Integrality

Integrality is the property of goods or services that make them indivisible if they are to be fit for purpose. In economics, one characteristic of money is that the monetary value of indivisible goods or services makes them conceptually divisible. It is a basic problem in microeconomics that demand and supply is assumed continuous and divisible, when it is not, thus eliding monetary values and real quantities. This is a feature of economism – the tendency of economists to see the world in terms of demand and supply in equilibrium.

Relevant papers:

Barker (2010)

References:

Barker, Terry (2010) ‘Endogenous money in 21 Century Keynesian economics’, chapter 6, pp. 202-239 in Philip Arestis and Malcolm Sawyer (eds) 21 Century Keynesian Economics, Palgrave Macmillan.

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