"christian a. gregory" wrote:
>
> Would not constant returns to scale and marginal productivity be
> contradictory assumptions?
No.
> In the first, you assume that productivity is a
> linear function of N, the number of workers; in the second, productivity has
> diminishing returns to scale, no?
In the first, if you double ALL inputs, output doubles. In the second, if you double ONLY labor and leave other inputs constant, then output does not double.
>
>
> I'm interested in this in part because of how different the idea "factors
> are paid their marginal products" is from Marxist ideas about wages (which
> at some points seem to work according to a linear model.)
>
> Christian
-- Michael Perelman Economics Department California State University Chico, CA 95929
Tel. 530-898-5321 E-Mail michael at ecst.csuchico.edu