TRAVERSE IN A 2-SECTOR KALECKIAN MODEL OF GROWTH WITH TARGET-RETURN PRICING

Authors
LAVOIE M RAMIREZGASTON P
Citation
M. Lavoie et P. Ramirezgaston, TRAVERSE IN A 2-SECTOR KALECKIAN MODEL OF GROWTH WITH TARGET-RETURN PRICING, Manchester School of Economic and Social Studies, 65(2), 1997, pp. 145-169
Citations number
48
Categorie Soggetti
Economics
Journal title
Manchester School of Economic and Social Studies → ACNP
ISSN journal
00252034
Volume
65
Issue
2
Year of publication
1997
Pages
145 - 169
Database
ISI
SICI code
0025-2034(1997)65:2<145:TIA2KM>2.0.ZU;2-2
Abstract
The first purpose of this article is to extend the Kaleckian model of growth and distribution to a two-sector framework, taking into account the fact that the investment good is a basic good. The second objecti ve is to present an analysis of the traverse. It is shown that such a traverse exists when for instance profit margins are changed or when i nducements to invest change. The Kaleckian traverse does not require t he restrictions on technology that the standard Hicksian traverse need s.