# kaal:claim:6421319-008

**Claim.** The Marshallian supply and demand cross loses its analytical purchase when marginal cost approaches zero for the dominant inputs of the knowledge economy, because the upward sloping supply curve presupposes that additional output requires additional scarce inputs at increasing marginal cost.

**Type.** failure  **Support.** argued

**Holds when.**

- applies to cognitive and digital goods
- material scarce goods retain the Marshallian structure

**Source quote.**

> When marginal cost approaches zero for the dominant inputs of the knowledge economy, the Marshallian cross loses its analytical purchase.

**From.** Wulf A. Kaal, *The Collapse of Scarcity Economics* (2026), II.A. Structural Abundance vs. Cyclical Deflation, page 8

**Cite as.** Wulf A. Kaal, The Collapse of Scarcity Economics (2026). SSRN: https://ssrn.com/abstract=6421319

**Verify.** sha256 of source PDF `0f4f68e56ee48bb8b2d73d3ab7fd96fa572e76c195694ffa740360704c1b172d` at https://raw.githubusercontent.com/wulfkaal/Academic-Papers/main/papers/pdf/Kaal%20-%202026%20-%20The%20Collapse%20of%20Scarcity%20Economics.pdf

**Failure mode.** Marshallian Cross Dissolution  (family: research-design-limitation)

**Topics.** economics

**Keywords.** marshallian-cross, partial-equilibrium, zero-marginal-cost, neoclassical-economics

**Related claims.**

- extends: https://wulfkaal.github.io/claims/5886442-011

**Canonical form.** This markdown file is the canonical hashed representation of the claim. Its sha256 is the content hash used for attestation.