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On Ricardo's model of capital accumulation

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Author Info
Christophe DEPOORTERE
Abstract

Ricardo's model of capital accumulation is studied on the basis of his distinction between natural and accidental causes that are associated with permanent and temporary effects. The consequence is that, from the two contemporary interpretations of this model: theses of Hollander and Peach, only the second one deals with natural causes and permanent effects while the first is interested in market variables and long term effects. Ricardo's interest in natural causes and permanent effects lead then to favour Peach interpretation. Nevertheless, Peach interpretation is problematic insofar as the kind of analysis he credits Ricardo is not in accordance with what he considers as Ricardo's aim. This contradiction lead to another interpretation of Ricardo's model of capital accumulation as a description of the accumulation process that aims to show how each stage is the consequence of the answers given by the economic agents to the market signals.

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Publisher Info
Article provided by Centre national de la recherche scientifique (CNRS), Paris in its journal Cahiers d'économie Politique.

Volume (Year): (2008)
Issue (Month): 55 (January - June)
Pages: 141-154
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Handle: RePEc:cpo:journl:y:2008:i:55:p:141-154

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Find related papers by JEL classification:
B12 - Schools of Economic Thought and Methodology - - History of Economic Thought through 1925 - - - Classical (includes Adam Smith)
B31 - Schools of Economic Thought and Methodology - - History of Thought: Individuals - - - Individuals
B41 - Schools of Economic Thought and Methodology - - Economic Methodology - - - Economic Methodology
O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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This page was last updated on 2009-12-2.

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