Chapter 1. Some Initial Assumptions SOCECO (new).pptx

Discusses the philosophical-anthropological foundations of economics

1. Chapter 1. Some Initial Assumptions 1

2. Some Initial Assumptions Anthropological Basis of Work The Attainment of Well-Being as the End of Economics The Essence of Economic Activity Money Wealth, Poverty and Equality Sources of Wealth Consumption, Property and Investment Source: Yepes, Ricardo Stork (1996) Fundamentos de Antropología. Ediciones Universidad de Navarra, S.A. EUNSA). Capítulo 13. pp. 351-354 2

3. Anthropological Each person is composed of body and spirit: A person is more than a genetic composition. Economic life forms part of culture. But culture is not only economic life 3

4. Without the satisfaction of basic human needs, man cannot live Specific biological make-up of each person is the cause as to why these needs have to be addressed 4 Anthropological

5. Man’s corporal and instinctive needs can be satisfied in many different ways Freedom is key in order to achieve it in many different ways Man uses his intelligence in order to satisfy these needs and instincts. 5 Anthropological

6. Longest Ocean Bridge in China 6

7. The Hong Kong–Zhuhai–Macau Bridge (HZMB) is a 55-kilometre (34 mi)  bridge–tunnel  system consisting of a series of three  cable-stayed bridges , an  undersea tunnel , and four  artificial islands . It is both the longest sea crossing [5] [6]  and the longest  open-sea fixed link  in the world. The HZMB spans the  Lingding  and  Jiuzhou  channels, connecting  Hong Kong ,  Macau , and  Zhuhai —three major cities on the  Pearl River Delta . [7] The HZM Bridge was designed to last for 120 years and cost  ¥ 127 billion (US$18.8 billion) to build. [2]  The cost of constructing the  Main Bridge  was estimated at  ¥ 51.1 billion (US$7.56 billion) funded by bank loans and shared among the governments of mainland China, Hong Kong and Macau. [8] Originally set to be opened to traffic in late 2016, [9] [10] [11]  the structure was completed on 6 February 2018 [1]  and journalists were subsequently taken for a ride over the bridge. [12] [13]  On 24 October 2018, the HZMB was opened to the public after its inauguration a day earlier by Chinese leader  Xi Jinping . 7

8. The person has more needs than the recourse in order to satisfy them Reason: initial biological needs and the intellectual faculties which enables the person to propose to oneself ends which are not strictly organic 8 Anthropological

9. The satisfaction of basic needs are those needs which refer primarily to our corporal condition. The resources which can be used to satisfy these needs are scarce Search for means to satisfy them. Economics, precisely, deals with applying the art and technique of using scarce resources or means to satisfy needs Basic needs: nutrition, clothing, living or shelter 9 Anthropological

10. Conclusion: Economics is a peculiar characteristic of being human. The person’s reason and will is manifested in how he is able to satisfy needs Economics is based on work. How he makes use of scarce resources to satisfy present and future needs through technique. 10 Anthropological

11. From here, we see the context of the other topics: Well-being as the motor of economics Technique of managing scarce resources and the production of goods Achieved through the use of money: exchange and store of wealth Nature of this scarcity Sources of wealth Economic activity related to consumption Centrality of work in developing economic institutions such as the market and the firm 11 Anthropological

12. The Attainment of Well-Being as the End of Economics There is a natural inclination for each person to seek something which is strictly more than what is indispensable in order to live. Each individual has needs which goes beyond what is merely organic. That which is more than organic is what we call well-being. 12

13. The Attainment of Well-Being as the End of Economics One does not simply live, one but has to be living well through the development of one’s spirit, his culture. Go beyond the requisites of one’s minimum subsistence: use of one’s reason. 13

14. The Attainment of Well-Being as the End of Economics Explanation for luxury: go beyond minimum subsistence. What is proper of economics, therefore, is to respond to the impulse which brings one to the humanization of the material conditions of life. 14

15. Resources will always be scarce otherwise no sense to study economics Scarcity is an initial and constant situation. Deliberation and decision. Account for the means. 15 The Essence of Economic Activity

16. Central problem of economics in society is how to reconcile the conflict between needs and unlimited desires, and, the scarcity of resources (land, labor and capital) necessary to produce these needs. Have to apply the principle of economics: Achievement of maximum utility at the minimum cost. (Market or technical efficiency). 16 The Essence of Economic Activity

17. Economics is therefore primarily mathematical, not because it is rigorous and exacting, but because it has to account as to how far resources can be used. 17 The Essence of Economic Activity Bangkok Shipyard

18. Practical science-resolves problems making an account of the use of scarce resources Theoretical science-study of the behavior of economic agents and the results of such 18 The Essence of Economic Activity Bangkok Shipyard

19. 19 What is True and foundational in economics is that it looks at each person privately as well as each one being an economic agent. Many facets. The Essence of Economic Activity

20. 20 Human work multiplies these scarce resources. This makes production the principal economic activity The Essence of Economic Activity

21. Professional view of production Introduce a product: create it and put in into the free market 21 The Essence of Economic Activity

22. All the dynamics of business activity is based on work as a factor which creates wealth and moves the economy. Business is that particular type of production activity which is obtained from the spontaneous harmony of distinct wills dictated by reciprocation or mutual interest. 22 The Essence of Economic Activity

23. Under this focus, economics becomes a fountain of wealth based on human creativity When a product is put into the free market, one can have both dispositions of interest and benevolence. 23 The Essence of Economic Activity

24. They are complementary, not contradictory Adam Smith’s intrinsic goodness of man refers to the fact that man can give in a benevolent manner while at the same time taking care of his own proper interest. 24 The Essence of Economic Activity

25. 25 What is natural in man is love-giving oneself as well as obtaining what is lacking, or love-necessity. The Essence of Economic Activity

26. 26 Love-necessity is not acquiring what we lack, at the cost of removing the love-giving which is as natural and necessary as the former. The Essence of Economic Activity

27. 27 Functions of Money: Exchange, Fixed Unit of Account, Store of Value, Unit for Deferred Payments An important means to achieve well-being. Thus, it is only a means. When money is valued for its own sake, a person falls into the error of valuing things only from the point of view of results Money

28. 28 Misery is not equal to poverty. Both refers to the inability of a person to achieve not only basic necessities but also those goods proper of the spirit. Real misery happens when life is valued only in terms of material possessions and one does not have it Wealth, Poverty & Equality Burj Khalifa, Dubai in 2010. Tallest building since 2010

29. 29 It is possible to eradicate poverty but it may be difficult to eradicate misery in a consumerist society Best source of wealth is human creativity. This is an economic fact. Human capital is an accepted economic concept Wealth, Poverty & Equality Burj Khalifa, Dubai in 2010. Tallest building since 2010

30. 30 Asia’s Icons: Skyscrapers, Temples, Flora and Fauna, Statues, Mountains

31. 31 The Eiffel Tower—or as the French call it, La Tour Eiffel—is one of the world’s most recognizable landmarks. The tower was designed as the centerpiece of the 1889 World's Fair in Paris and was meant to commemorate the centennial of the French Revolution and show off France’s modern mechanical prowess on a world stage. Mission: accomplished. The tower was built by Gustave Eiffel’s civil engineering firm in two years, two months, and five days, using 7,500 tons of iron and 2.5 million rivets. The end result of Eiffel’s hard work dominates the Parisian skyline and its stark silhouette has been emulated around the world in China, Las Vegas, Greece, and, of course, Paris, Texas. https://www.travelandleisure.com/attractions/landmarks-monuments/eiffel-tower-facts

32. The Eiffel tower in Paris was an icon of industrialization for 19 th century France. In the 20 th century, skyscrapers manifest the economic wealth and power a nation has acquired. Some skyscrapers include cultural traits and a nation’s vision. 32

33. DUBAI 2015 33

34. DUBAI 2020 34

35. 35 Do you agree these to be the icons (i.e. emblems and/or symbols) for the Philippines?

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37. 37 What do you think is/are the icon(s) (i.e. symbol, emblem) of the Philippines? (Excluding specific persons) ⓘ Start presenting to display the poll results on this slide.

38. 38 Word Cloud Poll Result as of 1415 PST, October 29, 2021