Thursday , March 28 2024
Home / Post-Keynesian (page 27)

Post-Keynesian

More On Baldone Example

Figure 1: A Two-Dimensional Pattern Diagram, Enlarged1.0 Introduction This post further generalizes an example from Salvatore Baldone.. Like an example from Bertram Schefold, I find that Baldone's example is in a wedge near the edge of the appropriate region in one of my partitions of a parameter space. I have some very complicated spreadsheets that allow me to quickly visualize the effects of varying parameters. Baldone and Schefold were working long before Visicalc, Microsoft Excel, or...

Read More »

An Extension Of An Example From Salvatore Baldone

Figure 1: A Pattern Diagram, Enlarged1.0 Introduction This post looks at and generalizes an example of the recurrence of techniques by Salvatore Barone. It is an example with fixed capital illustrating the recurrence of the period of truncation. In the generalization, I find what I call patterns over the axis for the rate of profits, a patern over the wage axis, a three-technique pattern, and a reswitching pattern. Barone's example demonstrates that around a switch point, a lower rate of...

Read More »

Political Novels?

I would like suggestions to add to this list: Benjamin Disraeli, Coningsby or the New Generation. Anthony Trollope, The Way We Live Now. Allen Drury, Advise and Consent: A Novel of Washington Politics. John Ehrlichman, The Company. Anonymous (Joel Klein) Primary Colors: A Novel of Politics. This is not for Christmas, but some of my personal reading. I am aware that Coningsby is the first of a trilogy, that Advise and Consent is the first of a series, and that Primary Colors has a...

Read More »

Triple Switching and Fluke Switch Points

Figure 1: A Pattern Diagram with Triple Switching In demonstrating the lack of foundation for claims of the Austrian school about the supposed relationships between a greater supply of capital, a consequent lower rate of profits, and a longer period of production, I have so far only presented examples in which the economic life of an existing machine can be extended or truncated. Schefold (1980: 170) interprets a more roundabout technique as one in which a long-lived machine is used to...

Read More »

A Three-Technique Pattern Over The Wage Axis

Figure 1: Wage Frontier for a Fixed Capital Example This post presents a perturbation of parameters in a 'one good' model of fixed capital. The coefficients of production differ from those in this reswitching example. But the model has the same structure. Consider a one-commodity economy in which labor and widgets are used to produce new widgets, the only consumption good. (The use of the term 'widget' to designate the single produced commodity emphasizes how unrealistic this model is.)...

Read More »

The LTV And Commodity Fetishism

You will occasionally come upon supposed refutations of Marx's theory of value that I find just ignorant. One might talk about two divers. One comes up with a handful of sand, and the other comes up with a pearl. They have put in the same labor, but their products are of quite different exchange values. Or consider the labor that goes into making a useless product, something that cannot be sold as a commodity on a market. Obviously, labor does not create value. A refutation can only be...

Read More »

Visualizing The Effects Of Parameter Perturbations In Models Of Joint Production

A Temporal Path I have a new working paper. Abstract: This article illustrates the analysis of prices of production with joint production by a numerical example. The example is used to illustrate the applicability of techniques to identify and visualize qualitative changes in the choice of technique with parameter perturbations. Patterns of switch points are knife-edge or fluke cases in which any perturbation of parameters results in such a qualitative change. This article identifies a new...

Read More »

Fluke Switch Points At Both The Maximum Wage And The Maximum Rate Of Profits

Figure 1: Wage Frontier for a Fixed Capital Example1.0 Introduction I continue to explore the simplest multisector model of the production of commodities by means of commodities in which circulating and fixed capital is used in both sectors. In previous explorations, I locate a four-technique pattern, observe recurrence of truncation, and provide an example in which truncating all machines is infeasible. I think my taxonomy of fluke switch points and methods of visualizing the effects of...

Read More »

Fields Impacted By The Cambridge Capital Controversy (CCC)

Some of these should have been more impacted: Macroeconomics: Measures of Total Factor Productivity, every model with an aggregate production function, and a belief that business cycles are to be explained by sticky or rigid prices or other imperfections are all shown to be questionable. Marxist economics: Steedman's Marx after Sraffa made a splash, with many writing afterwards. Lately, I've read a bit of Riccardo Bellofiore, but a bibliography here could go on and on. Monetary...

Read More »