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Rifkin’s misreadings of the zero-marginal cost of production of information technology: ideology and the narrative of the demise of capitalism
Blekinge Institute of Technology, Faculty of Engineering, Department of Industrial Economics.ORCID iD: 0000-0003-0251-1659
2021 (English)In: Mises interdisciplinary journal of philosophy, law and economics, E-ISSN 2594-9187, Vol. 9Article in journal (Refereed) Published
Abstract [en]

In this paper, I address contemporary attacks on rationalism thanks to Rifkin’s concepts of “extreme productivity” and “zero marginal cost of production” as examples of an ideological twist on genuine economic expressions. The main issue dealt with epistemological issues in the context of the contemporary communication age. It consists to clarify the relation between economic ideas and their relation to reality. To proceed accordingly, I implement a hermeneutic method applied to Rifkin’s discourse. That method is grounded in the scholarly tradition of “the ordinary language philosophy”. Its results proceed to show 2 distinct language games at work: 1- the neoclassical definition of marginal cost and its own logic is distinct from Rifkin’s use of it. 2- Rifkin uses the expression “marginal cost” under the auspices of an ideological discourse on the demise of capitalism. 3- The confusion is based on a systematically deceptive use of scholarly referencing. I conclude by drawing some lessons for the role of a multidisciplinary defense of economic rationality in contemporary discourse.

Abstract [es]

En este trabajo abordamos un tema epistemológico de la relación entre ideas y realidad económica. Rifkin sostiene que el costo marginal cero de la tecnología favorece la aparición de una economía colaborativa que debilita la función de ganancias de las empresas. Sostenemos que Rifkin amputa retóricamente la función de costo de sus medios de valoración. Con la utilización del método de “filosofía del lenguaje ordinario”, mostramos que el razonamiento de Rifkin se basa en una confusión: el uso de dos juegos de lenguaje distintos simultáneamente. Primero, la expresión económica de la valoración del costo; segundo, la misma expresión truncada de su cálculo, alimentando un discurso ideológico sobre la desaparición del capitalismo. Esa confusión trae dos cuestiones relacionadas: la dificultad de comprender la dinámica de los factores productivos que traen las nuevas tecnologías y el despido de las cuestiones laborales reales.

Abstract [pt]

Neste artigo, abordamos um tema epistemológico da relação entre ideias e realidade econômica. Rifkin defende que o custo marginal zero da tecnologia favorece o aparecimento de uma economia colaborativa que enfraquece a função do lucro das empresas. Argumentamos que Rifkin amputa retoricamente a função do custo de seus meios de valoração. Utilizando o método da “filosofia da linguagem comum”, mostramos que o raciocínio de Rifkin se baseia em uma confusão: o uso simultâneo de dois jogos de linguagem distintos. Primeiro, a expressão econômica da valoração de custos; segundo, a mesma expressão reparada do cálculo, alimentando um discurso ideológico sobre o fim do capitalismo. Essa confusão levanta duas questões relacionadas: a dificuldade de entender a dinâmica dos fatores de produção gerada pelas novas tecnologias, e a negação das questões laborais reais.

Place, publisher, year, edition, pages
Ludwig von Mises Institute, 2021. Vol. 9
Keywords [en]
Epistemology, marginal cost of production, ideology, new technology
National Category
Social Sciences Interdisciplinary
Research subject
Industrial Economics a nd Managemen
Identifiers
URN: urn:nbn:se:bth-22519DOI: 10.30800/mises.2021.v9.1427OAI: oai:DiVA.org:bth-22519DiVA, id: diva2:1621913
Note

Special issue 2021: 150 years of the Austrian School

Available from: 2021-12-20 Created: 2021-12-20 Last updated: 2022-02-18Bibliographically approved

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Rouchy, Philippe

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