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On the Sraffa-Leontief Model


  • Sonis, Michael

    (Bar Ilan U and U IL)

  • Hewings, Geoffrey J. D.

    (U IL)


In this paper we consider the matrix forms of the Sraffa-Leontief income distribution model introduced by Steenge (1995, 1997). We will explore the equivalence between these matrix forms and the set of simpler models, including the Sraffian condition of linear relations between the rate of profits r and wage rate w*. Further, we will evaluate the condition that the price vector p and the commodities vector x are the left-hand and the right-hand eigenvectors of the matrix A of direct inputs and that these vectors are the fixed points of the Sraffian standard commodities-standard prices matrix. We will then explore links between the Sraffa-Leontief system and the multiplier product matrix (MPM) for the matrix A to consider new insights generated through visualization with the help an artificial economic landscape. Furthermore, the connections between MPM and the Sraffian standard commodities-standard prices matrix and their minimal information properties are proven.

Suggested Citation

  • Sonis, Michael & Hewings, Geoffrey J. D., 2007. "On the Sraffa-Leontief Model," The Review of Regional Studies, Southern Regional Science Association, vol. 37(1), pages 39-63.
  • Handle: RePEc:rre:publsh:v:37:y:2007:i:1:p:39-63

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    References listed on IDEAS

    1. Sonis, Michael & Hewings, Geoffrey,J.D., 1999. "Economic Landscapes: Multiplier Product Matrix Analysis for Multiregional Input-outoput Systems," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 40(1), pages 59-74, June.
    2. Albert Steenge, 1995. "Sraffa and Goodwin: A unifying framework for standards of value in the income distribution problem," Journal of Economics, Springer, vol. 62(1), pages 55-75, February.
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    More about this item


    Distribution; Income Distribution; Income; Wage;

    JEL classification:

    • B51 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Socialist; Marxian; Sraffian
    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution
    • L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods


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