Value and Price Theories: Compatibility Between Classical and Neoclassical Economics

This paper explores the compatibility of value and price theories between classical and neoclassical economics. Through mathematical modeling, it proposes that the value of a commodity is jointly constituted by quality, quantity, labor value, and use value. Prices are expressed through Quadratic Dynamic-Static Simultaneous Equations (QDSSE). The study introduces the Weighted Ratio Scaled Function (WRS Function) to adapt to price changes under fiat currency circulation. It argues that the law of diminishing marginal utility in neoclassical economics is a theorem valid only in non-equilibrium states within the classical price theory framework, not applicable to all economic scenarios. The paper aims to establish a multi-level equilibrium theory system that integrates classical and neoclassical price theories.