Full text: Study week on the econometric approach to development planning

SEMAINE D'ETUDE SUR LE ROLE DE L ANALYSE ECONOMETRIQUE ETC. 
5x: 
the technological improvement gives rise to an increase in the 
real-wages. 
The voN NEUMANN output configurations x° and x! before 
and after the technical change are determined bv 
x°Bo(I — d) + (1 + °)x°(] Ac 
Be (Co) —o. 
and 
x'B! 1 d) 
(T+! 
T 
respectively. Taking the definitions of A, B, and C into «. 
count, we have 
. — 
(1 +°)x°P° IT 
-@a- ie} 
Pp 
J > 
30) 
‘1 + 71) x!P! 
-* 
a 
—. 
> 
À 
Hence x°P° and x!'P! are proportionate to each other. 
28) implies p*' <= <htat 
Since 
[In words, if industry ¢ makes a technical improvement ot tne 
neutral type, the relative weight of that industry in the von 
NEUMANN state becomes heavier than before. 
Finally, it is at once seen from (4) that when the von NEU- 
MANN equilibrium prevails labour is distributed among indus- 
tries in the ratio: 
40) 
vol 
“ov 
D. 
1 IX pp = Q 
wv, 
Aon uve 
9 | Morishima - pag. 2.
	        
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