Cost-Benefit Balance (3)
If the economy is producing Q1 –
- the Human Economic Costs of that production is P2.
- the Human Economic Effective Value of the consumption of Q1 is P1.
- Humanity would be better off if the economic output was increased to Q*.
(more Effective Value can be created at little cost!)
The Great Challenge –
How to achieve that optimum adjustment of consumer demand without resorting to coercion?
