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Carl Menger's Principles of Economics - I

Hermitix

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The Laws Governing Goods Character

Menger outlines the fact here that there is a direct cause of satisfaction of a need. There's a causal relationship with other goods. Items such as wheat, flour, salt only have goods character if they can be transformed into something which will actually directly satisfy our desire. If you don't have the means to smelt it and build it into something which actually satisfies the need, then it doesn't have goods character. Menger continues stating that the labour to till the fields would be good to the fourth order.

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