Birth Quote by Arthur Cecil Pigou
“The gravitation constant is the same always. But the economic constants-these elasticities of demand and supply-depending, as they do, upon human consciousness, are liable to vary. The constitution of the atom, as it were, and not merely its position, changes under the influence of environment.”
About This Quote
Source Book: The Economics of Welfare, Arthur Cecil Pigou, 1920
Physical laws are constant, but economic behavior shifts with human perception and environment.
In simple terms: Physical constants stay same; economic ones change with minds.
Key Takeaway
Recognize human factors in economic models.
Themes
economics
human behavior
environment
variability
Mood
analytical
thoughtful
Type
theoretical
analytical
When to use this quote
- policy design
- market analysis
- business strategy
- financial forecasting
Key Concepts
elasticity
human consciousness
environmental influence
Questions to Reflect On
- How do perceptions shape market outcomes?
- Can policies adapt to changing human behavior?
A Different Perspective
Economic models may oversimplify complex human psychology.
