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Consists that all these constructions evidently start with an assumption about the strict
Independence of the factors entered into the analysis and they lose all the
We are not limited to mechanical manipulations, and it is known constantly that it is done
Also that words used by us mean, we can keep about ourselves "in mind"
Necessary clauses and corrective amendments which we should introduce later; but
We cannot in the same way throughout several pages in any way
Algebraic calculations to keep "in mind" difficult private derivatives, and it
All the same, as though all of them addressed to zero. Too big share
Modern "mathematical economy" represents, in essence,
Simple mash, so inexact, as well as those initial assumptions, on
Which it is based, and authors have an opportunity to forget about
Difficult relations and interrelations of the valid world, becoming isolated in
Labyrinth of pretentious and useless symbols.
1. Change of quantity of money influences size of the effective
Demand first of all by means of effect on norm of percent. If it
Business was limited, the quantitative effect could be introduced from three
Elements: a drawing of the liquidity preference showing, how much
The norm of percent that additional quantity of money should fall
Could be absorbed those who wishes to store a cash; a drawing
The marginal efficiency, showing, how much given falling of norm
Percent will increase investments, and the investment animator,
Showing, how much at the given gain of investments will increase
Effective demand as a whole.
But this classification though it is useful in the sense that introduces the known
Order and system in our research, can deceive the simplicity, if
To forget about that our three elements - - partially depend from
Complicating factors 2, 3, 4, 5 which we yet did not consider. After all
The liquidity preference schedule itself depends on in what measure
Additional money is absorbed by the circulation of incomes and economic
Turn-over that in turn depends on degree of a gain of effective demand
And from how this gain is divided between a rise in price,
Pay rise and increase in a volume of output and employment.
Further, the schedule of a marginal efficiency will depend partly on what
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