The New Palgrave Dictionary of Economics

Living Edition
| Editors: Palgrave Macmillan

Production as Indirect Exchange

  • Trout Rader
Living reference work entry
First Online:
Received:
Accepted:
DOI: https://doi.org/10.1057/978-1-349-95121-5_1477-1
How to cite

Abstract

Relative to classical doctrines, neoclassical economics was distinguished early on by the addition of utility to the arsenal of theoretical tools, especially with respect to mathematical methods (e.g. Jevons (1871); Marshall (1890) and Walras (1874–7) as a supplement to such as Adam Smith (1776), Ricardo (1817) and Cournot (1838). In his Éléments, Walras conjectured that grouping or tâtonnement led to general equilibrium where supply equalled demand for each, even in a manycommodity, many-dimensioned world. Also utility was shown to be equivalent to abstract properties of preferences on bundles of consumer goods (Hicks and Allen 1934). For example, not only was choice by rational agents expostulated but, consistent with modern psychoanalysis or its milder variants, many non-rationalities were permitted Sonnenschein 1971 and Shafer 1974). Thereby application of economics was greatly expanded to cover non-transitive preferences.) However, the story did not end there.

Keywords

Excess Demand Neoclassical Economic Final Consumption Pure Exchange Weak Axiom 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
This is a preview of subscription content, log in to check access.

Bibliography

  1. Aumann, R.J. 1964. Markets with a continuum of traders. Econometrica 32: 39–50.CrossRefGoogle Scholar
  2. Aumann, R.J. 1966. Existence of competitive equilibria in markets with a continuum of traders. Econometrica 34: 1–17.CrossRefGoogle Scholar
  3. Birkhoff, G., and G.C. Rota. 1962. Ordinary differential equations. Boston: Ginn & Co.Google Scholar
  4. Chipman, J. 1974. Homothetic preferences and aggregation. Journal of Economic Theory 8(1): 26–38.CrossRefGoogle Scholar
  5. Chipman, J. 1979. The theory and application of trade utility functions. In General equilibrium, growth, and trade, ed. J.R. Green and J.A. Scheinkman. New York: Academic Press.Google Scholar
  6. Coase, R.H. 1960. The problem of social cost. Journal of Law and Economics 3: 1–44.CrossRefGoogle Scholar
  7. Coddington, E.A., and N. Levinson. 1955. Theory of ordinary differential equations. New York: McGraw-Hill.Google Scholar
  8. Cournot, A. 1838. Recherches sur les principes mathématiques de la théorie des richesses. Trans. New York: Macmillan, 1983.Google Scholar
  9. Debreu, G. 1959. Theory of value. New York: Wiley.Google Scholar
  10. Debreu, G., and H. Scarf. 1963. A limit theorem on the core of an economy. International Economic Review 4: 236–246.CrossRefGoogle Scholar
  11. Edgeworth, F.Y. 1881. Mathematical psychics. London: Kegan Paul.Google Scholar
  12. Feldman, A.M. 1973. Bilateral trading processes, pairwise optimality and Pareto optimality. Review of Economic Studies 40: 463–479.CrossRefGoogle Scholar
  13. Gale, D., and A. Mas-Colell. 1975. An equilibrium existence theorem for a general model without ordered preferences. Journal of Mathematical Economics 2: 9–15.CrossRefGoogle Scholar
  14. Gale, D., and A. Mas-Colell. 1976–7. On the role of complete, transitive preferences in equilibrium theory. In Equilibrium and disequilibrium in economics, ed. G. Schwodiauer. Dordrecht: Reidel.Google Scholar
  15. Gantmacher, F.R. 1959. The theory of matrices, vol. 1. New York: Chelsea.Google Scholar
  16. Girsanov, I.V. 1972. Lectures on mathematical extremum problems. New York: Springer.CrossRefGoogle Scholar
  17. Goldman, S., and R. Starr. 1982. Pairwise, t-wise, and Pareto optimalities. Econometrica 50: 593–606.CrossRefGoogle Scholar
  18. Graybill, F. 1969. Introduction to matrices. Belmont: Wadsworth.Google Scholar
  19. Hicks, J.R., and R.G.D. Allen. 1934. A reconsideration of the theory of value. Economica NS 1: 52–76.CrossRefGoogle Scholar
  20. Hildenbrand, W. 1983. On the law of demand. Econometrica 51: 997–1019.CrossRefGoogle Scholar
  21. Jevons, W.S. 1871. The theory of political economy. London: Macmillan.Google Scholar
  22. Kelley, J., and I. Namioka. 1963. Linear topological spaces. New York: Van Nostrand.CrossRefGoogle Scholar
  23. Keynes, J.M. 1919. The economic consequences of the peace. London: Macmillan.Google Scholar
  24. Kihlstrom, R., A. Mas-Colell, and H. Sonnenschein. 1976. The demand theory of the weak axiom of revealed preference. Econometrica 44: 971–978.CrossRefGoogle Scholar
  25. Kramer, G.H. 1972. Sophisticated voting over multi-dimensional choice spaces. Journal of Mathematical Sociology 2: 165–180.CrossRefGoogle Scholar
  26. Lancaster, K. 1966. A new approach to consumer theory. Journal of Political Economy 74: 132–157.CrossRefGoogle Scholar
  27. Leontief, W. 1936. Note on the pure theory of transfer. In Explorations in economics. New York: McGraw-Hill.Google Scholar
  28. Leontief, W. 1941. The structure of American economy, 1919–1939, 1951. London/New York: Oxford University Press.Google Scholar
  29. Madden, P. 1975. Efficient sequences of non-monetary exchange. Review of Economic Studies 44: 581–596.CrossRefGoogle Scholar
  30. Marshall, A. 1890. Principles of economics. London: Macmillan.Google Scholar
  31. Mas-Colell, A. 1974. An equilibrium existence theorem without complete or transitive preferences. Journal of Mathematical Economics 1: 237–246.CrossRefGoogle Scholar
  32. McKenzie, L. 1960. Matrices with dominant diagonals and economic theory. In Mathematical methods in the social sciences, ed. K. Arrow, S. Karlin, and P. Suppes. Stanford: Stanford University Press.Google Scholar
  33. Meade, J.E. 1955. Trade and welfare. Oxford: Oxford University Press.Google Scholar
  34. Polterovich, M. 1970. A model of resource distribution. Matekon 7(3): 245–262.Google Scholar
  35. Rader, T. 1963. Edgeworth exchange and general economic equilibrium. Unpublished dissertation, Yale University. Synopsis in Yale Economic Essays 4, 1964, 133–80.Google Scholar
  36. Rader, T. 1968. Pairwise optimality and non-competitive behavior. In Papers in quantitative economics, vol. I, ed. J. Quirk and A.M. Zarley. Lawrence: University of Kansas Press.Google Scholar
  37. Rader, T. 1970. Resource allocation with increasing returns to scale. American Economic Review 60: 814–825.Google Scholar
  38. Rader, T. 1972. General equilibrium theory with complementary factors. Journal of Economic Theory 4: 372–380.CrossRefGoogle Scholar
  39. Rader, T. 1976. Pairwise optimality, multilateral optimality and efficiency, with and without externalities. In Theory and measurement of economic externalities, ed. S.Y. Lin. New York: Academic Press.Google Scholar
  40. Rader, T. 1977–8. Many good multiplier analysis: Classical, neoclassical and Keynesian. In Equilibrium and Disequilibrium in Economics, ed. G. Schwodiauer. Dordrecht: Reidel Press.Google Scholar
  41. Rader, T. 1978a. Induced preferences on trades when preferences may be intransitive and incomplete. Econometrica 46: 137–146.CrossRefGoogle Scholar
  42. Rader, T. 1978b. On factor price equalization. Journal of Mathematical Economics 5: 71–82.CrossRefGoogle Scholar
  43. Rader, T. 1979. Factor price equalization with more industries than factors. In General equilibrium growth and trade, ed. J. Green and J.A. Scheinkman. New York: Academic Press.Google Scholar
  44. Ricardo, D. 1817. The principles of political economy and taxation. London: Murray.Google Scholar
  45. Samuelson, P.A. 1952–4. The transfer problem and transport costs. I: The terms of trade when impediments are absent; II: Analysis of effects of trade impediments. Economic Journal 57: 278–304; 59: 264–90.Google Scholar
  46. Scarf, H. 1962. An analysis of markets with a large number of participants. In Recent advances in game theory, ed. H. Scarf. Princeton: Princeton University Press.Google Scholar
  47. Shafer, W. 1974. The nontransitive consumer. Econometrica 42(5): 913–919.CrossRefGoogle Scholar
  48. Smith, A. 1776. An inquiry into the nature and causes of the wealth of nations. London: W. Strahan & T. Cadell.CrossRefGoogle Scholar
  49. Sonnenschein, H. 1971. Demand theory without transitive preferences. In Preferences, utility and demand, ed. J. Chipman, M. Hurwicz, M. Richter, and H. Sonnenschein. New York: Harcourt, Brace.Google Scholar
  50. Walras, L. 1874–7. Eléments d’économie politique pure. Lausanne: L. Corbaz. Definitive edn 1926, trans. W. Jaffé as Elements of pure economics. New York: Orion, 1954.Google Scholar

Copyright information

© The Author(s) 1987

Authors and Affiliations

  • Trout Rader
    • 1
  1. 1.