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An Economic Theory of Everything

Posted by accountingweb on Dec 16 2011 2244 printer friendly

[This post was written by VeraSage Institute Senior Fellow Ed Kless, who is the Senior Director, Partner Development and Strategy, at Sage].

One of my all time favorite TEDTalks [1] is by Rory Sutherland, a principal at the advertising firm Ogilvy. His brilliant analysis was on display again at Zeitgeist 2011 [2] in his talk, "Rediscovering a Lost Science [3]."

The lessons here are many, but for me key learning is the link between Austrian and Behavioral economics:

  • All value is subjective, AND.
  • All prices are contextual.

The implications of these two statements together are profound and in my opinion amount to an economic theory of everything.

 

 


Source URL: http://www.accountingweb.com/blogs/ronaldbaker/firms-future/economic-theory-everything

Links:
[1] http://www.ted.com/talks/rory_sutherland_life_lessons_from_an_ad_man.html
[2] http://www.zeitgeistminds.com/
[3] http://youtu.be/P1mOsHFXZFA