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Inequality in Network Economies

  • Robert P. GillesEmail author
Chapter

Abstract

This volume concludes with a speculative chapter on the properties of general equilibria founded on the Law of One Price when production processes are represented as a production network. We show that the presence of intermediary goods in these production networks implies that there exists a multitude of such general equilibria. This allows for the comparison of such equilibria based on equality as well as extreme inequality in these production networks. In particular, the power structures that can be identified in the topology of a production network significantly affect the inequality between consumer-producers in the underlying social division of labour. This provides a framework to address the prevalent, observed inequality in our contemporary global economy.

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  1. 1.Management SchoolQueen’s University BelfastBelfastUK

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