Theory and History. Людвиг фон Мизес

to in attempts to predict future events.

      Leaving aside for the present any reference to the problem of the human will or free will, we may say: Nonhuman entities react according to regular patterns; man chooses. Man chooses first ultimate ends and then the means to attain them. These acts of choosing are determined by thoughts and ideas about which, at least for the time being, the natural sciences do not know how to give us any information.

      

      In the mathematical treatment of physics the distinction between constants and variables makes sense; it is essential in every instance of technological computation. In economics there are no constant relations between various magnitudes. Consequently all ascertainable data are variables, or what amounts to the same thing, historical data. The mathematical economists reiterate that the plight of mathematical economics consists in the fact that there are a great number of variables. The truth is that there are only variables and no constants. It is pointless to talk of variables where there are no invariables.

7 Means and Ends

      To choose is to pick one out of two or more possible modes of conduct and to set aside the alternatives. Whenever a human being is in a situation in which various modes of behavior, precluding one another, are open to him, he chooses. Thus life implies an endless sequence of acts of choosing. Action is conduct directed by choices.

      The mental acts that determine the content of a choice refer either to ultimate ends or to the means to attain ultimate ends. The former are called judgments of value. The latter are technical decisions derived from factual propositions.

      In the strict sense of the term, acting man aims only at one ultimate end, at the attainment of a state of affairs that suits him better than the alternatives. Philosophers and economists describe this undeniable fact by declaring that man prefers what makes him happier to what makes him less happy, that he aims at happiness.² Happiness—in the purely formal sense in which ethical theory applies the term—is the only ultimate end, and all other things and states of affairs sought are merely means to the realization of the supreme ultimate end. It is customary, however, to employ a less precise mode of expression, frequently assigning the name of ultimate ends to all those means that are fit to produce satisfaction directly and immediately.

      

      The characteristic mark of ultimate ends is that they depend entirely on each individual’s personal and subjective judgment, which cannot be examined, measured, still less corrected by any other person. Each individual is the only and final arbiter in matters concerning his own satisfaction and happiness.

      As this fundamental cognition is often considered to be incompatible with the Christian doctrine, it may be proper to illustrate its truth by examples drawn from the early history of the Christian creed. The martyrs rejected what others considered supreme delights, in order to win salvation and eternal bliss. They did not heed their well-meaning fellows who exhorted them to save their lives by bowing to the statue of the divine emperor, but chose to die for their cause rather than to preserve their lives by forfeiting everlasting happiness in heaven. What arguments could a man bring forward who wanted to dissuade his fellow from martyrdom? He could try to undermine the spiritual foundations of his faith in the message of the Gospels and their interpretation by the Church. This would have been an attempt to shake the Christian’s confidence in the efficacy of his religion as a means to attain salvation and bliss. If this failed, further argument could avail nothing, for what remained was the decision between two ultimate ends, the choice between eternal bliss and eternal damnation. Then martyrdom appeared the means to attain an end which in the martyr’s opinion warranted supreme and everlasting happiness.

      As soon as people venture to question and to examine an end, they no longer look upon it as an end but deal with it as a means to attain a still higher end. The ultimate end is beyond any rational examination. All other ends are but provisional. They turn into means as soon as they are weighed against other ends or means.

      Means are judged and appreciated according to their ability to produce definite effects. While judgments of value are personal, subjective, and final, judgments about means are essentially inferences drawn from factual propositions concerning the power of the means in question to produce definite effects. About the power of a means to produce a definite effect there can be dissension and dispute between men. For the evaluation of ultimate ends there is no interpersonal standard available.

      Choosing means is a technical problem, as it were, the term “technique” being taken in its broadest sense. Choosing ultimate ends is a personal, subjective, individual affair. Choosing means is a matter of reason, choosing ultimate ends a matter of the soul and the will.

PART 1

       Value

CHAPTER 1

       Judgments of Value

1 Judgments of Value and Propositions of Existence

      Propositions asserting existence (affirmative existential propositions) or nonexistence (negative existential propositions) are descriptive. They assert something about the state of the whole universe or of parts of the universe. With regard to them questions of truth and falsity are significant. They must not be confounded with judgments of value.

      Judgments of value are voluntaristic. They express feelings, tastes, or preferences of the individual who utters them. With regard to them there cannot be any question of truth and falsity. They are ultimate and not subject to any proof or evidence.

      Judgments of value are mental acts of the individual concerned. As such they must be sharply distinguished from the sentences by means of which an individual tries to inform other people about the content of his judgments of value. A man may have some reason to lie about his valuations. We may describe this state of affairs in the following way: Every judgment of value is in itself also a fact of the actual state of the universe and as such may be the topic of existential propositions. The sentence “I prefer Beethoven to Lehar” refers to a judgment of value. If looked upon as an existential proposition, it is true if I really prefer Beethoven and act accordingly and false if I in fact prefer Lehar and for some reasons lie about my real feelings, taste, or preferences. In an analogous way the existential proposition “Paul prefers Beethoven to Lehar” may be true or false. In declaring that with regard to a judgment of value there cannot be any question of truth or falsity, we refer to the judgment as such and not to the sentences communicating the content of such a judgment of value to other people.

2 Valuation and Action

      A judgment of value is purely academic if it does not impel the man who utters it to any action. There are judgments which must remain academic because it is beyond the power of the individual to embark upon any action directed by them. A man may prefer a starry sky to the starless sky, but he cannot attempt to substitute the former state which he likes better for the latter he likes less.

      The significance of value judgments consists precisely in the fact that they are the springs of human action. Guided by his valuations, man is intent upon substituting conditions