EconPapers    
Economics at your fingertips  
 

Mathematical Proof of the Breakdown of Capitalism

Egmont Kakarot-Handtke ()

MPRA Paper from University Library of Munich, Germany

Abstract: The existence proof of general equilibrium, which is based on subjective-behavioral axioms, is replaced by the existence proof of a final turning point, which is based on objective-structural axioms. The final turning point is characterized by an irreversible switch from profits to losses for the business sector as a whole and marks the beginning of the breakdown of the monetary economy. This has nothing to do with any market failures or irrationalities. The final turning point can be preceded by an arbitrary number of temporary profit/loss reversals and is in full accordance with the households’ optimal intertemporal consumption plans.

Keywords: new framework of concepts; structure-centric; axiom set; consumption economy; Profit Law; simulation; market clearing; budget balancing; final turning point; existence proof (search for similar items in EconPapers)
JEL-codes: B59 D90 E19 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-mac
Date: 2014-01-13
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/52910/1/MPRA_paper_52910.pdf original version (application/pdf)

Related works:
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:pra:mprapa:52910

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().

 
Page updated 2019-01-28
Handle: RePEc:pra:mprapa:52910