Tag Archives: Sraffa Effects

Figure 1: Variation in the Cost-Minimizing Technique with Selected Coefficient of Production This post reports on some work with Steedman's corn-tractor model. I have yet to find an instance of triple-switching. I have found a case of reswitching, though. Figure 1 above and Table 1 below show how switch points vary with perturbations of the labor needed to produce a bushel of corn in the corn industry with Type I tractors. Only one switch point exists in region 1. Around this switch point...

1.0 Introduction I do not think I have presented an introductory example in a while in which an increased wage is associated with firms wanting to employ more labor, given the level of net output. This example is presented as a matter of accounting for a vertically integrated firm. Exact calculations with rational numbers are tedious in this example. I expect that if anybody bothers to check this, they would use a spreadsheet. As far as I can tell, Microsoft Excel uses double precision...

Figure 1: The Wage-Rate of Profits Frontier1.0 Introduction This post completes a demonstration that the economic life of a machine is independent of the capital-intensity of a technique. I here fill in the upper right of a two-by-two table. I have previously filled in the upper-left and lower right entries. And I also have an example for the lower left. 2.0 Technology Tables 1 and 2 present coefficients of production for processes which can be combined to produce a new output of corn....

Figure 1: The Wage-Rate of Profits Frontier This post continues a series of posts demonstrating that the change in the economic life of a machine at a switch point is independent of the change of the capital intensity of the technique at a switch point. I here fill in the lower left in a a two-by-two table. The wage curves above are for the an example with the same structure as in the previous post in this series.This is a 'one-good' model. The manager of firms know three processes to...

Figure 1: The Wage-Rate of Profits Frontier1.0 Introduction This is one in a series of posts demonstrating that the change in the economic life of a machine at a switch point is independent of the change of the capital intensity of the technique at a switch point. I want to illustrate each entry in a two-by-two table in a previous post. The example in this post has two switch points. One fits the traditional Austrian and neoclassical stories, as in the entry in the upper-left of the table....

Figure 1: Variation in the Economic Life of a Machine with Technical Progress This post varies the coefficients of production in an example from Bertram Schefold. I wanted to have 'nice' fractions at a time of zero. Qualitatively, this looks like a previous post. Reviewers for a recent rejection of an article with another fixed capital example objected to this type of model. I need to relate technical progress to a well-known type (Harrod-neutral, Marx-biased, or whatever) or produce some...

Some recent papers by economists of the Austrian school rediscover some aspects of post-Sraffian price theory. Others would benefit from more knowledge of post-Sraffian price theory. But the authors do not know this. Fillieule (2007) is a rediscovery of Sraffa's standard commodity. He sets out a special case of Hayekian triangles in which an infinite series of datad labor inputs are used to produce current net output. "Only circulating capital is taken into account", and "the proportion...

Figure 1: A Two-Dimensional Parameter Space The above is for this example. I wish somebody would be inspired by this to write it up with mathematical proofs. What I see here is found by numerical methods. Figure 1 shows a partition of the parameter space based on fluke switch points. The dashed line shows the temporal path in the previous post. Each of the solid lines are parallel affine functions, with a slope of unity. A proof that these slopes are unity should be able to handle a model...

Figure 1: Variation in the Maximum Wage and the Cost-Minimizing Technique with Time This post presents an example in which some coefficients of production vary from those in example. Reswitching, capital reversing, and the reverse substitution of labor do not arise in this example. Table 1 shows the coefficients of production for this example. The labor coefficients vary identically with the the labor coefficients in the previous example. a2,1(a), a3,1(a), a2,1(b), a3,1(b), a1,2(c),...

Figure 1: Variation in the Maximum Wage and the Cost-Minimizing Technique with Time1.0 Introduction I thought I would revisit the application of my analysis of fluke switch points to an example of Harrod-neutral technical change. Two techniques are assumed to experience Harrod-neutral technical change. The same commodities are produced with both techniques. No capital goods are produced for one technique that are unproduced in the other. Consequently, the techniques have no processes in...