Refuting Samuelson's Capitulation on the Re-switching of Techniques in the Cambridge Capital Controversy

Abstract

Paul A. Samuelson's (1966) capitulation during the so-called Cambridge controversy on the phenomenon of re-switching of techniques in capital theory had implications not only in pointing at a supposed internal contradiction of the marginal theory of production and distribution, but also in preserving vested interests in the academic and political world to this day. based on a new non-switching theorem (MIalana, 2019), the present paper is aimed at demonstrating that Samuelson's capitulation was logically groundless from the point of view of the economic theory of production.