Technical Change and the Rate of Profit
An Obituary for Okishio's Theorem
Bibliographic Data
| ID | 4139550 |
|---|---|
| Authors | David L Rigby (0000-0002-8555-1308, University of California, Los Angeles, corresponding author) |
| Year | 1990 |
| Volume | 22 |
| Issue | 8 |
| Pages | 1039-1050 |
| Publication date | 1990-08-01 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Environment and Planning A Economy and Space (JOURNAL) |
| Journal identifiers | ISSN: 0308-518X • E-ISSN: 1472-3409 |
| Publisher | SAGE Publications Inc (PUBLISHER) |
| DOI | 10.1068/a221039 |
| OpenAlex | W2019625569 |
| Language | EN |
| Citations received | 5 |
| References cited | 28 |
The effects of technical change on the aggregate rate of profit are unclear. On the one hand, it is argued that laboursaving innovations cause the profit rate to fall. On the other hand, Okishio proved that in an economy where wages are constant and realization problems are assumed away, cost-reducing technical changes must raise the rate of profit. Okishio's theorem presents an important challenge to explanations of industrial and regional restructuring that are premised on the theory of the falling rate of profit. In this paper, Okishio's claims are examined under more general conditions, in particular when wages vary to ensure market clearing. The effects of capital-saving and laboursaving technical changes on the rate of profit are examined. It is shown that Okishio's theorem is not as robust as some have claimed
Classical economics · Economics · Macroeconomics · Microeconomics · Monetary economics · Profit rate · Rate of profit · Restructuring · Technical change · Economic Growth and Productivity · Economic theories and models · Economic Theory and Policy · Finance
The Long Wave in Economic Life
High technology, space, and society
The economics of technological change
Induced innovation
International Investment and International Trade in the Product Cycle
Spatial Divisions of Labour
The Subtle Anatomy of Capitalism
The theory of capitalist development
Analytical Foundations of Marxian Economic Theory
Lectures on the Theory of Production
Technical Change and the Aggregate Production Function
The Long Waves in Economic Life
The regional distribution of innovative manufacturing establishments in Britain
US high technology multinationals and Silicon Glen
Innovation and regional growth in small high technology firms
On the Theory of Induced Invention
Surveys in Applied Economics
Induced Bias in Innovation and the Theory of Distribution
Technological Change and Regional Development
The Product-Cycle Model
The Marxian theory of crisis, capital and the state∗
| Unique citing works | 5 |
|---|---|
| Citations per year | 0,14 |
| Citation span | 1990 - 2025 (36) |
| Citation velocity | recent |
| Highly cited | No |
| Citation types | Neutral: 4 |