Self Interest

The term “self interest is important in neoclassical economics, but it is not worth the trouble. Most people do not understand what it means and it is two easily confused with selfishness. We should use expressions that better describe our meaning.

To me there are three key issues.

First, economic choices are made by people. Many factors are taken into account when people make decisions, ranging from selfishness to generosity. Those who believe in God will be influenced by his requirements.

Second, people generally understand their own needs and wants better than others do. People who think that they can decide what other people should want are dangerous.

Third, capitalism does not need selfishness or greed to function.