Land Rents and Competitive Equilibrium

Martin Diedrich

No 2000/19, Keele Department of Economics Discussion Papers (1995-2001) from Department of Economics, Keele University

Abstract: We study the technological pre-conditions for competitive equilibrium in a multisectoral economy where land is an essential imput. Earlier results by Bidard and Salvadori require either very low interest rates or are unable to predict the type of final demand vectors that can be supported by an equilibrium.We extend these earlier results and show that a given level and structure of final demand can be supported by equilibrium prices if there is a sufficiently strong substitution potential between labour and land inputs. Our proof is constructive: the equilibria we discuss can be computed by the Lemke Complementary Pivoting Algorithm.

Keywords: Multisectoral Growth Theory; Choice of Technique; Land Rent; Linear Complementarity Theory; Lemke Algorithm (search for similar items in EconPapers)
JEL-codes: C61 D51 O41 Q24 (search for similar items in EconPapers)
Pages: 21 pages
Date: 2000, Revised 2001-03
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.keele.ac.uk/depts/ec/wpapers/0019.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found (http://www.keele.ac.uk/depts/ec/wpapers/0019.pdf [301 Moved Permanently]--> https://www.keele.ac.uk:443/depts/ec/wpapers/0019.pdf)

Related works:
Working Paper: Land Rents and Competitive Equilibrium (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kee:keeldp:2000/19

Ordering information: This working paper can be ordered from
Department of Economics, Keele University, Keele, Staffordshire ST5 5BG - United Kingdom
http://www.keele.ac.uk/depts/ec/cer/pubs_kerps.htm

Access Statistics for this paper

More papers in Keele Department of Economics Discussion Papers (1995-2001) from Department of Economics, Keele University Department of Economics, University of Keele, Keele, Staffordshire, ST5 5BG - United Kingdom. Contact information at EDIRC.
Bibliographic data for series maintained by Martin E. Diedrich ( this e-mail address is bad, please contact ).