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Factor 10: Value Realization Spans the Real, Financial, and Knowledge Economies

Knowledge realizes value across a spectrum of economic forms. The real economy represents the most material manifestation—knowledge embodied in physical production, where technical change accounts for much of output growth and intangible investments function as capital deepening. The financial economy abstracts further, expressing knowledge through capital allocation and risk pricing: prices communicate dispersed knowledge while markets aggregate information into asset values. The knowledge economy represents the emerging frontier where knowledge itself becomes the primary commodity—created, traded, and licensed directly. Ideas are nonrival: unlike physical goods, they can be used simultaneously without depletion. Symbolic systems of value—from collectibles to digital tokens—evolve to facilitate increasingly abstract exchange.