IDEAS home Printed from https://ideas.repec.org/a/sae/reorpe/v11y1979i3p37-41.html
   My bibliography  Save this article

The Simple Analytics of Falling Profit Rates, Okishio's Theorem and Fixed Capital

Author

Listed:
  • José Alberro

    (Dept. of Economics Univ. of Illinois at Chicago Circle Box 4348 Chicago)

  • Joseph Persky

    (Dept. of Economics Univ. of Illinois at Chicago Circle Box 4348 Chicago)

Abstract

This paper uses a simple Ricardian model to analyze the compara tive static properties of the profit rate, when Okishio-profitable technological innovations are introduced. We use a constructive-geometrical proof of Okishio's Theorem and extend it to a world including fixed capital equipment of equal efficiencies over its lifetime.

Suggested Citation

  • José Alberro & Joseph Persky, 1979. "The Simple Analytics of Falling Profit Rates, Okishio's Theorem and Fixed Capital," Review of Radical Political Economics, Union for Radical Political Economics, vol. 11(3), pages 37-41, October.
    • Handle: RePEc:sae:reorpe:v:11:y:1979:i:3:p:37-41
    DOI: 10.1177/048661347901100305
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/048661347901100305
    Download Restriction: no
    File URL: https://libkey.io/10.1177/048661347901100305?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Shaikh, Anwar, 1978. "Political Economy and Capitalism: Notes on Dobb's Theory of Crisis," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 2(2), pages 233-251, June.
    2. Christiansen, Jens, 1976. "Marx and the Falling Rate of Profit," American Economic Review, American Economic Association, vol. 66(2), pages 20-26, May.
    3. Raford Boddy & James Crotty, 1975. "Class Conflict and Macro-Policy: The Political Business Cycle," Review of Radical Political Economics, Union for Radical Political Economics, vol. 7(1), pages 1-19, April.
    4. Roemer, John E., 1977. "Technical change and the "tendency of the rate of profit to fall"," Journal of Economic Theory, Elsevier, vol. 16(2), pages 403-424, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Freeman, Alan, 1994. "Value and the foundation of Economic Dynamics," MPRA Paper 1206, University Library of Munich, Germany, revised 16 Mar 1994.
    2. M Webber & D Rigby, 1999. "Accumulation and the Rate of Profit: Regulating the Macroeconomy," Environment and Planning A, , vol. 31(1), pages 141-164, January.
    3. Freeman, Alan, 1994. "Reappraising the classics - the case for a dynamic reformulation of the labour theory of value," MPRA Paper 1205, University Library of Munich, Germany.
    4. D L Rigby, 1990. "Technical Change and the Rate of Profit: An Obituary for Okishio's Theorem," Environment and Planning A, , vol. 22(8), pages 1039-1050, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Marqueti, Adalmir & Morrone, Henrique & Santetti, Márcio, 2018. "Technical progress in GDP production and CO2 emissions in Brazil: 1970−2012," Revista CEPAL, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL), August.
    2. Rudy Fichtenbaum, 1988. "'Business Cycles,' Turnover and the Rate of Profit: An Empirical Test of Marxian Crisis Theory," Eastern Economic Journal, Eastern Economic Association, vol. 14(3), pages 221-228, Jul-Sep.
    3. Roemer, John E, 1979. "Continuing Controversy on the Falling Rate of Profit: Fixed Capital and Other Issues," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 3(4), pages 379-398, December.
    4. Philippe Van Parijs, 1980. "The Falling-Rate-of Profit Theory of Crisis: A Rational Reconstruction by Way of Obituary," Review of Radical Political Economics, Union for Radical Political Economics, vol. 12(1), pages 1-16, April.
    5. James N. Devine, 1987. "Cyclical Over-Investment and Crisis in a Labor-Scarce Economy," Eastern Economic Journal, Eastern Economic Association, vol. 13(3), pages 271-280, Jul-Sep.
    6. Guilherme Klein Martins & Fernando Rugitsky, 2018. "The commodities boom and the profit squeeze: output and profit cycles in Brazil (1996-2016)," Working Papers, Department of Economics 2018_09, University of São Paulo (FEA-USP).
    7. Eckhard Hein, 2006. "Money, interest and capital accumulationin Karl Marx's economics: a monetary interpretation and some similaritiesto post-Keynesian approaches," The European Journal of the History of Economic Thought, Taylor & Francis Journals, vol. 13(1), pages 113-140.
    8. Uk Heo & John Bohte, 2012. "Who Pays for National Defense? Financing Defense Programs in the United States, 1947–2007," Journal of Conflict Resolution, Peace Science Society (International), vol. 56(3), pages 413-438, June.
    9. Howard Petith, 2003. "Marx's Analysis of the Falling Rate of Profit in the First Version of Volume III of Capital," Working Papers 25, Barcelona School of Economics.
    10. Jacobo, Juan, 2022. "A multi time-scale theory of economic growth and cycles," Structural Change and Economic Dynamics, Elsevier, vol. 62(C), pages 143-155.
    11. Leonardo Vera, 2017. "The Distribution of Power and the Inflation-Unemployment Relationship in the United States: A Post-Keynesian Approach," Review of Radical Political Economics, Union for Radical Political Economics, vol. 49(2), pages 265-285, June.
    12. Lucrezia Fanti, 2018. "An AB-SFC Model of Induced Technical Change along Classical and Keynesian Lines," Working Papers 3/18, Sapienza University of Rome, DISS.
    13. Luiz Carlos Bresser-Pereira, 2018. "Growth and distribution: a revised classical model," Brazilian Journal of Political Economy, Center of Political Economy, vol. 38(1), pages 3-27.
    14. Michele I. Naples, 2023. "How Large Is Unemployment and Its Impact on Workers’ Economic Leverage?," Review of Radical Political Economics, Union for Radical Political Economics, vol. 55(4), pages 684-691, December.
    15. Eric Dubois, 2016. "Political Business Cycles 40 Years after Nordhaus," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-01291401, HAL.
    16. Trofimov, Ivan D., 2018. "The secular decline in profit rates: time series analysis of a classical hypothesis," MPRA Paper 88248, University Library of Munich, Germany.
    17. Deepankar Basu & Ying Chen & Jong-seok Oh, 2013. "Class struggle and economic fluctuations: VAR analysis of the post-war US economy," International Review of Applied Economics, Taylor & Francis Journals, vol. 27(5), pages 575-596, September.
    18. Özgür Orhangazi & Gary Dymski, 2023. "The Intellectual Odyssey of James R. Crotty: From the War on Vietnam to a Socialist Alternative to Global Capitalism," Review of Radical Political Economics, Union for Radical Political Economics, vol. 55(4), pages 714-724, December.
    19. Frey, Bruno S., 1978. "Politico-economic models and cycles," Journal of Public Economics, Elsevier, vol. 9(2), pages 203-220, April.
    20. Yoshihara, Naoki & Veneziani, Roberto, 2013. "The Measurement of Labour Content: A General Approach," Discussion Paper Series 587, Institute of Economic Research, Hitotsubashi University.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:reorpe:v:11:y:1979:i:3:p:37-41. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://www.urpe.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.