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On consumption baskets in a generalized von Neumann model. (English) Zbl 0655.90009

A model of regular growth with consumption was introduced by Morishima (1960, 1969). There are two classes of agents, capitalists and workers who both consume and save: workers receive wages as well as a part of profits as a remuneration of their savings. The previous proofs of existence of a solution to this model were subjected to several criticisms: some assumptions are economically awkward or too restrictive, and the mathematical argument is complicated. The paper improves and generalizes the economic assumptions and simplifies the existence proof by means of an application of the Gale-Nikaido-Debreu lemma.

A further and final generalization, taking account explicitly of possible equilibria of the anti-Pasinetti type, has recently been published by the first author and R. Franke [Ric. Econ. 41, 3-21 (1987; Zbl 0626.90019)].

Reviewer: Ch.Bidard
MSC:
91B62Growth models in economics