ABSTRACT
In the literature on David Ricardo's political economy we find two milestones, which were published over the span of ten years, more than one century after the publication of Ricardo's works: Introduction to The Works and Correspondence of David Ricardo and Luigi Pasinetti's Mathematical Formulation of the Ricardian System. The analytical formulation of Ricardo's early writings has the pedagogical function of fully appreciating the final objective that Piero Sraffa was pursuing with his standard commodity: that of studying the relation concerning income distribution independently of prices. This chapter considers the wage rate fixed at the subsistence level during the whole process of capital accumulation. It considers an economic system where there are three social classes: landlords, capitalists and workers.
