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The Dynamics of Competition: A Restoration of the Classical Analysis

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  • Dumenil, Gerard
  • Levy, Dominique

Abstract

The main purpose of this article is to show that it is possible to construct a model of competition based on the classical perspective (Smith, Ricardo, and Marx). An analysis of the work of the classics is presented, and their views of the workings of competition is contrasted with neoclassical and Keynesian approaches. A simple model, with two commodities, is constructed, in which the stability of the classical long-term equilibrium is shown (under certain conditions). This first model is developed to include the treatments of gravitation, rationing, deficiency in demand, choice of the technology, and three commodities. Copyright 1987 by Oxford University Press.

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Bibliographic Info

Article provided by Oxford University Press in its journal Cambridge Journal of Economics.

Volume (Year): 11 (1987)
Issue (Month): 2 (June)
Pages: 133-64

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Handle: RePEc:oup:cambje:v:11:y:1987:i:2:p:133-64

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Citations

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Cited by:
  1. Lefteris Tsoulfidis, 2011. "Classical vs. Neoclassical Conceptions of Competition," Discussion Paper Series 2011_11, Department of Economics, University of Macedonia, revised Nov 2011.
  2. Andrea Vaona, 2011. "Further econometric evidence on the gravitation and convergence of industrial rates of return on regulating capital," Working Papers 08/2011, University of Verona, Department of Economics.
  3. Neri Salvadori & Rodolfo Signorino, 2013. "The Classical Notion of Competition Revisited," History of Political Economy, Duke University Press, vol. 45(1), pages 149-175, Spring.
  4. Pereira, Luiz Carlos Bresser & Lima, Gilberto Tadeu, 1996. "The Relative Autonomy of Macroeconomics, a Methodological Approach," Textos para discussão 49, Escola de Economia de São Paulo, Getulio Vargas Foundation (Brazil).
  5. Alain Hersovici, 2005. "O modelo de instabilidade de Harrod: uma abordagem em termos de não linearidade," Working Papers 0020, Universidade Federal do Paraná, Department of Economics.
  6. Pascal Seppecher, 2012. "Jamel, a Java Agent-based MacroEconomic Laboratory," Working Papers halshs-00697225, HAL.
  7. Dumenil, Gerald & Levy, Dominique, 1995. "Structural change and prices of production," Structural Change and Economic Dynamics, Elsevier, vol. 6(4), pages 397-434, December.
  8. Lefteris Tsoulfidis & Persefoni Tsaliki, 2011. "Classical Competition and Regulating Capital: Theory and Empirical Evidence," Discussion Paper Series 2011_02, Department of Economics, University of Macedonia, revised Feb 2011.
  9. Stefania Tescari & Andrea Vaona, 2013. "Regulating rates of return do gravitate in US manufacturing!," Working Papers 19/2013, University of Verona, Department of Economics.
  10. Lee, Frederic & Jo, Tae-Hee, 2010. "Social surplus approach and heterodox economics," MPRA Paper 27636, University Library of Munich, Germany.

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