Growth of the relative prices of engineering products and the potential for improving the solvency of their users

Abstract

The movement of the relative prices of engineering products over two periods, 1965–1991 and 1992–2004, is considered. Details of the calculation of a price increase index for machinery and equipment sold in 1991 are given. The potential of two approaches to attaining a drastic increase in the solvency of engineering product users over the forecast period, resulting in the corresponding boost in the output and purchases of engineering, manufacturing, and industrial products in general, is investigated.