Superphysics
The First Law of Value: Nominal Price
3 minutes • 447 words
Table of contents
Principles (click to expand)
| Principles | Assertions |
|---|---|
| Nominal Price is |
The First Law of Value states:
Every thing in the universe has an existential value, otherwise it would not exist.
This law is derived from:
- the Worker cycle in the Law of Social Cycles by Socrates
- the Third Law of Thermodynamics which says that absolute zero temperature is impossible to reach or maintain.
This law crosses over:
- to Bio Superphysics as everything being able to affect a person’s health in varying degrees.
- to Supersociology as everyone’s opinion or expression has a value to a society
In Supereconomics, this manifests as Nominal Price.
Nominal Price: The Purchaser’s Valuation
A nominal price is the value that a purchaser sets for a good or service that he demands.
A purchaser assigns a nominal value to any good or service that he needs or wants, after his mind realizes that need or want. This is the beginning of economic activity.
This value can be denoted in 3 forms:
- Money as number-objects
Examples are currency and crytocurrency
- Moneyless Tangible
Examples are goods and services themselves
- Moneyless Intangible
Examples are goodwill, reputation, mental satisfaction or peace of mind
Nominal price is exchangeable value denoted as a numerical object.
- In a money-system this number-object manifests as money
- In a moneyless system it manifests as points or strings or any system of notation
In the previous chapter, we gave an example of Adam wanting to buy a cake for his wife’s birthday. The total worth of the cake to his mind comes from:
- his love for his wife
- the practice of giving a cake during birthdays
- the cake’s usefulness to his wife
This worth then forms its exchangeable value. Let us assume that it is $20.
This exchangeable value is thus the numerical version or “nominal price” of his abstract desire for the cake. This represents the amount of money, goods, or services that Adam is willing to give for the cake.
- The more he desires the cake, the higher its nominal price will be
- The less he desires the cake, the lower its nominal price
The previous chapter explained that a rare item is usually more desired than one that is very common.
- Rare and scarce items therefore have a high nominal price.
- Common items have a low nominal price.
A common mistake would be to confuse nominal price with use value which is arbitrary to the self alone. Nominal price takes into account the conditions of the society or environment since it is exchangeable
