Reswitching and Decreasing Demand for Capital in a Model with a Continuum of Linear Techniques

Saverio Fratini

EERI Research Paper Series from Economics and Econometrics Research Institute (EERI), Brussels

Abstract: We consider a model of production with a continuum of linear techniques and examine the related choice of technique and shape of the demand for capital schedule. The primary conclusion regards the possibility of a decreasing demand for capital schedule combined with reswitching and reverse capital deepening.

Keywords: Production; continuum linear techniques. (search for similar items in EconPapers)
JEL-codes: D24 D33 D46 (search for similar items in EconPapers)
Date: 2009
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Persistent link: https://EconPapers.repec.org/RePEc:eei:rpaper:eeri_rp_2009_26

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