ABSTRACT

Any contribution to economic theory that is not merely repeating slogans must pass through a stage of what Janos Kornai calls intellectual experiment. Concepts are defined and logical relations between them worked out under the shelter of 'other things equal' and 'other things remaining the same'. Professor Samuelson raises the question whether such transitions could be made efficiently in market or planned economies in the real world. The model in Production of Commodities is a one-technique system in a self-reproducing state but it does permit of some variations. One of the ingredients among the inputs exists in two versions or brands. Samuelson is correct in saying that grammar is awkward. It is hard to describe a map without using the language of moving about on it. Keynes, at the opposite extreme to Sraffa, discusses only events. In businesses, households, public agencies, etc., each within its own sphere, decisions are taken under the influence of convention, imperfect information and uncertain expectations.