Abstract
In realistic economic models with n different types of capital goods, the value of the capital stock is$$ V={\displaystyle \sum_{i=1}^n{P}_i{K}_i} $$where P i is the price of the ith capital good in terms of some numéraire. The value of capital, however, is not an appropriate measure of the ‘aggregate capital stock’ as a factor of production except under extremely restrictive conditions. Wicksell (1893, 1934) originally recognized this fact, which subsequently was emphasized by Robinson (1956).
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