October 11, 2017 — How do you measure the growth and progress in an economy? Textbook economics notions of GDP, market analysis, and monetary theory fail to provide a measure of true progress or decline. Economics is fundamentally a physical process, and we start by understanding the role of technologies and machinery in improving the productive powers of labor.
Assignment: Define how you would measure the capital intensity aspect of the iron productivity case study. Choose a sector of production. How has the capital intensity changed in the last 20 years? The last 150 years?
Reading for next class: webcast keynote “Gifts of Prometheus”