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Depreciation in a Simple Regulatory Model: Reply

Bruce Jaffee ()

Bell Journal of Economics, 1974, vol. 5, issue 1, 233-234

Abstract: Several difficulties remain with the inclusion of depreciation in a regulatory model, even after Linhart's useful comments and extensions. His liquidity constraint is overly restrictive, there are difficulties in selecting the optimal discount rate(s), and the classification of a depreciation path as uniformly accelerated is incorrect.

Date: 1974
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