ppstdint3 | R Documentation |
This function computes the uniform rate of profit, prices of production and labor values for a basic capital stock model using the Standard Interpretation. The model has uniform wage rates across industries and does not take into account unproductive labor for labor value calculations.
ppstdint3(A, l, b, Q, D, K, t, l_simple)
A |
input-output matrix (n x n). |
l |
vector of complex labor input (1 x n). |
b |
vector real wage bundle (n x 1). |
Q |
gross output vector (n x 1). |
D |
depreciation matrix (n x n). |
K |
capital stock coefficient matrix (n X n). |
t |
turnover matrix (n x n diagonal matrix). |
l_simple |
vector of simple labor input (1 x n). |
A list with the following elements:
meig |
Maximum eigen value of N |
urop |
Uniform rate of profit (as a fraction) |
mrop |
Maximum rate of profit (as a fraction) |
ppabs |
Price of production vector (absolute) |
pprel |
Price of production vector (relative) |
lvalues |
Labor values vector |
dprice |
Direct price vector |
mevg |
Monetary expression of value using gross output |
nnonneg |
Is N Nonnegative? (1=Y,0=N) |
nirred |
Is N Irreducible? (1=Y,0=N) |
Basu, Deepankar and Moraitis, Athanasios, "Alternative Approaches to Labor Values andPrices of Production: Theory and Evidence" (2023). Economics Department Working Paper Series. 347. URL: https://scholarworks.umass.edu/econ_workingpaper/347/
# ------ Data
# Input-output matrix
A <- matrix(
data = c(0.265,0.968,0.00681,0.0121,0.391,0.0169,0.0408,0.808,0.165),
nrow=3, ncol=3, byrow = TRUE
)
# Direct labor input vector (complex)
l <- matrix(
data = c(0.193, 3.562, 0.616),
nrow=1
)
# Real wage bundle
b <- matrix(
data = c(0.0109, 0.0275, 0.296),
ncol=1
)
# Gross output vector
Q <- matrix(
data = c(26530, 18168, 73840),
ncol=1
)
# Direct labor input vector (simple)
l_simple <- l
# Depreciation matrix
D <- matrix(data = c(0,0,0,0.00568,0.0267,0.0028,0.00265,0.0147,0.00246),
nrow=3, ncol=3, byrow = TRUE
)
# Capital stock coefficient matrix
K <- matrix(
data = c(0,0,0,0.120,0.791,0.096,0.037,0.251,0.043),
nrow=3, ncol=3, byrow = TRUE
)
# Diagonal turnover matrix
t <- diag(c(0.317, 0.099, 0.187))
# Compute prices of production
ppstdint3(A = A,l = l,b = b,Q = Q,l_simple = l,D=D,K=K,t=t)
Add the following code to your website.
For more information on customizing the embed code, read Embedding Snippets.