COMPUTATION OF EXPANSION RATES FOR THE GENERALIZED VON NEUMANN MODEL OF AN EXPANDING ECONOMY
Abstract
The first part of the paper is a theoretical study of v(B - alpha A) considered as a function of alpha, the expansion factor, where A and B are the input and output matrices of the model. Then a simple search algorithm is presented for computing the maximum and minimum expansion rates of the model. The algorithm uses the simplex method of linear programming as its basic subroutine. For a typical set of data, an expansion rate can be found to sufficient accuracy by solving 14 or fewer linear programming problems. With modern computers this is not a difficult task. The last part of the paper discusses the available data, in this case, input-output data, and gives the computational results found using it. Limitations of the data and conclusions drawn from it are discussed. The use of the model for economic planning and evaluation is considered.
Document Details
- Document Type
- Technical Report
- Publication Date
- Jan 01, 1966
- Accession Number
- AD0631943
Entities
People
- Gerald L. Thompson
- Michael J. Hamburger
- Roman L. Weil Jr.
Organizations
- Carnegie Institute of Technology