[embedded content]Anwar Shaikh On The Transformation Problem
Lots of empirical work shows that prices tend to be proportion to the labor embodied in commodities. My references in this
document this claim. Furthermore, empirical wage-rate of profits curves tend to be close to straight lines.
This is not what, say, Sraffa’ mathematical economics would lead me to expect. What explains these
surprising empirical findings?
Almost 34 minutes in, in the above video, Shaikh makes the above point about the contrast
between theory and empirical findings. He concludes with speculation, including with
comments on Bertram Schefold’s work with input-output matrices formed out of random
I offer some speculations myself in this post. I do not have much theory to back theseRead More »