EconStor >
University of Kent >
School of Economics, University of Kent >
School of Economics Discussion Papers, University of Kent >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/50623
  

Full metadata record

DC FieldValueLanguage
dc.contributor.authorLeón-Ledesma, Miguel A.en_US
dc.contributor.authorSatchi, Mathanen_US
dc.date.accessioned2011-06-01en_US
dc.date.accessioned2011-10-21T16:53:23Z-
dc.date.available2011-10-21T16:53:23Z-
dc.date.issued2011en_US
dc.identifier.urihttp://hdl.handle.net/10419/50623-
dc.description.abstractWe show that allowing firms a choice of CES production techniques (via the distribution parameter between capital and labor) can result in a new class of production functions that produces short-run capital-labor complementarity but yields a long-run unit elasticity of substitution. This is shown to occur if we provide a mathematical framework for this choice that maintains strict essentiality of the production process and satisfies the requirement of unit-invariance. The class of production functions derived are consistent with a balanced growth path even in the presence of capital-augmenting technical progress. The approach yields a simple yet powerful way of introducing CES-type production functions in macroeconomic models.en_US
dc.language.isoengen_US
dc.publisherUniv. of Kent, School of Economics Canterburyen_US
dc.relation.ispartofseriesSchool of Economics discussion papers 11,13en_US
dc.subject.jelE25en_US
dc.subject.jelO33en_US
dc.subject.jelO40en_US
dc.subject.ddc330en_US
dc.subject.keywordbalanced growthen_US
dc.subject.keywordproduction techniqueen_US
dc.subject.keywordbiased technologyen_US
dc.subject.keywordelasticity of substitutionen_US
dc.titleThe choice of CES production techniques and balanced growthen_US
dc.typeWorking Paperen_US
dc.identifier.ppn661172511en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen_US
Appears in Collections:School of Economics Discussion Papers, University of Kent

Files in This Item:
File Description SizeFormat
661172511.pdf388.76 kBAdobe PDF
No. of Downloads: Counter Stats
Show simple item record
Download bibliographical data as: BibTeX

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.