The formation of money prices is a pervasive feature of market economies. The theoretical explanation of money prices requires economists to recognize that prices are the result of a cumulative process in which past prices and practices create present prices, which are the basis of the plans and actions that will create future prices and practices. Lavoie’s interpretive economics embraces the historical element in economic theory and furnishes an approach congenial to studying the market as a cumulative process.
The Review of Austrian Economics – Springer Journals
Published: Feb 22, 2011
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