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global imperative, especially for nonindustrialized economies, which are
smaller, poorer, and less self-sufficient than industrialized economies. There
is, however, a trade-off for the producing country—namely, great degra-
dation, not only to the environment but also to the actual well-being of its
citizens.
Further, the “how” questions are largely determined by technological
capabilities, which are, in this era of globalization, often known and avail-
able virtually worldwide. An automobile is produced with essentially the
same technology in China or in Europe, albeit with much lower wage rates
in China. Computer-software technology in India is essentially the same
(and quite interchangeable) as that in the United States. But, the countries
in these examples are, nonetheless, seen as having very different econo-
mies. Why? Certainly, there are widely recognized political differences, but
the key to the economic distinctions rests largely in the arena of distribution .
For example, a command economy (one in which the government owns the
land, resources, means of production, and therefore makes all economic
decisions) and a market economy operate upon fundamentally different
premises. To elaborate on this distinction, we must delve more deeply into
the approach to distribution within a so-called “free-enterprise,” capitalistic
market economy.
Distribution: The All-Important, Ignored Element
Distribution is the forgotten branch in the discipline of economics. How is
the output of the system allocated to the participants (i.e., citizens) of that
system? How are the fruits of everyone's labors distributed? In a “zero-
sum” world, what do you have that I do not have? We label it the forgotten
branch , because, to devout, market-economy advocates, the prospect of hav-
ing to make conscious decisions about these questions suggests the need
for unnerving, normative judgments about value. Most economists cling to
the hope that economics can be defended as a science, wherein only positive
(mathematically derived), value-free conclusions and statements are allowed
to exist—a human impossibility. Every question we humans ask is subjective
and thus value laden. It cannot be otherwise. Therefore, every conclusion
and statement is, by definition, subjective, whether mathematically derived
or not.
Yet, how much more comfortable it is to contend loftily that “the imper-
sonal market makes those decisions,” and then proceed to expound in elabo-
rate, mathematical detail on how this creates efficiency, rather than be seen
making capricious, personal judgments about the distributional equity or
fairness for other individuals, with such statements such as the following:
 
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