We begin with a discussion of what constitutes an equilibrium, in - TopicsExpress

We begin with a discussion of what constitutes an equilibrium, in Marxian terms, of a capitalist economy, and for this chapter study a linear, Leontief specification of production.1 Capitalists all have access to the same Leontief production system {A, L}, where A is an n x n input matrix of commodities L is a 1 x n vector of direct labor inputs If p is a 1 x n commodity price vector and the wage is normalized at unity so that prices p are interpreted as wage prices, then the usual notion of an equilibrium-price vector in a Marxian system is a vector p for which there exists a nonnegative number TX such that p = (1 + 7r)(pA + L) ngam sngewthuh :(

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