| --- |
| title: "House Oversight: Estate Documents (Nov 12) (HOUSE_OVERSIGHT_010983)" |
| source: "House Oversight: Estate Documents (Nov 12)" |
| sourceUrl: "https://www.justice.gov/epstein" |
| date: "2026-01-01" |
| category: "House Oversight" |
| eftaNumber: "HOUSE_OVERSIGHT_010983" |
| ocrPages: 1 |
| ocrChars: 1489 |
| ocrElapsed: 0.0 |
| parseTier: "external-legacy" |
| engine: "engine undisclosed (ep-nov-12.greg.technology mirror)" |
| externalSource: "greg-ep-nov-12" |
| externalLicense: "not granted" |
| externalCredit: "ep-nov-12.greg.technology" |
| externalUrl: "https://ep-nov-12.greg.technology" |
| --- |
| |
| Algebra now allows |
| creation = growth + flow passed out - flow passed in, |
| (3.3a) |
| since terms can change sides if they reverse signs. |
| Economics is interested in creation and growth of value. Value in the stock sense |
| means capital in general. Most economists most of the time use the word to mean |
| only the "physical capital" we buy and sell. But the truism works for anything. I |
| sometimes prefer the generality of "value", meaning any amount of any mix of |
| human and physical capital. This again can be called either "total capital" or value |
| interchangeably. |
| Flow of value passed out is exhaust plus transfer out, and flow passed in is transfer |
| in. Creation of value is output in the net sense. Then (3.2) and (3.3a) give the total |
| return rule |
| output = growth + cash flow. |
| (3.3b) |
| "Income" means rights to output, and is implicitly equal to output. Like most writers |
| in economics, I will use these words more or less interchangeably too. |
| Now comes the centerpiece. A good starting point is the present value rule. We |
| assemble value or total capital to satisfy foreseen tastes. But we also satisfy current |
| tastes by spending current cash flow. At the scale of the total capital (value) of the |
| individual, were reinvestment cancels internally, cash flow simplifies to exhaust in |
| taste satisfaction plus gift given less gift received. Then |
| individual cash flow = net gift + exhaust, |
| where net gift means gift given less gift received. |
| Chapter 3: Foundations |
| 1/11/16 |
| (3.4) |
| 12 |
| HOUSE_OVERSIGHT_010983 |
|
|
