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A Follow-up note on the plausibility of the Leontief and Ghosh closed models
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Herein we consider Leontief and Ghosh models that partly endogenize both part of final demand and part of value-added. We use Osterhaven's [(2012) Adding Supply-driven Consumption Makes the Ghosh Model Even More Implausible. Economic Systems Research, 24, 101-111] numerical three-sector example to show that anomalies of the sort he finds for a Ghosh closed model can also be found in the closed version of a Leontief model. By assuming, as Oosterhaven did, that aggregate exogenous resources are fixed, we obtain mirror results to his in a Ghosh setting, albeit in the more-traditional Leontief instance. Such numerical anomalies for the three-sector case turn out to be generic to both partially closed models for any 2×2 input-output model. A proof for the general n×n case remains to be uncovered.
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MANRESA, Antonio, SANCHO PIFARRÉ, Ferran. A Follow-up note on the plausibility of the Leontief and Ghosh closed models. _Economic Systems Research_. 2020. Vol. 32, núm. 1, pàgs. 166-172. [consulta: 25 de gener de 2026]. ISSN: 0953-5314. [Disponible a: https://hdl.handle.net/2445/179308]