Capital-labor substitution and economic efficiency
TL;DR: In this article, the authors proposed a method to improve the quality of the service provided by the service provider by using the information of the user's interaction with the provider and the provider.
Abstract: Обсуждаются следующие темы: чистая теория производства, функциональное распределение дохода, технический прогресс, источники международных конкурентных преимуществ. Анализируются эластичность замещения между трудом и капиталом в обрабатывающей промышленности; производственные функции различного типа.
Citations
More filters
TL;DR: In this article, the authors provide a microeconomic foundation for analyzing a comprehensive range of resilience tactics, incorporating both inherent and adaptive concepts of resilience, and derive optimality conditions for production with the use of each class of resilience in the context of a nested Constant Elasticity of Substitution (CES).
Abstract: As a result of catastrophic events, firms and other organizations are faced with input shortages and price shocks Firms can respond to these events using a variety of “resilience” actions, or tactics Here we provide a microeconomic foundation for analyzing a comprehensive range of these tactics, incorporating both inherent and adaptive concepts of resilience We classify these tactics and derive optimality conditions for production with the use of each class of resilience in the context of a nested Constant Elasticity of Substitution (CES) function consisting of aggregated Capital (K), Labor (L), Infrastructure (I), and Materials (M) The framework has broad applicability, including measurement and scoring of resilience, cost-effectiveness assessment of resilience tactics individually and as a group, calculation of resilience indices, and supply-chain management
15 citations
Cites background from "Capital-labor substitution and econ..."
...Improving upon this restriction, Arrow et al. (1961) developed a family of functions, the Constant Elasticity of Substitution (CES) production function, which emerged as a more general functional form incorporating a full range of cases in which the elasticity of substitution is constant between a…...
[...]
TL;DR: In this article, it was shown that for any risk-averse U(W) and time-independent probabilities, optimal diversification within each time period outperforms generically any and all patterns of across-time diversification.
Abstract: For those with constant relative-risk-aversion, one can calculate an easy and exact measurement of their risk-corrected total return per period by use of an appropriate "power mean". For them, this approach can dramatize the inefficiency of being (say) half the time in each of two independent and identically distributed securities; 100% is then lost of the benefit from being all the time 50-50 in each; actually, being half the time in each is as bad as being all the time in either one, which is equivalent to being completely undiversified. More generally, there is proved here that, for any risk-averse U(W) and time-independent probabilities, optimal diversification within each time period outperforms generically any and all patterns of across-time diversification. The variety of proposed risk-corrected returns can give useful approximations for different classes of investors–widows and orphans, pension fiduciaries, high-flying plungers, and so forth–to replace or extend Markowitz, Sharpe, Treynor, or Modigliani-Modigliani measures of corrected performance.
15 citations
Posted Content•
TL;DR: In this paper, the authors measure the impact of skilled emigration and the subsequent loss in primary factor productivity on the South African economy using a dynamic computable general equilibrium (CGE) model.
Abstract: South Africa faces the dual problem of large inflows of illegal immigrants and outflows of skilled emigrants. This situation potentially has serious implications for the domestic labour market and economy as a whole. In this paper we measure the impact of skilled emigration and the subsequent loss in primary factor productivity on the South African economy using a dynamic computable general equilibrium (CGE) model. Results indicate that skilled emigration in the absence of any programmes to counter this flow of workers has a generally negative effect on the economy. Industries with the greatest exposure to the investment and export sectors as well as those with the highest concentration of skilled workers are shown to be most affected. We also use simple and intuitive back-of-the-envelope equations to enhance our understanding of the mechanisms driving the model’s macroeconomic results. These results justify the government’s current efforts to retain and attract skilled labour as part of the ASGISA framework.
15 citations
TL;DR: In this paper, the authors introduce an endogenous energy efficiency improvement (EEEI) mechanism in an integrated assessment model, called E3METL, to explore the impacts of EEEI on the global macro-economy, CO2 emission paths, and timing of carbon mitigations.
Abstract: Improving the energy efficiency of conventional energy services is an essential way to cope with global CO2 emissions mitigation. To date, energy efficiency improvement (EEI) has been broadly introduced exogenously in integrated assessment models (IAMs) by virtue of the autonomous energy efficiency improvement (AEEI) coefficient; however, it is usually good at capturing the EEI driven by non-price factors, while weak in describing the EEI induced by policy incentives. In this paper, we introduce an endogenous EEI (EEEI) mechanism in an IAM, called E3METL, to explore the impacts of EEEI on the global macro-economy, CO2 emission paths, and timing of carbon mitigations. The results reveal that (1) introducing EEEI significantly improves gross world product (GWP) gains, and this positive effect is partly offset when carbon restriction policies are implemented; (2) RD (3) EEEI may perform as one of supporting factors to delay the actions of carbon reduction; moreover, the introduction of EEEI lowers the optimal carbon tax level by 7.8 % on average, as compared to the no EEEI case.
15 citations
Additional excerpts
...2 CES method is first proposed in Arrow et al. (1961), and the general formula is Y = A(αK + βL), here ρ ≤ 1and ρ ≠ 0....
[...]
TL;DR: In this paper, the authors study how disagreement over which goods government should provide affects resource allocation in the public sector and find that the main cost of political turnover is production inefficiency, not a suboptimal savings level.
15 citations
References
More filters
TL;DR: In this article, the authors proposed a method to improve the performance of the system by using the information of the user's interaction with the system and the system itself, including the interaction between the two parties.
Abstract: В статье производится анализ агрегированной производственной функции, вводится аппарат, позволяющий различать движение вдоль такой функции от ее сдвигов. На основании сделанных в статье предположений делаются выводы о характере технического прогресса и технологических изменений. Существенное внимание уделяется вариантам применения концепции агрегированной производственной функции.
10,850 citations
3,961 citations
Book•
01 Jan 1956TL;DR: In this paper, a very brief treatment of three questions relating to the history of our economic growth since the Civil War is given, namely: (1) How large has been the net increase of aggregate output per capita, and to what extent has this increase been obtained as a result of greater labor or capital input on the one hand and of a rise in productivity on the other? (2) Is there evidence of retardation, or conceivably acceleration, in the growth of per capita output? (3) Have there been fluctuations in the rate of growth of output, apart
Abstract: Introduction This paper is a very brief treatment of three questions relating to the history of our economic growth since the Civil War: (1) How large has been the net increase of aggregate output per capita, and to what extent has this increase been obtained as a result of greater labor or capital input on the one hand and of a rise in productivity on the other? (2) Is there evidence of retardation, or conceivably acceleration, in the growth of per capita output? (3) Have there been fluctuations in the rate of growth of output, apart from the shortterm fluctuations of business cycles, and, if so, what is the significance of these swings? The answers to these three questions, to the extent that they can be given, represent, of course, only a tiny fraction of the historical experience relevant to the problems of growth. Even so, anyone acquainted with their complexity will realize that no one of them, much less all three, can be treated satisfactorily in a short space. I shall have to pronounce upon them somewhat arbitrarily. My ability to deal with them at all is a reflection of one of the more important, though one of the less obvious, of the many aspects of our growing wealth, namely, the accumulation of historical statistics in this country during the last generation. For the most part, the figures which I present or which underlie my qualitative statements are taken directly from tables of estimates of national product, labor force, productivity, and the like compiled by others.
1,031 citations
903 citations