The Treatment of Fixed Capital in the Long Period
This paper is concerned with the treatment of fixed capital in multisectoral models. Five approaches and concepts developed and used by Sraffa and von Neumann, by Hicks, by Georgescu-Roegen, by Walras and by Leontief are compared. These five approaches fall into two broad categories: models with finite life and endogenous determination of depreciation and models with infinite life and exogenous depreciation. Total vertical disintegration of production results in treating used fixed capital items as joint products. This approach suggested by Torrens and elaborated by von Neumann and Sraffa is the most general approach. All other models are special cases.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 18 (2006)
Issue (Month): 4 ()
|Contact details of provider:|| Web page: http://www.tandfonline.com/CESR20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/CESR20|
When requesting a correction, please mention this item's handle: RePEc:taf:ecsysr:v:18:y:2006:i:4:p:411-426. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If references are entirely missing, you can add them using this form.