Maximum principles in analytical economics

  title={Maximum principles in analytical economics},
  author={Paul A. Samuelson},
Lecture to the memory of Alfred Nobel, December 11, 1970 (This abstract was borrowed from another version of this item.) 
Finite-Time Thermodynamics in Economics
This paper considers optimal trading processes in economic systems using the wealth function concept, and the existence of the welfare function is proved, the concept of capital dissipation is introduced as a measure of the irreversibility of processes in the microeconomic system.
The Le Chatelier Principle of the capital market equilibrium
This paper purports to provide a theoretical underpinning for the problem of the Investment Company Act. The theory of the Le Chatelier Principle is wellknown in thermodynamics: The system tends to
Additive Separability, Optimization, and Trivial Webs
In this paper we show that two seemingly unrelated problems in economics, the hypothesis of integrability and the hypothesis of additive separability are linked by the absence of curvature of
Dissipation and Conditions of Equilibrium for an Open Microeconomic System
An analogy between microeconomic and irreversible thermodynamic systems is shown and the extremal principle for the determination of stationary state of an open microeconomic system is formulated.
Optimal Choice of Prices and Flows in a Complex Open Industrial System
Production processes are very important subject of economic study because they are irreversible and the problem on determination of optimal prices is considered for a firm with given internal structure.
Voluminous, Repetitive, and Intractable: Samuelson on Early Development Economics
In the late 1970s Paul Samuelson drafted the outline of a paper, never published, with a critical assessment of the theoretical innovations of postwar development economics. He found the subject
All that glitters is not reward signal
In this issue, Shenhav et al. critically evaluate the idea that neural correlates of value actually represent value. They describe how, in many situations, value correlates can reflect other
The Le Chatelier Principle in the Markowitz Quadratic Programming Investment Model: A Case of World Equity Fund Market
Due to limited numbers of reliable international equity funds, the Markowitz investment model is ideal in constructing an international portfolio. Overinvestment in one or several fast-growing
Modern thermodynamics for chemists and biochemists
I remember teaching thermodynamics for a colleague when she went to a workshop for two weeks and finding it extraordinarily difficult to construct a logical presentation of the subject. The fact th...
Walras' Unfortunate Legacy
What I argue in this paper is that the direction economics ,and particularly theoretical economics, took in the 20th century was to a great extent due to Walras' influence. This was not so much the


Foundations of Economic Analysis.
Recent statistical techniques, including nonlinear programming, have been added to a basic survey of equilibrium systems, comparative statistics, consumer behavior theory, and cost and production
A Reformulation of Certain Aspects of Welfare Economics
Assumptions, 310.— I. General conditions for maximum welfare, 311.— II. The Lemer conditions, 316; the Pareto-Barone-Cambridge conditions, 318; the Cambridge conditions, 320. III. Review and
Diagrammatic Exposition of a Theory of Public Expenditure
In the November 1954 issue of the Review of Economics and Statistics my paper on ‘The Pure Theory of Public Expenditure’ presented a mathematical exposition of a public expenditure theory that goes
Consumption Theorems in Terms of Overcompensation Rather Than Indifference Comparisons
To be of interest a scientific theory must have consequences. Upon hard-boiled examination, the theory of consumer's behaviour turns out not to be completely without interest. By this I mean:
Linear Programming and Economic Analysis.
Eventually, you will certainly discover a further experience and capability by spending more cash. nevertheless when? do you assume that you require to acquire those all needs in imitation of having
A Reconsideration of the Theory of Value. Part I
THE pure theory of exchange value, after a period of intensive study by economists of the generation of Jevons and Marshall, has received comparatively little attention from their successors in the
Stochastic speculative price.
  • P. Samuelson
  • Economics
    Proceedings of the National Academy of Sciences of the United States of America
  • 1971
The present study determines the behavior of price as the solution to a stochastic-dynamic-programming problem and concludes that the resulting stationary time series possesses an ergodic state and normative properties like those often observed for real-world bourses.
Frank Knight's theorem in linear programming
A quarter of a century ago Frank Knight showed that there exists some kind of a relation between the Walras-Wieser pricing theory involving technically fixed coefficients of production and the more
The Common Sense of Econometrics : Reprinted from Econometrica, Jan. 1933, 5–12.
THE AIMS of this Journal, and of the Society of which it is to be the organ, have been stated above by the Editor with that brevity and precision which are characteristic of every statement of a
Revealed Preference and the Utility Function
Professor Samuelson's "revealed preference" approach' has proved to be a useful basis for deriving a considerable part of the static theory of consumer's choice. Its exisLing versions are not