Tazuko van Berkel, “Socratic economic theory”

In what ways can we, or can’t we, speak of “Socratic economics”? And what does it mean to compare Socratic ideas to modern economic theory? In this paper I will present one specific case study: the Socratic notions of “correct use” and “utility” in Xenophon’s Oeconomicus, Memorabilia, Plato’s Euthydemus and the pseudo-Platonic Eryxias. I will offer a conceptual analysis of the ΧΡΗ-terminology and explore differences and convergences with post-Enlightenment notions of utility and use.

 

“The problem is not scarcity but abundance.”

“Wealth is not about possessions but about your ability to use your possessions well.”

“Money is worthless if you use it to buy alcohol or drugs.”

“Freedom is the capacity to not pursue your desires.”

 

We all know this type of statements, but definitely not as economic statements. Economic statements are supposed to play a different game, revolving around choices in a world of scarcity, describing human behavior rather than prescribing morality. What happens when we do take these statements seriously as pieces of economic reflection?