What Does Determine the Profit Rate? The Neoclassical Theories Presented in Introductory Textbooks
The theory of the profit rate varies across introductory texts. Economic profits are caused by entrepreneurship or not. Entrepreneurship is a kind of human capital or not. Normal profits are determined in the money market, the market for loanable funds, or a hybrid market involving demand or supply of physical capital. The downward-sloping demand for capital reflects diminishing marginal productivity (the Cambridge controversy is forgotten) or rank-ordered investment projects. The supply is a physical capital stock, accumulated or current saving(s) (or wealth), or desired accumulation. The authors conclude that the inconsistencies and confusions in the textbooks reflect the state of high theory. (c) 1996 Academic Press Limited Copyright 1996 by Oxford University Press.
To our knowledge, this item is not available for
download. To find whether it is available, there are three
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Volume (Year): 20 (1996)
Issue (Month): 1 (January)
|Contact details of provider:|| Postal: Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK|
Fax: 01865 267 985
Web page: http://www.cje.oupjournals.org/
|Order Information:||Web: http://www.oup.co.uk/journals|