Abstract
The classical theory of interest is that it is the price that equates the supply of capital to the demand for it. For greater precision one should substitute for‘capital’ above the term‘capital disposal’, retaining the word‘capital’ to describe physical objects in which inputs have been embodied with a view to future outputs, as already explained.
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© 1973 Roy Harrod
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Harrod, R. (1973). Interest. In: Economic Dynamics. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-01696-9_5
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DOI: https://doi.org/10.1007/978-1-349-01696-9_5
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-01698-3
Online ISBN: 978-1-349-01696-9
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