Modeling the economy-wide implications of technical change: response to criticism of the approach adopted by the IMPACT Project.

This paper was written in response to criticisms published in Search of the work being done at the IMPACT Project on the economic implications of tehnical change. The criticisms appear to be based on misunderstandings of various IMPACT papers. Here we give an elementary account of the theory underlying our work. The results achieved so far are summarised. Finally, we answer cirticisms on a point-by-point basis.- Authors