Addendum to “Marx’s Analysis of Ground-Rent: Theory, Examples and Applications”

Authors

Deepankar Basu, Department of Economics, University of MassachusettsFollow

Working Paper Number

2018-09

Publication Date

2018

Abstract

In a recent paper, I had proposed an analytical framework to understand Marx’s theory of ground-rent. An important question had been left unaddressed in the paper: how are the price and output levels (of the agricultural commodity) determined in a way that can both take account of fluctuations in market demand and also embed profit-maximizing behaviour of the capitalist-farmers? In this note, I offer a simple way to think about the determination of equilibrium levels of price and output for the agricultural commodity that makes explicit two important dimensions: (a) the role of aggregate demand for the agricultural commodity, and (b) profit maximizing behaviour of the capitalist farmers.

DOI

https://doi.org/10.7275/12237491

License

UMass Amherst Open Access Policy

Recommended Citation

Basu, Deepankar, "Addendum to “Marx’s Analysis of Ground-Rent: Theory, Examples and Applications”" (2018). UMass Amherst Economics Working Papers. 246.
https://doi.org/10.7275/12237491