Julio H wrote: I cannot make an educated guess about net global income, so I'll just say it's 30 trillion USD. Global capital can be now treated as an annuity, which is very convenient because its present value formula is net income flow/r. To calculate the present value, we discount net income using its opportunity cost. And what would that be?
--- Surely this is the entire problem at the heart of the Cambridge Capital Controversy; you can't work out what the total amount of capital is without making an assumption about the rate of profit and vice versa. dd
