[OPE-L:3454] RE: Assumptions, Assumptions, etc.

Paul Cockshott (wpc@cs.strath.ac.uk)
Thu, 17 Oct 1996 02:30:51 -0700 (PDT)

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Jerry:
>In the one-commodity corn model case, technological change in corn
>production would imply reductions in corn prices, ceteris paribus. As
>corn is the means of subsistence that workers purchase, real wages would
>increase, ceteris paribus. However, there is no reason to believe that
>capitalists will change the "wage bargain" as a result of this process.
>

Paul:
My advice to Jerry would be to avoid trying to answer questions in the
context of these ridiculously simplified non-capitalist economic models.
In the one commodity corn model, there are no commodities and no prices
so the difference between nominal and real wages becomes unthinkable.
Paul Cockshott

wpc@cs.strath.ac.uk
http://www.cs.strath.ac.uk/CS/Biog/wpc/index.html