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The general model rests on the stronger hypothesis that the
slasticity
r
of real consumed national income with respect to the primary
inputs (the services of labor and natural resources) which can
be imputed to it according to Paretian optimality theory can
be regarded as practically constant over a wide range (§ 211}
While rather stronger, this is still quite a weak hypothesis.
Thus, the theory enables an expression of the real consumed
national income to be calculated as a function of the capita!
output ratio y.
It is not possible to summarize this paper in a few pages,
out to ease the task of the reader, the main definitions and
the essential results are presented below
() The numbers of the paragraphs and of the formulae are indicated
n brackets.
11] Allais - pag.
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