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VON NEUMANN'S MODEL AND SOVIET LONG‐TERM (PERSPECTIVE) PLANNING
Author(s) -
Morton George,
Zauberman Alfred
Publication year - 1969
Publication title -
kyklos
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.766
H-Index - 58
eISSN - 1467-6435
pISSN - 0023-5962
DOI - 10.1111/j.1467-6435.1969.tb02521.x
Subject(s) - von neumann architecture , planner , economics , theme (computing) , nexus (standard) , pace , profit (economics) , term (time) , neoclassical economics , general equilibrium theory , subject (documents) , mathematical economics , economic system , positive economics , macroeconomics , computer science , physics , geodesy , quantum mechanics , library science , programming language , embedded system , geography , operating system
SUMMARY The first to draw Soviet economists’ attention—in the early ‘sixties’—to the von Neumann model, hitherto unknown in, and indeed alien to Soviet economics, was N emchinov . The subject was taken up by several writers: of particular interest is the impact of the construct on the model of'dynamic planning’ designed by K antorovich and M akarov ; this is the theme of the present article. MORTON and Z auberman start from a discussion of the von Neumann‐type equilibrium in a long term economic plan. They then turn to several specific issues which have been for some time focal in Soviet planning thought and analyse the significance for them of the von Neumann model. These are in particular the nexus between the pace of the economy's growth and investment efficiency—traditionally recognized as central in the advance for Soviet economy; further the problems of efficiency and profit rates and in general the efficiency parameters (pricing). The authors also discuss the quest for an optimality criterion—from the angle of their theme. The article concludes with precepts for the planner as influenced by the VON N eumann ideas.