Secondary Arbitrage
December 27, 2021 1 minutes • 156 words
Table of contents
Primary Arbitrage
A key concept in Supereconomics that is missing in Modern Economics is the idea of primary arbitrage which is the difference between the value of what is created by one person versus another person.
This is similar to the concepts of core compentency and comparative advantage.
The difference is that this arbitrage is compared to the person himself since Superphysics believes that each person is made up of 3 billion selves.
So primary arbitrage is the highest advantage that the person produces against his other selves and the other people in the same field or industry.
This manifests as the real price versus the nominal price demanded by the people.
Secondary Arbitrage
Instead, Modern Economics only has the concept of secondary arbitrage.
This is the difference between the prices of products in the market, specficially the supply price, which is called the natural price" in Supereconomics, and the demand price, as the market price.