A CES Indirect Production Function

Boyan Jovanovic ()

Working Papers from C.V. Starr Center for Applied Economics, New York University

Abstract: This paper derives an indirect production function that is, in a special case, of a constant elasticity of substitution form. This is not a contribution to the theory of aggregation generally. Instead it is a microfoundation for a specific but popular production function -- the CES-- that helps us express the important concept of the elasticity of substitution in terms of more primitive, and more intuitive concept of the returns to scale.

Keywords: ELASTICITY; ECONOMIC GROWTH; PRODUCTION (search for similar items in EconPapers)
JEL-codes: D20 D24 O40 (search for similar items in EconPapers)
Pages: 9 pages
Date: 1996
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Working Paper: A CES Indirect Production Function (1995)
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