Abstract
Economic models must be related to empirical data if they are to be of use either for explanatory or for predictive purposes. In the present state of computational procedures, they must involve relatively few aggregates like national income, consumption and investment, or inputs and outputs of broad groups of materials and products. This is certainly so for models of the whole economy, as in Hicks’ trade-cycle theory (Chapter 7) or Leontiefs input-output model (Chapter 11). It is also true of models, e.g. in linear programming, which apply to the operations of an industry or large concern. In most cases, a model must be confined to a few macro-relations between a few macro-variables.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
Preview
Unable to display preview. Download preview PDF.
References
Aggregation Theory
Klein (L. R.) (1946a) :“Macroeconomics and the Theory of Rational Behavior”, Econometrica, 14, 93–108.
Klein (L. R.) (1946b) :“Remarks on the Theory of Aggregation”, Econometrica, 14, 303–12.
May (K.) (1946) :“The Aggregation Problem for a One-Industry Model”, Econometrica, 14, 285–98.
May (K.) (1947) :“Technological Change and Aggregation”, Econometrica, 51, 51–63.
Nataf (A.) (1948) :“Sur la Possibilité de Construction de Certains Macromodèles”, Econometrica, 16, 232–44.
Roy (R.) (1952) :“Les Élasticités de la Demande relative aux Biens de Consommation et aux Groups de Biens”, Econometrica, 20, 391–405.
Shou Shan (Pu (1946) :“A Note on Macroeconomics”, Econometrica, 14, 299–302.
Theil (H.) (1954) : Linear Aggregation of Economie Relations (North-Holland, Amsterdam, 1954).
Tinbergen (J.) (1939) : Statistical Testing of Business Cycle Theories (Geneva, 1939).
Tinbergen (J.) (1951) : Econometrics (Allen and Unwin, 1951), Chapter 2.
(Wolff P. de) (1941) :“Income Elasticity of Demand, a Micro-Economic and a Macro-Economic Interpretation”, Economic Journal, 51, 140–45.
Welfare Economics
Arrow (K. J.) (1951) : Social Choice and Individual Values (Wiley, 1951).
Baumöl W. J.) (1952) : Welfare Economics and the Theory of the State (Longmans, 1952).
Bergson (A.) (1938) :“A Reformulation of Certain Aspects of Welfare Economics”, Quarterly Journal of Economicsy 52, 310–34.
Dorfman (R.), Samuelson (P. A.) and Solow (R. M.) (1958) : Linear Programming and Economic Analysis (McGraw-Hill, 1958), Chapter 14.
Hicks (J. R.) (1939) :“The Foundations of Welfare Economics”, Economic Journal, 49, 696–712.
Hotelling (H.) (1938) :“The General Welfare in Relation to Problems of Taxation and of Railway and Utility Rates”, Econometrica, 6, 242–69.
Kaldor (N.) (1939) :“Welfare Propositions in Economics”, Economic Journal, 49, 549–52.
Kennedy (C.) (1954) :“Concerning Utility”, Economica, 21, 7–20.
Lange (O.) (1942) :“The Foundations of Welfare Economics” Econometrica, 10, 215–28.
Little (I. M. D) (1950) : A Critique of Welfare Economics (Oxford, 1950).
Samuelson (P. A) (1947) : Foundations of Economic Analysis (Harvard, 1947), Chapter VIII.
Scitovsky (T.) (1941) :“A Note on Welfare Propositions in Economics”, Review of Economic Studies, 9, 77–88.
Theil (H.) (1954):“Models and Welfare Maximisation”, Weltwirtschaftliches Archiv, 72, 60–81.
Copyright information
© 1959 R. G. D. Allen
About this chapter
Cite this chapter
Allen, R.G.D. (1959). The Aggregation Problem. In: Mathematical Economics. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-81547-0_20
Download citation
DOI: https://doi.org/10.1007/978-1-349-81547-0_20
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-81549-4
Online ISBN: 978-1-349-81547-0
eBook Packages: Palgrave History CollectionHistory (R0)