About the reinterpretation of the Ghosh model as a price model

Louis de Mesnard

No 2001-03, LATEC - Document de travail - Economie (1991-2003) from LATEC, Laboratoire d'Analyse et des Techniques EConomiques, CNRS UMR 5118, Université de Bourgogne

Abstract: The Ghosh model assumes that, in an input-output framework, each commodity is sold to each sector in fixed proportions. This model is strongly criticized because it seems implausible in the traditional input-output field. To answer to these critics, Dietzenbacher stresses that it can be reinterpreted as a price model: the Leontief price model is equivalent to the Ghosh model when this one is interpreted as a price model. This paper shows that the interpretation of the Ghosh model as a price model cannot be accepted because Dietzenbacher makes a strong assumption, dichotomy, while the Ghosh model does not determine prices...

JEL-codes: C67 D46 D57 (search for similar items in EconPapers)
Pages: 11 pages
Date: 2001-02
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Persistent link: https://EconPapers.repec.org/RePEc:lat:lateco:2001-03

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