May 6, 2015

Walras's vacuonomics

Comment on ‘Bob Solow, Matt Rognlie, Paul Romer, Mason Gaffney, the economic statisticians and rent incomes’

Blog-Reference

Among the numerous defects of Walras's approach the worst is that he deals with a zero profit economy. In other words, he talks about capitalism without profit. So he has not much to say about the real world.

For the correct relationship between profit, distributed profit, and land ownership see: Essentials of Constructive Heterodoxy: Institutions.

Egmont Kakarot-Handtke