日期:2026/02/01   IAE 

Charitable Economics (Global) Market Theory (1) -- The Formation Theory of the Charitable Economics Market Average Return Curve (Charitable Economics Market Demand Curve), by Frank Chen, February 1, 2026

Charitable economics (global) is based on the principle that rational consumer choice and the altruistic/selfish corporate spirit of production/services can be mutually reinforcing. This is the maximization price line of charitable economic exchange, also known as the charitable economics market average return curve, or the initial charitable economic price line. This line represents the equilibrium point of maximum living and survival costs for consumers and producers.

The charitable economics maximum equilibrium price line, the "average return curve," establishes rational choices in market consumer behavior based on charitable economics. Corporate production processes and value chain activities are entirely driven by the maximum or optimal altruistic/selfish motives. Using AI big data analysis, it is possible to accurately calculate the reasonable proportion of costs that enterprises should bear in the diverse external social costs of this industry and the sustainable development goals of the planet. After altruism, self-interested enterprises cannot pass these costs on to consumers, thus minimizing price increases and preventing rigid price increases. This is one of the original principles of price increases.

The Global Philanthropic Economics theory, which posits that altruistic consumer benefits followed by self-interested production behavior, aims to enhance the benefits of global consumer citizens. Its three main components are:
1. Quality of life benefits related to "food, clothing, housing, transportation, education, and entertainment"—a key aspect of global sustainable development;
2. Physical health and living conditions—one of the 17 goals of global sustainable development;
3. Self-interested benefits after altruistic consumer benefits, aiming to reduce producer surplus and achieve spiritual and mental well-being in line with sustainable development goals. The Global Philanthropic Economics theory seeks to create a mutually beneficial value creation and market cost sharing through rational consumer choice and maximum altruistic behavior by manufacturers. The resulting price equilibrium point, reflecting the combined effects of both parties, forms the "average revenue curve," the maximum equilibrium price line in the Global Philanthropic Economics market demand curve. By Frank Chen, February 1, 2026, Founder of the Philanthropic Economics (Global) School

Explanation: The maximum equilibrium value line in philanthropic economics is analogous to the average revenue curve (AR) price line in a capitalist market economy. In capitalist economics, the AR line refers to the "average revenue curve," abbreviated as AR Curve. AR represents average revenue, calculated by dividing total revenue (TR) by quantity (Q), i.e., \(AR=\frac{TR}{Q}\). In most market structures, the AR line is the "demand curve" faced by firms. Full name: Average Revenue Curve; Abbreviation: AR Curve. Key characteristics: Numerically equal to the product price (\(P)) (\(AR=P)), therefore the AR line coincides with the demand curve. AR lines under different market structures: Perfect Competition: The AR line is a horizontal line, and \(AR=P=MR\) (marginal revenue). Monopoly: The AR line is a downward sloping curve that coincides with the demand curve.