## Research on Price System and Its Stability

**Wang Xiaoli School of Management,Fudan University,Shanghai 200433**

Based on products' sales volume and gross profit rate,a new sectors' products price model_economic sectors price model_is established in view of production and market in this paper.It can be seen from the model that the products price vector P(t+1) in report period can be expressed by the sum of two vectors' convex combinations, where one is convex combination of material consumption cost A T(t)P(t) per product in base period and A T(t+1)P(t+1) per product in report period,i.e. Θ^(t)A T(t)P(t)+E^(t)A T(t+1)P(t+1) , and the other is that of gross profit δ 1(t+1) and δ 2(t+1) which are obtained in report period per product respectively manufactured in two periods,i.e. Θ ^(t)δ 1(t+1)+ E ^(t)δ 2(t+1) , where Θ ^[HT5”SS](t)≥0, E ^(t)≥0 and Θ ^(t) +E^(t)=I,A(t) and A(t+1) are respectively direct consumption coefficient matrices of material I/O tables in base period and report period.Under the condition of production technology structure between base period and report period and that of some assumptions,we put forward four sufficient and necessary conditions of the model stability.At last,we explore a special case,pose a concept of critical average wage rate R C ,and prove that if the average wage rate of all sectors R is less than R C ,then the price system is stable. [WT5”HZ〗

【CateGory Index】：
F213.3

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