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On the integration of dual and cross-dual adjustment processes in Leontief systems. (English) Zbl 0659.90030

This paper attempts an integration of Keynesian dual and classical cross- dual adjustment processes in the framework of a standard Leontief model. It investigates why strategies which are capable of proving stability for each separate case cannot in general successfully be applied to the composite system, where both prices and quantities are each revised on the basis of two instead of only one principle. In view of these results an alternative approach to the stability of such composite systems is then introduced and applied to this aggregate structure and certain classical extensions of it.

MSC:

91B66 Multisectoral models in economics
91B62 Economic growth models
93D05 Lyapunov and other classical stabilities (Lagrange, Poisson, \(L^p, l^p\), etc.) in control theory