From Cambridge to Eternity: “Factor-hours to Production 02”
( F rom y esterday on ) The Economy-wide Production Function, as logical : “The Aggregate Value Created per annum ” = the collective sum of [(monetary efficiency per individual fact-hour) multiplied by (the running hours per annum specific to the factor)] → Definitive insensibility: Taking average per annum of any aggregate of the stocks such as L , K and N , or their running hours GDP (for Gross Domestic Products), as in Macroeconomics : According to Gregory Mankiw ( Principles of Economics ) among others: “GDP is the market value of all final goods and services produced within a given period of time.” To be logical : Y (GDP) = the production function of GDP per annum = (“The Aggregate Value Created per annum ”) subtracted by (the Aggregate Value Created per annum of assets) Afterthoughts : 1) To be fair in Economics, goods and services are for consum...