[Paleopsych] Tullock Rules!
checker at panix.com
Sat Jul 9 00:07:59 UTC 2005
Yesterday I circulated a 1997 New York Times article that estimated the value
of the ecosystem as worth $33 trillion. Someone asked me in comparison to what.
Well, annual World Domestic Product is about $30 trillion. The value of human
and other capital is ten times annual WDP, or $300 trillion, and my guess was
corroborated by googling. In this country at least, according to Robert Fogel,
human capital is about two-thirds of the total.
But humans value themselves more highly than capital markets do, as evidenced
by various decisions people make on paying to avoid death at various
probabilities. It turns out to be $2-4 million per person in the US. Call it $1
million for the generally much less rich world. So the value of people as
estimated by themselves is 6 billion times $1 million per person, or $6
Five percent of this is $300 trillion. Now Gordon Tullock says we are 95%
selfish and 5% altruistic. He based his calculations on the fact that Americans
allocate 5% of their incomes in the form of net downward redistribution. This
has remained constant for 140 years and does not depend on whether the
redistributing is done primarily privately or by local governments or primarily
by state and national governments.
Here's a different confirmation of the same.
But the ancient Hebrews had already articulated the Tullock Five Percent Rule,
when they said:
The Earth from God we do but rent,
And all he asks is ten percent.
Related articles to follow.
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