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The public product is equal to a private product behind a minus of falling of manufacture
Somewhere else, for what the given business does not pay indemnifications. So, if in business
For manufacture of a certain product by value in 105 dollars are used 10
Factor units (and any other factors); and the owner of this factor not
Receives indemnifications for their use as cannot prevent it;
And these at the best alternative use will bring 10 units of the factor
Products on 100 dollars then the public product is equal 105 dollars a minus 100
Dollars, i.e. 5 dollars If business pay now for one unit of the factor and it
Value is equal to value of a limiting product, then a public product
Increases to 15 dollars If two units, a public product are paid
Increases to 25 dollars etc., while it is not becomes equal 105 dollars, after
That as all units will be paid. It is simple to understand, why all economists with
Readiness have accepted this strange enough procedure. The analysis is concentrated on
Decisions of separate business, and as costs of use of the defined
Resources are not taken into consideration, receipts are reduced by the same size. But
After all it means that value of a public product has no public
The importance in any case. It seems to me that it is better to use the concept
Alternative costs and to approach to a problem through value comparison
The product brought by factors at alternative use or at
Alternative social establishments. The basic advantage of price system
In that it conducts to use of factors there, where value created with
Their participation of a product it appears the greatest or where it attracts the smaller
Costs, than alternative systems (I lay aside that the price
The system also facilitates a problem of redistribution of the income). But if in force
Certain God of the given natural harmony factors got there, where they
Participate in creation of a product of the greatest value, without means the price
Systems and, hence, would not be any compensation, for me it became
Is faster an amazement source, but not the despondency reason.
Definition of a public product suspiciously, but it does not mean that
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