Error - Revision history

Pestergaines: Some formatting.

2012-11-07T22:53:56Z

Some formatting.

← Older revision		Revision as of 22:53, 7 November 2012
Line 1:		Line 1:
	'''Error''' occurs when an acting person or entity misjudges or miscalculates. ~~A common [[straw man]] argument used against libertarians is that they assume that only the government, and not private sector actors, err.~~ [[Jörg Guido Hülsmann]] writes, "Any [[business cycle theory]] is essentially a theory of error. . . . Error or failure is a permanent condition of human endeavor. It consists of choosing an alternative for action that is less important (less preferred) than another one that could have been executed instead. Austrian business cycle theory does not have to assume that, were it not for inflation, the market participants would not err at all. It can rely entirely on the idea that inflation causes additional errors; that is, more errors than otherwise would have occurred".<ref>Toward a General Theory of Error Cycles</ref> [[Loss]] is a signal to the entrepreneur that he has erred in the allocation of his resources, e.g. by [[malinvestment]].		'''Error''' occurs when an acting person or entity misjudges or miscalculates.{{Fact}}

			==Error in economics==
			[[Jörg Guido Hülsmann]] writes, "Any [[business cycle theory]] is essentially a theory of error. . . . Error or failure is a permanent condition of human endeavor. It consists of choosing an alternative for action that is less important (less preferred) than another one that could have been executed instead. Austrian business cycle theory does not have to assume that, were it not for inflation, the market participants would not err at all. It can rely entirely on the idea that inflation causes additional errors; that is, more errors than otherwise would have occurred".<ref>Toward a General Theory of Error Cycles</ref> [[Loss]] is a signal to the entrepreneur that he has erred in the allocation of his resources, e.g. by [[malinvestment]].

	[[Henry Hazlitt]] writes that "the [[speculator]]s have actually subsidized the farmers. This, of course, was not their intention: it has simply been the result of a persistent tendency to over-optimism on the part of speculators. (This tendency seems to affect entrepreneurs in most competitive pursuits: as a class they are constantly, contrary to intention, subsidizing consumers. This is particularly true wherever the prospects of big speculative gains exist. Just as the subscribers to a lottery, considered as a unit, lose money because each is unjustifiably hopeful of drawing one of the few spectacular prizes, so it has been calculated that the total labor and capital dumped into prospecting for gold or oil has exceeded the total value of the gold or oil extracted.)"<ref>{{cite book\|chapter=Stabilizing Commodities\|title=Economics in One Lesson\|author=Hazlitt, Henry}}</ref>		[[Henry Hazlitt]] writes that "the [[speculator]]s have actually subsidized the farmers. This, of course, was not their intention: it has simply been the result of a persistent tendency to over-optimism on the part of speculators. (This tendency seems to affect entrepreneurs in most competitive pursuits: as a class they are constantly, contrary to intention, subsidizing consumers. This is particularly true wherever the prospects of big speculative gains exist. Just as the subscribers to a lottery, considered as a unit, lose money because each is unjustifiably hopeful of drawing one of the few spectacular prizes, so it has been calculated that the total labor and capital dumped into prospecting for gold or oil has exceeded the total value of the gold or oil extracted.)"<ref>{{cite book\|chapter=Stabilizing Commodities\|title=Economics in One Lesson\|author=Hazlitt, Henry}}</ref>

FormerContributor-78162cb3 at 06:09, 5 November 2012

2012-11-05T06:09:11Z

← Older revision		Revision as of 06:09, 5 November 2012
Line 1:		Line 1:
	'''Error''' occurs when an acting person or entity misjudges or miscalculates. A common [[straw man]] argument used against libertarians is that they assume that only the government, and not private sector actors, err. [[Jörg Guido Hülsmann]] writes, "Any [[business cycle theory]] is essentially a theory of error. . . . Error or failure is a permanent condition of human endeavor. It consists of choosing an alternative for action that is less important (less preferred) than another one that could have been executed instead. Austrian business cycle theory does not have to assume that, were it not for inflation, the market participants would not err at all. It can rely entirely on the idea that inflation causes additional errors; that is, more errors than otherwise would have occurred".<ref>Toward a General Theory of Error Cycles</ref> [[Loss]] is a signal to the entrepreneur that he has erred in the allocation of his resources.		'''Error''' occurs when an acting person or entity misjudges or miscalculates. A common [[straw man]] argument used against libertarians is that they assume that only the government, and not private sector actors, err. [[Jörg Guido Hülsmann]] writes, "Any [[business cycle theory]] is essentially a theory of error. . . . Error or failure is a permanent condition of human endeavor. It consists of choosing an alternative for action that is less important (less preferred) than another one that could have been executed instead. Austrian business cycle theory does not have to assume that, were it not for inflation, the market participants would not err at all. It can rely entirely on the idea that inflation causes additional errors; that is, more errors than otherwise would have occurred".<ref>Toward a General Theory of Error Cycles</ref> [[Loss]] is a signal to the entrepreneur that he has erred in the allocation of his resources, e.g. by [[malinvestment]].

	[[Henry Hazlitt]] writes that "the [[speculator]]s have actually subsidized the farmers. This, of course, was not their intention: it has simply been the result of a persistent tendency to over-optimism on the part of speculators. (This tendency seems to affect entrepreneurs in most competitive pursuits: as a class they are constantly, contrary to intention, subsidizing consumers. This is particularly true wherever the prospects of big speculative gains exist. Just as the subscribers to a lottery, considered as a unit, lose money because each is unjustifiably hopeful of drawing one of the few spectacular prizes, so it has been calculated that the total labor and capital dumped into prospecting for gold or oil has exceeded the total value of the gold or oil extracted.)"<ref>{{cite book\|chapter=Stabilizing Commodities\|title=Economics in One Lesson\|author=Hazlitt, Henry}}</ref>		[[Henry Hazlitt]] writes that "the [[speculator]]s have actually subsidized the farmers. This, of course, was not their intention: it has simply been the result of a persistent tendency to over-optimism on the part of speculators. (This tendency seems to affect entrepreneurs in most competitive pursuits: as a class they are constantly, contrary to intention, subsidizing consumers. This is particularly true wherever the prospects of big speculative gains exist. Just as the subscribers to a lottery, considered as a unit, lose money because each is unjustifiably hopeful of drawing one of the few spectacular prizes, so it has been calculated that the total labor and capital dumped into prospecting for gold or oil has exceeded the total value of the gold or oil extracted.)"<ref>{{cite book\|chapter=Stabilizing Commodities\|title=Economics in One Lesson\|author=Hazlitt, Henry}}</ref>

FormerContributor-78162cb3: Created page with "'''Error''' occurs when an acting person or entity misjudges or miscalculates. A common straw man argument used against libertarians is that they assume that only the gove..."

2012-11-04T23:54:12Z

Created page with "'''Error''' occurs when an acting person or entity misjudges or miscalculates. A common straw man argument used against libertarians is that they assume that only the gove..."

New page

'''Error''' occurs when an acting person or entity misjudges or miscalculates. A common [[straw man]] argument used against libertarians is that they assume that only the government, and not private sector actors, err. [[Jörg Guido Hülsmann]] writes, "Any [[business cycle theory]] is essentially a theory of error. . . . Error or failure is a permanent condition of human endeavor. It consists of choosing an alternative for action that is less important (less preferred) than another one that could have been executed instead. Austrian business cycle theory does not have to assume that, were it not for inflation, the market participants would not err at all. It can rely entirely on the idea that inflation causes additional errors; that is, more errors than otherwise would have occurred".<ref>Toward a General Theory of Error Cycles</ref> [[Loss]] is a signal to the entrepreneur that he has erred in the allocation of his resources.

[[Henry Hazlitt]] writes that "the [[speculator]]s have actually subsidized the farmers. This, of course, was not their intention: it has simply been the result of a persistent tendency to over-optimism on the part of speculators. (This tendency seems to affect entrepreneurs in most competitive pursuits: as a class they are constantly, contrary to intention, subsidizing consumers. This is particularly true wherever the prospects of big speculative gains exist. Just as the subscribers to a lottery, considered as a unit, lose money because each is unjustifiably hopeful of drawing one of the few spectacular prizes, so it has been calculated that the total labor and capital dumped into prospecting for gold or oil has exceeded the total value of the gold or oil extracted.)"<ref>{{cite book|chapter=Stabilizing Commodities|title=Economics in One Lesson|author=Hazlitt, Henry}}</ref>

==References==
{{reflist}}

[[Category:Economics]]