The "Divine Microeconomy Theory Can Answer Your Questions" Series!

I am adding another instructive tool to this blog. I will continue to describe the divine economy theory at the micro level and I will continue to address contemporary microeconomic issues. Additionally I will answer your specific questions, sort of a compendium of frequently asked questions (FAQ).

Divine Microfoundations of the Divine Economy Theory.

In consideration of the work being done to uncover the relationship between the economy at the micro and macro levels I have adopted some of the terminology currently used in the economic journals and literature. I like the word 'microfoundation' as it is used which is to indicate that the microeconomy provides a foundation for the macroeconomy.

What is missing in the contemporary approach is the new definition of equilibrium as described in the divine economy theory. Also missing is use of the subjectivist methodology which creates a bridge between two previously dissociated aspects of human consciousness - science and religion.

This is not surprising since the divine economy theory is just emerging and is known by few.

Without going into any more detail in this blog entry, suffice it to say that I feel comfortable using interchangeably the term 'divine microfoundation' and the term 'divine microeconomy.' By adopting this term I assume that some empiricists will take a look and that some atheistic subjectivists will also become curious.

"Microfoundations of Macroeconomics" in the Divine Economy Theory.

It appears that one of the hot topics in the economic journals is "microfoundations of macroeconomics" and work along these lines catches the attention of distinguished bodies of scholars. Pioneering work in "microfoundations of macroeconomics" contributed to the awarding of the 2006 Nobel prize in economics to Edmund Phelps.

The dominant slant in the economic literature is to present research that uses the empirical method meticulously, in this case, to further refine general equilibrium macroeconomics.

But there is a new theory that also contributes to the "microfoundations of macroeconomics" effort. So new that this blog entry may be the very first direct connection between the divine economy theory and the microfoundations of macroeconomics.

There are notable differences up front. The divine economy theory does not use the empirical method. It uses subjectivism since its origins are from the classical liberalism tradition.

In the divine economy theory equilibrium is re-defined. The powers and tendencies of equilibrium are still there but they are regarded as beyond human understanding. Instead what is given the attention is disequilibrium, which describes the real world experiences of humans.

Continuing this line of reasoning, there is no real separation between micro and macro. It is just looking at the same economy from different perspectives.

The exciting discovery that emerged from using the divine economy theory, and which was first documented in the scientific literature of economics in 2006, was the origin of all economic value. It turns out that all economic value directly or indirectly originates from the appearance of the attributes of God in the purposeful action of human beings. This is a groundbreaking and monumental discovery and serves as a launching pad for the future development of the divine economy theory.

This is also the seed of the "microfoundations of macroeconomics." Maybe a distinguished body of scholars will take notice.

Divine Microeconomy Methodology Replaces Fallacious Empiricism.

The reason we are now entering a new era in economic science is because the divine economy theory is capable of bridging economic science and religion. And although the divine economy theory is groundbreaking, nevertheless it rests upon the firm foundation of classical liberalism which has roots going back to the sixteenth century and perhaps even further back, all the way to the thirteenth century.

Despite this long-standing tradition of economic thought, which is distinguished by its methodology, most of contemporary economics ignores the method and the contributions of classical liberal thinkers. This is not a mere accident, it is intentional.

In a nutshell, the origin of economic empiricism comes from 'physics envy.' Early social scientists tried be recognized as scientific by imitating the methodology of the natural sciences. We are talking about the mid-1800's. Not coincidentally this is when the world political theatre took on the character of a power grab. Emerging on a scale never seen before in history were the ego-driven interventionists. Those who could justify this intervention were granted a portion of the dominion - thus enters the 'professional' economist with all their accompanying empirical economic tools.

Thankfully the divine economy theory destroys all the fallacies of empiricism. First of all it uses subjectivism as its methodology. In other words humans are allowed to exist as real and acting and sentient beings rather than as points of data.

And the most important new discovery that comes from the divine economy theory is that all value comes, directly or indirectly, from the appearance of the attributes of God in the form of purposeful human action. It is fallacious to imagine that value comes from government or from any of the intervention devised by the ego-driven interventionists or their cohorts serving as economic advisors.

This combination of the subjective methodology of classical liberalism and the new discoveries found in the divine economy theory turns contemporary economic literature and the 'economic profession' upside down.