Re: [OPE] Jubak, "Fake inflation numbers masked crisis"[MESSAGE NOT SCANNED]

From: Dave Zachariah <davez@kth.se>
Date: Mon Dec 08 2008 - 12:34:57 EST

on 2008-12-08 17:11 Paul Cockshott wrote:
> The effect is in the opposite direction!
>

Hmm, I must have misunderstood something here.

    MELT = Net Domestic Product at market prices / number of worker-hours

Holding prices and the quantity of labour constant, a rise in
productivity ought to raise the NDP and hence the MELT. Holding
productivity and the quantity of labour constant, a rise in prices ought
to inflate the NDP and hence the MELT.

//Dave Z
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Received on Mon Dec 8 12:44:28 2008

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