The Monetary Welfare Optimum
From the very beginning of this essay, the goal has been to identify basic deficiencies in the welfare optimum of the capitalistic economic system. Already in Chapter 1.5 it was assumed that capitalism would be best if returns on mere capital approximated zero. The starting point of the investigation was capital. But step by step attention shifted from capital in general to financial capital in particular, and above all to the transaction benefits of money, that is to money’s monetary liquidity, its services, and its liquidity-premium. Now it is time to summarize the results.
KeywordsMarginal Utility Cash Holder Real Capital Welfare Optimum Welfare Criterion
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