[OPE-L:4003] Re: More Depreciation Questions

Michael Perelman (michael@ecst.csuchico.edu)
Thu, 16 Jan 1997 14:37:24 -0800 (PST)

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Andrew wrote that with proper foreknowledge, c can be calculated. He
is, of course, right. But rational foreknowledge is not available.
Capital experiences sudden revaluations, both positive and negative.

Thus one can use an accounting *convention* to measure the transfer of
value, but these conventions are very inexact. In this sense, I say
that we cannot measure the c.

Michael Perelman
Economics Department
California State University
Chico, CA 95929

Tel. 916-898-5321 E-Mail michael@ecst.csuchico.edu