PRAXEOLOGY DOES NOT LOSE INFORMATION. ALL AGGREGATES IN MATHEMATICS CAUSE LOSS O

PRAXEOLOGY DOES NOT LOSE INFORMATION. ALL AGGREGATES IN MATHEMATICS CAUSE LOSS OF INFORMATION. PRAXEOLOGICAL ANALYSIS DOES NOT.

That information loss benefits the state. That is why economics is an aggregate discipline. Aggregates do EXPOSE the effects of informational asymmetry – sticky prices and contracts etc. They do help us find informational asymmetry in the multitudinous places it exists. Aggregates help investors profit from specializing in the pursuit of that asymmetric knowledge. And if you are one of the people that thinks fiat money and credit are more beneficial than the business cycle, then aggregates certainly help determine the amount of money needed by the economy at any given point in time. But aggregates do not contain information about involuntary transfers. And they destroy information as does fiat money and credit, by distorting the information provided by prices.

The praxeological solution to advancing the economy, is not do dump disinformation in the form of credit, into the pricing system we call the economy. Instead, praxeology would tell us to create institutions that better facilitate the cooperation of groups at those scales that the market has difficulty in facilitating. Particularly those problems that are caused by jurisdictional overlap. Or those where the impact of ‘cheating’ or ‘privatization’ of investment would prevent the risk taking needed for those investments, if they were exposed to the market.

The only mandatory function of government, as far as I can determine, is to prevent cheating. Now, it may not be obvious that the defense of property rights of all kinds is simply the prevention of cheating. But governments must prevent indirect involuntary transfers by issuing laws in furtherance of preventing privatizations of the commons – cheating.

Praxeology makes all cheating visible and open to criticism and prevention.

Praxeology tells us that we should endeavor to create institutions that will assist classes in creating contracts, the terms of which have the force of law under the one law of property, and not leave it to a ruling class – elected or not – to determine laws. The scope of contracts is controllable by all parties. The scope of lawmaking appears not to be controllable, because it is only bounded by the will of those in charge NOT to exercise power if they can.

All mathematics is predicated upon ratios : balance. Accounting uses double entries to create a balance where none would exist. In human relations VOLUNTARY EXCHANGE determines this balance. Efficiency does not, because it obscures involuntary transfers. And as such, any argument to efficiency is an argument to theft.

Praxeology: voluntarism, creates the balance, the scale, the ability to render ethical judgments not out of complex arguments to efficiency, but very simply, out of the willingness of individuals to participate in an exchange once they are confident that no involuntary transfers will be produced by this exchange.

Propertarianism is the solution to the problem of politics in the post-democratic era.