Working Paper Number
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.
UMass Amherst Open Access Policy
Basu, Deepankar, "Addendum to “Marx’s Analysis of Ground-Rent: Theory, Examples and Applications”" (2018). UMass Amherst Economics Working Papers. 246.