Economists From The United States

"[In science any model depends on a pre-chosen taxonomy] a set of classifications into which we divide the enormous complexity of the real world... Land, labor, and capital are extremely heterogeneous aggregates, not much better than earth, air, fire, and water."

"The World is a very complex system. It is easy to have too simple a view of it, and it is easy to do harm and to make things worse under the impulse to do good and make things better."

"One can even go beyond know-what into know-whether. This involves the evaluative structure of the human mind which enables us to make decisions and choices among different images of the future. Human behavior cannot be explained without this further development in the hierarchy that starts with simple information. This actually goes back a long way in evolution. Even the amoeba knows whether to absorb a piece of grit or a piece of food."

"With the development of the human race (and perhaps a little earlier), a new structure emerges, which we can call know-what. This consists of the structures in the nervous system which presumably map into some kind of images in the of the 'mind', which also map into structure in the 'real world', whatever that is. Know-what is very different from know-how. The fertilized egg certainly has the know-how to make whatever organism it knows how to make, but it is very doubtful that it knows what it is doing. The remarkable thing about know-what is that it creates know-how, as we see with the fantastic burgeoning of human artifacts under the influence of a science-based technology. Science, fundamentally, deals with know-what and this enormously increases know-how."

"Canada has no cultural unity, no linguistic unity, no religious unity, no economic unity, no geographic unity. All it has is unity."

"Physicists can only talk to other physicists and economists to economists... sociologists often cannot even understand each other."

"Dialectics in many different forms has a surprisingly good press. Most people believe that struggle is very important and that it is important to be on the right side in a conflict.... Part of the difficulty is that the human race has an enormous and by no means unreasonable passion for the dramatic, and conflict is much more dramatic than production....The awful truth about the universe - that it is not only rather a muddle, but also pretty dull - is wholly unacceptable to the human imagination. Nevertheless, it is the dull, nondialectical processes that hold the world together, that move it forward, and that provide the setting within which the dialectical processes take place. Evolution is the theatre, dialectics the play. It is a tragic error to mistake the play for the theatre, however, because that all too easily ends in the theatre burning down... Unless there is a reasonably widespread appreciation of the proper role of dialectical processes, these tend to get out of hand and become extremely destructive.... doing more harm than good."

"The social dynamics of human history, even more than that of biological evolution, illustrate the fundamental principle of ecological evolution - that everything depends on everything else. The nine elements that we have described in societal evolution of the three families of phenotypes - the phyla of things, organizations and people, the genetic bases in knowledge operating through energy and materials to produce phenotypes, and the three bonding relations of threat, integration and exchange - all interact on each other."

"[The information available within a system constitutes what Boulding (1978) calls the noosphere. It is constituted by the collection of plans, of representations, of procedures, of ideas for the construction of objects or of instructions to realize certain interaction patterns, including] the totality of the cognitive content, including values, of all human nervous systems, plus the prostatic devices by which the system is extended and integrated in the form of libraries, computers, telephones, post offices, and so on."

"Human artifacts not only include material structures and objects, such as buildings, machines, and automobiles, but they also include organizations, organizational structures like extended families . . . tribes, nations, corporations, churches, political parties, governments, and so on. Some of these may grow unconsciously, but they all originate and are sustained by the images in the human mind."

"Populations interact, some decline to extinction, and some expand. In an ice age the tundra advances on the forest, but in no sense is there a "struggle" between them. As the temperature gets colder, the forest species decline and the tundra species increase; that is all. There is neither effort nor fight. As we move toward the more complex animals, of course, both effort and fighting become more common, but even in the predator-prey relationship, there is catching and eating rather than fighting."

"DNA has been aptly described as the first three-dimensional Xerox machine."

"Nothing fails like success, because we do not learn anything from it. We only learn from failure, but we do not always learn the right things from failure. If there is a failure of expectations, that is, if the messages that we receive are not the same as those we expected, we can make three possible inferences."

"Looked at from the perspective of twentieth-century earth, we see three great stages in the dynamic process of the universe. To this whole process, as it spreads out over perhaps ten billion years of time and ten billion light years of space, we give the name evolution, and we see three great patterns within it. The first is physical evolution. This presumably started with the development of the most elementary particles (whatever they may be); then of neutrons, protons, electrons, and radiations; then of elements from hydrogen to uranium and beyond formed by combining protons and electrons; then of chemical compounds; then finally of increasingly complex molecules from amino acids, and proteins to the great watershed of DNA, the beginnings of life."

"[Boulding grasps the significance of sociobiology's emphasis on biogenetics] that there are biogenetic factors in learning capacity and potential can hardly be denied... [yet] biogenetically imposed limits to human learning... seem to be much more remote... than are the limitations imposed by the biogenetic structure.""

"The evolutionary vision is agnostic in regard to systems in the universe of greater complexity than those of which human beings have clear knowledge. It recognizes aesthetic, moral, and religious ideas and experiences as a species, in this case of mental structures or of images, which clearly interacts with other species in the world's great' ecosystem."

"Any attempt to reduce the complex properties of biological organisms or of nervous systems or of human brains to simple physical and chemical systems is foolish."

"[The law of evolution states that] complexity increases in terms of differentiation and structure."

"Communication can only take place among equals."

"[if the automobile is replaced by public trans port] the social structure of cities will revert to the ecological pattern of 1880."

"We never like to admit to ourselves that we have made a mistake. Organizational structures tend to accentuate this source of failure of information."

"Equilibrium is a figment of the human imagination."

"The world moves into the future as a result of decisions, not as a result of plans. Plans are significant only insofar as they affect decisions."

"The social system tends to be dominated by images... especially of the future, which act cybernetically, constantly guided by perceived divergences between the real and the ideal"

"One reason why the progressive state is 'cheerful' is that social conflict is diminished by it."

"[In order to define the distinction between a grant and an exchange transaction, Boulding has used the net worth criterion] If there is no decrease in the net worth of either party, the transaction is exchange; if there is, it contains some grant element and is an explicit or implicit grant."

"Political conflict rests to a very large extent on a universal ignorance of consequences, as the people who are benefited by any particular act or policy are rarely those who struggled for it, and the people who are injured are rarely those who opposed it."

"At the opposite pole from the gift is tribute - that is, a grant made out of fear and under threat. A threat is a statement of the form "you do something that I want or I will do something that you do not want."

"[You know you are in a part of the economy dealing with grants instead of exchange when] A gives B something and B does not give A anything in the way of an economic good."

"If the society toward which we are developing is not to be a nightmare of exhaustion, we must use the interlude of the present era to develop a new technology which is based on a circular flow of materials such that the only sources of man's provisions will be his own waste products."

"Economics, we learn in the history of thought, only became a science by escaping from the casuistry and moralizing of medieval thought."

"It is almost as hard to define mathematics as it is to define economics, and one is tempted to fall back on the famous old definition attributed to , “Economics is what economists do,” and say that mathematics is what mathematicians do. A large part of mathematics deals with the formal relations of quantities or numbers."

"If there is one idea that has dominated the history of the United States, it is the idea of progress. Yet analyses of this idea are surprisingly rare. Furthermore, in spite of having been founded by a rather small revolution, the dominant dynamic of the United States has been evolutionary, through social mutation (invention), production, and selection. In this paper, therefore, I propose to look at the larger question of the nature of evolutionary change, and the conditions under which change can be identified as progress."

"[The question for the behavioral disciplines is simply] what is better, and how do we get there?"

"They, economics and evolution, are both examples of a larger process, which has been at work in this part of the universe for a very long time. This is the process of the development of structures of increasing complexity and improbability. The evolutionary process always operates through mutation and selection and has involved some distinction between the genotype which mutates and the phenotype which is selected. The process by which the genotype constructs the phenotype may be described as "organization". Economic development manifesto itself largely in the production of commodities, that is, goods and services. It originates, however, in ideas, plans, and attitudes in the human mind. These are the genotypes in economic development. This whole process indeed can be described as a process in the growth of knowledge. What the economist calls "capital" is nothing more than human knowledge imposed on the material world. Knowledge and the growth of knowledge, therefore, is the essential key to economic development. Investment, financial systems and economic organizations and institutions are in a sense only the machinery by which a knowledge process is created and expressed."

"Knowledge exists in minds, not in books. Before what has been found can be used by practitioners, someone must organize it, integrate it, extract the message"

"[The historical] development in the international system may almost be defined as the process by which we pass from stable war to stable peace."

"My first acquaintance with the work of Dr. Fred Polak came in the year 1954–5, when we were both fellows at the new Center for Advanced Study in the Behavioral Sciences at Stanford. Dr. and Mrs. Polak lived in a little house at the back of the garden of the house that the Bouldings rented and participated very cheerfully in the life of the Bouldings and their four young children. Many exciting things came out of that year at Stanford, such as the Society for General Systems Research and the Journal of Conflict Resolution. But looking back on the expérience after nearly twenty years, I think the most important impact on the thought of both Elise Boulding and myself were the many conversations that we had with the Polaks around the dining table and in the garden."

"The troubles of the 20th century are not unlike those of adolescence -- rapid growth beyond the ability of organizations to manage, uncontrollable emotion, and a desperate search for identity. Out of adolescence, however, comes maturity in which physical growth with all its attendant difficulties comes to an end, but in which growth continues in knowledge, in spirit, in community, and in love; it is to this that we look forward as a human race. This goal, once seen with our eyes, will draw our faltering feet toward it."

"The human condition can almost be summed up in the observation that, whereas all experiences are of the past, all decisions are about the future. It is the great task of human knowledge to bridge this gap and to find those patterns in the past which can be projected into the future as realistic images."

"The organization of science into disciplines sets up a series of ghettos with remarkable distances of artificial social space between them."

"Perhaps the most difficult ethical problem of the scientific community arises not so much from conflict with other subcultures as from its own success. Nothing fails like success because we don't learn from it. We learn only from failure."

"There is a kind of second law of cultural dynamics which states simply that when anything has been done, it cannot be done again. In other words, we start off any system with a potential for novelty which is gradually exhausted. We see this in every field of human life, in the arts as well as the sciences. Once Beethoven has written the Ninth Symphony, nobody else can do it. Consequently, we find that in any evolutionary process, even in the arts, the search for novelty becomes corrupting. The "entropy trap" is perhaps the most subtle and the most fundamental of the obstacles toward realising the developed society..."

"Even personal tastes are learned, in the matrix of a culture or a subculture in which we grow up, by very much the same kind of process by which we learn our common values. Purely personal tastes, indeed, can only survive in a culture which tolerates them, that is, which has a common value that private tastes of certain kinds should be allowed."

"Every culture, or subculture, is defined by a set of common values, that is, generally agreed upon preferences. Without a core of common values a culture cannot exist, and we classify society into cultures and subcultures precisely because it is possible to identify groups who have common values."

"Adam Smith, who has strong claim to being both the Adam and the Smith of systematic economics, was a professor of moral philosophy and it was at that forge that economics was made. Even when I was a student, economics was still part of the moral sciences tripos at Cambridge University. It can claim to be a moral science, therefore, from its origin, if for no other reason. Nevertheless, for many economists the very term “moral science” will seem like a contradiction. We are strongly imbued today with the view that science should be wertfrei and we believe that science has achieved its triumph precisely because it has escaped the swaddling clothes of moral judgment and has only been able to take off into the vast universe of the “is” by escaping from the treacherous launching pad of the “ought.” Even economics, we learn in the history of thought, only became a science by escaping from the casuistry and moralizing of medieval thought."

"The concept of a value-free science is absurd."

"No science of any kind can be divorced from ethical considerations... Science is a human learning process which arises in certain subcultures in human society and not in others, and a subculture as we seen is a group of people defined by acceptance of certain common values, that is, an ethic which permits extensive communication between them."

"Let me first explain, then, what I mean by moral and moral science. A moral or ethical proposition, is a statement about a rank order of preference among alternatives, which is intended to apply to more than one person. A preference which applies to one person only is a taste. Statements of this kind are often called "value judgments." If someone says, "I prefer A to B," this is a personal value judgment, or a taste. If he says, "A is better than B," there is an implication that he expects other people to prefer A to B also, as well as himself. A moral proposition then is a "common value"."

"The idea of knowledge as an improbable structure is still a good place to start. Knowledge, however, has a dimension which goes beyond that of mere information or improbability. This is a dimension of significance which is very hard to reduce to quantitative form. Two knowledge structures might be equally improbable but one might be much more significant than the other."