this is an interesting topic, thanks for the great post. i find it frustrating that economists use some non-standard definitions for common words (i’m not looking for precise definitions but consistent definitons would be helpful). in the context of the solow-swan model, i think the definitions/buckets would be something like:
input: raw materials, energy, time capital: tools, infrastructure, liquid assets labor: people, effort, skills technology: everything else (including things like research, entrepreneurship, political institutions) output: consumption goods, services
is this right? i think “technology” is the term that’s farthest from its common usage.
Technology must be defined properly and should not be framed as “everything else.” There are many theories on that but you could check Heidegger and Technology as a starters.
i’m not sure if you’re disagreeing with me, i too would like technology to be defined properly. i think the common understanding of technology would be confined to things like gadgets, software, automation. economists seem to use more of a civ version of the word, which includes things like writing, buddhism, plastic. if technology is not framed as “everything else”, i’d be curious to know what kinds of things are used in the production function but don’t fall in one of the three buckets. however, i’m more curious to know which bucket ai ends up in. i think most people would call it a technology, but i could be persuaded to stick it in capital (tool) or labor (brain).
this is an interesting topic, thanks for the great post. i find it frustrating that economists use some non-standard definitions for common words (i’m not looking for precise definitions but consistent definitons would be helpful). in the context of the solow-swan model, i think the definitions/buckets would be something like:
input: raw materials, energy, time
capital: tools, infrastructure, liquid assets
labor: people, effort, skills
technology: everything else (including things like research, entrepreneurship, political institutions)
output: consumption goods, services
is this right? i think “technology” is the term that’s farthest from its common usage.
Technology must be defined properly and should not be framed as “everything else.” There are many theories on that but you could check Heidegger and Technology as a starters.
i’m not sure if you’re disagreeing with me, i too would like technology to be defined properly. i think the common understanding of technology would be confined to things like gadgets, software, automation. economists seem to use more of a civ version of the word, which includes things like writing, buddhism, plastic. if technology is not framed as “everything else”, i’d be curious to know what kinds of things are used in the production function but don’t fall in one of the three buckets. however, i’m more curious to know which bucket ai ends up in. i think most people would call it a technology, but i could be persuaded to stick it in capital (tool) or labor (brain).