>>>   This essay demonstrates that the existence of "price Wicksell effects"
>>> can lead to the inequality of the marginal product of capital and the
>>> interest rate. The equality being challenged here should be understood
>>> as it is used in macroeconomic models with aggregate production
>>> functions. That is, macroeconomic modeling with aggregate production
>>> functions is inadequately grounded in microeconomic theory. I conclude
>>> with some rather far-reaching possibilities.


>> The numbers may be correct but your interpretation of them isn't.
>      ^^^^^^^
> 
> You mean "calculations", not "numbers", I assume.


>> What you
>> produce is an incomplete model where prices and interest rates are
>> indeterminate.

> Correct.


>> To determine the interest rate you would need to make further
>> assumptions.

> Correct, if I wanted to determine the interest rate. But that
> is irrelevant to my point that, in equilibrium, the interest
> rate is not equal to the marginal product of capital. (As Sen
> points out, this is not an aggregation problem.)


Why is that irrelevant? If you can't determine the interest rate then how do
you know whether or not it's equal to the marginal product of capital?.