6533b7dcfe1ef96bd1271d0a
RESEARCH PRODUCT
About the Ghosh Model: Clarifications
Louis De Mesnardsubject
Mixed modelInput/outputConsistency (database systems)Price indexValue (economics)Demand drivenEconomicsProduction functionMathematical economicsDual (category theory)description
We examine the consistency of the Ghosh supply-d riven input-output model (SM) by respect to the traditional Leontief demand-drive n input-output model (LM); the variants considered are: primal and dual, quantity and value ; input prices are not considered. SM offers solutions of limited interest, being incapab le to separate quantities and prices or values and price indexes. Comparing the dual value SM to the primal of LM is wrong. Even if the agents are forced to buy inputs in SM, the interpre tation of SM as a centrally planned economy must be rejected but SM may serve for modeling interfirm relations or analyzing the structural interindustry change when the production function is not specified. SM may also serve for cost-push exercises but the dual of LM pe rforms the same task in a much simpler and natural way. Cronin's mixed models do not mix demand-driven and supply-driven hypotheses actually. Running head . About the Ghosh model: clarifications.
| year | journal | country | edition | language |
|---|---|---|---|---|
| 2007-01-01 | SSRN Electronic Journal |