The theory of value, capital, and interest
Subtitle: a new approach
By: Branko Horvat.
Publisher: Edward Elgar
Published: 1995
Place of publication: Aldershot, Hants, England; Brookfield, Vt., USA
Language: eng
Number of pages: 281
Subjects: Labor theory of value.; Capital.; Interest.
Description: In The Theory of Value, Capital and Interest, Branko Horvat puts forward a new economic theory, relevant to real-world economics. This radical and innovative book deals with the economy as a system which includes producers, consumers and a social regulating agency, rather than simply as an aggregate of individuals.

Beginning with an essay on economic methodology which analyses the underpinnings of neoclassical economics, the author presents a two-sector canonical model which is used to establish equilibrium prices and quantities in a stationary and growing economy. This thesis distinguishes two sources of growthexpansion of the labour force and technological progress - and also discusses criteria for investment.

Later chapters extend Professor Horvat's model to include joint production and rent, and present a general case which allows for many consumer and producer goods. By introducing a new economic paradigm - and in so doing offering a solution to the long-standing labour theory of value controversy - this book makes a series of important innovations and will be welcomed as a major contribution by neo-Ricardians, Marxists, post-Keynesians and critical neoclassicals.
Notes: Includes bibliographical references (p. 268-275) and indexes.