Eigenvalue Distribution and the Production Price-Profit Rate Relationship: Theory and Empirical Evidence

Article

Abstract

A typical finding in many empirical studies is that the production price-profit rate relationship is, by and large, monotonic. This paper derives, in terms of the usual single-product model, the spectral conditions that make possible the appearance of such monotonicity. Furthermore, using data from input-output tables for a number of countries and years, it examines the extent to which actual economies fulfil those spectral conditions.

Keywords

eigenvalue distribution production prices spectral analysis standard systems 

JEL

B51 C67 D46 D57 E11 

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Copyright information

© Japan Association for Evolutionary Economics 2011

Authors and Affiliations

  1. 1.Department of Public AdministrationPanteion UniversityAthensGreece
  2. 2.Department of EconomicsUniversity of MacedoniaThessalonikiGreece

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