In [4], John yon Neumann constructed a linear model of an expanding economy and proved the existence of a balanced growth. David Gale {-2] recently constructed a more general linear model and the expansion theorems were investigated in greater detail. In the present note we shall give a simple proof of the von Neumann theorem in the Gale model of production and show that an efficient production is completely characterized by profit maximization with given shadow-prices.
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