Neumann's Model of an Expanding Economy

The classical (original) Neumann model is constructed under the following premises: An economy characterized by linear technology consists of industries, each of which has a finite number of production processes, i.e. several types of goods are produced, and joint activities of industries are allowed; production processes unfold in time, and the implementation of costs and […]

Placement of productive forces (PS)

The placement of productive forces is the distribution in space of their individual elements. It shall be carried out in accordance with the following principles: 1. Adjustability and proportionality, which provides for the optimization of territorial proportions. This principle, in particular, should be manifested in equalizing the level of economic development of individual territories, rationalizing […]