[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

article

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

matrices.

I offer some speculations myself in this post. I do not have much theory to back these

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