinking Value in Economics and Development

Abstract
We acknowledge the inadequacy of the ancient model to develop the wealth of nations and the recognition that both economics and ecology are the best possible ways to manage world and human resources to achieve a better wealth of nations. The rebuilding of economics and of a credible strategy for increasing the wealth and well-being of nations is today at the center of the problem of providing a sound basis for the legitimacy and credibility of public institutions and governments. If the dichotomy between traditional economic goals and new ecological and environmental requirements for sustainable development will not credibly combine, the political consensus and the legitimacy of governments at the local, national, and international levels will have a tendency to produce on the new liberalizing world disaggregation effects that could be as extensive as those witnessed in former Marxist countries. Read More

The Balance Sheet of the Parallel Action carried out by the Secretariat of the Soul and Precision, 100 Years Later

Abstract

Exactly 100 years ago, Austrian writer Robert Musil’s book “The Man Without Qualities” foresaw the cultural challenge that Relativity and Quantum Theory would pose to the Newtonian mechanistic worldview of the 19th century. His book anticipated the transition that would eventually compel a deterministic, reductionist science of predictability to enter into dialogue with the emerging subjective and intuitive perception of uncertainty, complexity, freedom and creativity, which promises to revolutionize our way of thinking in the 21st century. Musil anticipated the reconciliation of science and the arts – universal, immutable, scientific truth and dynamic, indeterminate human nature. This essay traces the evolution of Economics from a deterministic material science seeking to emulate the mathematical precision and predictability of Physics into a human-centred social science compatible with indeterminism and uncertainty. The notion of Newtonian equilibrium in Economics is rapidly giving way to dynamic, evolutionary disequilibrium.
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The Demographic Revolution: Reconceptualizing Macroeconomics

Abstract

It is important to reconsider the measurements which refer to the “Wealth of Nations” and from which the most appropriate references for better welfare policies are derived. In the present Service Economy, not all the “value added” measures indicate an increase in the level of wealth (the costs to cope with pollution for instance), whereas many developments in service functions and performances (in the case of many communication systems for instance) add to real wealth much more than the usual value added references indicate. In particular, the notion of productivity in a Service economy is much more relevant with reference to performance in time (hence in a probabilistic system) than to the production factor costs (in an equilibrium-based system). But all this is linked to progress in economics as a discipline, and to its integration with environmental issues (which also pretend to solve the problems of the “Wealth of Nations” on the basis of their “sustainability”). This will be a new era in economic development which will be beyond current extrapolations and will hope for “growth” in the traditional Industrial Revolution perspective. Read More

Counter-Aging in the Post-industrial Society

Several articles in Cadmus Journal have explored the meaning of “Wealth of Nations” at a time when the Industrial Revolution has given way to the Service Economy. In parallel, the European Papers on the New Welfare has been examining the lengthening of human life cycle as a decisive social and economic issue.
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Science and Economics: The Case of Uncertainty & Disequilibrium

1. Neoclassical Economics & the “General Equilibrium” System

1.1 Supply and Demand in a Static “Perfect” Equilibrium

The act of selling or buying goods always takes place at a given moment or instant in time, at which a price is agreed and paid. Read More

Editorials: Updating macro-economics

Adam Smith’s analysis in the Wealth of Nations gave birth at the end of the eighteenth century to economics as we know it today. As a moral philosopher, he wanted to provide a better understanding of how to fight poverty. While most social thinkers insisted that wealth could only develop from agriculture, Smith observed that the beginning of the industrialisation process was the key and priority to promote the Wealth of Nations for the future. And he was right.
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