A Formalization of Austrian Economics. Praxeological Foundations: The Base System and Its Derived Theorems
Rafał Komendarczyk, Walter E. Block, John Levendis, Frank J. Tipler
econ.TH
Jun 15, 2026 · v3
math.LO
TL;DR
A Lean 4 companion encodes the praxeological language as type classes and builds a concrete Robinson Crusoe model as a machine-checked consistency proof.
Abstract
This paper presents an axiomatization of Ludwig von Mises' praxeology in many-sorted first-order logic, isolating the foundational layer. We introduce a formal language with five sorts (Actors, Actions, Ends, Things, Times) and six primitive relations (Acts, Avail, EndOf, Use, a preference order, and a time order), together with a base axiom system organized into three layers: the structure of action itself, the actor's preference order together with its demonstration in choice, and material scarcity. The base system captures purposeful action in its bare praxeological form. Working entirely within the base system we derive the core classical Misesian propositions as Hilbert-style theorems: the asymmetry of demonstrated preference, the existence of opportunity cost, the structural scarcity of time, the subjectivity of opportunity cost, the law of diminishing marginal utility, and the increasing marginal disutility of labor. Where a theorem requires structure beyond the praxeological core, as with diminishing marginal utility, the additional premises are made explicit; identifying these hidden premises is one of the methodological payoffs of the approach. A self-contained Lean 4 companion encodes the language as Lean 4 type classes and constructs a concrete infinite-time Robinson Crusoe model whose acceptance by the type-checker is a constructive consistency proof of the full base theory.
Problem
Mises' praxeology has traditionally been stated verbally, which leaves its foundational propositions and any hidden premises imprecise. The authors seek a rigorous axiomatic foundation from which classical Misesian theorems can be derived.
Approach
Praxeology is axiomatized in many-sorted first-order logic with five sorts (Actors, Actions, Ends, Things, Times) and six primitive relations. The base axiom system has three layers: the structure of action, preference and its demonstration in choice, and material scarcity. Theorems are derived Hilbert-style, and auxiliary premises are stated explicitly where needed. A Lean 4 companion encodes the language as type classes and constructs an infinite-time Robinson Crusoe model.
Results
The derived theorems are asymmetry of demonstrated preference, existence and subjectivity of opportunity cost, structural scarcity of time, diminishing marginal utility, and increasing marginal disutility of labor. The Lean type-checker's acceptance of the Crusoe model gives a constructive consistency proof of the full base theory.