fullscreen : Study week on the econometric approach to development planning

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

657

7. The dynamic movements of the other variables

Following the procedure which has been used in chapter III,
‘he movements through time of other magnitudes of economic
nterest (like sectoral production at current prices, sectoral empoyment,
 capital-output ratios, etc.) can be derived as simple
~orollaries from (V.13) and (V.14). These other economic
magnitudes depend both on (V.13) and on (IV.14), i.e. both
on technology and on demand. Therefore their dynamic movements
 result from a composition of the movements through
ime of physical quantities and of relative prices. Let us con:
sider them in detail.

1. The time-paths of the production of each commodity
evaluated at current prices [the V,(#) and V )] can evidently
be obtained by multiplying each of the © * by each of the
'V.14). The resul’ is

V.I5,

rs

g+tr-e J

I~ 5

+ Uwhere

 the constants D and G stand for the initial conditions
namely

a,

vu) a; ke

d; An)

u

VW A, QL

J)

W A.

J

10} Pasinetti - pag. 87
            
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