Thermodynamic and Economic Concepts as Related to Resource-Use Policies: Comment and Reply
Author(s)
Daly, Herman E.; Burness, Stuart; Cummings, Ronald
Abstract
Before specifically addressing the questions posed by the authors of this article, it is important to correct a misperception held by many neoclassical economists and repeated by Burness, et al.: the entropy law does not imply an energy theory of value. Careful reading of a number of economists who do incorporate thermodynamic laws into their economic thinking will reveal that this notion has been explicitly rejected by them. Burness et al. specifically argue that Georgescu-Roegen advocates an energy theory of value, but this is incorrect. If they have misread Georgescu-Roegen, they have misunderstood the issue they are addressing. [Note: The original article by Burness, et al. is also in the SSL.]
