SEMAINE D'ÉTUDE SUR LE ROLE DE L ANALYSE ECONOMETRIQUE ETC.

55

Furthermore, we havc

d]o

7 ln

because a+ b is a non-negative matrix with row sums less than
one. This leads to dy/dF,>o. It is obvious that in the opposite
 case where m; is negative we obtain dy/dF,<o. Taking
into account the fact that m; may be negative only when 7 is
oreater than a certain rate », we have Figures 2° = 77 —-“IGURE



FIGURE

Suppose that the curve gg’ intersects the 45° line on a point
in the normal part. The intersection gives the old voN NEU-MANN
 rate of interest »° before the technological change. We
can easily verify that the technical change of the labour-saving
type results in increases in both y and r, if <r, and decreases
in both y and r, if >>». The latter is a situation which would
aot be preferable from workers’ viewpoint as well as from
capitalists viewpoint. We may, therefore, say that a new
method of production of the labour-saving type is not adopted

9]

Morishima - pag. 23