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.
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01 Jan 2022
TL;DR: In this paper , a review of the application of duality theory in production theory is presented, focusing on the properties of five functional forms: the constant elasticity of substitution (CES), the generalized Leontief, the translog, the normalized quadratic, and the Konüs Byushgens Fisher functional forms.
Abstract: The chapter reviews the application of duality theory in production theory. Duality theory turns out to be a useful tool for two reasons: (i) it leads to relatively easy characterizations of the properties of systems of producer derived demand functions for inputs and producer supply functions for outputs and (ii) it facilitates the generation of flexible functional forms for producer demand and supply functions that can be estimated using econometrics. The chapter focuses on describing the properties of five functional forms that have been used in the production literature: (i) the constant elasticity of substitution (CES), (ii) the generalized Leontief, (iii) the translog, (iv) the normalized quadratic, and (v) the Konüs Byushgens Fisher functional forms. The applications of GDP functions and joint cost functions to various areas of applied economics are explained.
TL;DR: Haitovsky, Y., "Multicollinearity in Regression Analysis: Comment," this REVIEW, LI (Nov. 1969), 486-489) and "Selection of the best subset in regression analysis," Technometrics, Vol. 9, No. 4 (Aug. 1971), 40.
Abstract: Haitovsky, Y., "Multicollinearity in Regression Analysis: Comment," this REVIEW, LI (Nov. 1969), 486-489. Hocking, R. R., and R. N. Leslie, "Selection of the Best Subset in Regression Analysis," Technometrics, Vol. 9, No. 4 (Nov. 1967), 531-540. Kendall, M. G., A Course in Multivariate Analysis (London: Charles Griffin and Company Ltd., 1957). Kendall, M. G., and A. Stuart, The Advanced Theory of Statistics, 3 (London: Charles Griffin and Company Ltd., 1966). Lancaster, K., Mathematical Economics (New York: Macmillan Company, 1969). McCallum, B. T., "Artificial Orthogonalization in Regression Analysis," this REVIEW, LII (Feb. 1970), 110113. Mitchell, B. M., "Estimation of Large Econometric Models by Principal Component and Instrumental Variable Methods," Technical Report no. 28 (Economic Series), (Stanford, Institute for Mathematical Studies in the Social Sciences, Stanford University, 1970). Stewart, J., "Letter to the Editor," The American Statistician, 25 (Apr. 1971), 40. Theil, H., Economic Forecasts and Policy, 2nd ed. (Amsterdam: North-Holland Publishing Company, 1961).
TL;DR: In this article, the authors show that a high degree of factor substitutability has an asymmetrical effect on production costs in that it tends to result in a lower cost in the high wage country than in the low-wage country.
Abstract: In recent years, the relationship between capital-labor substitutability and comparative advantage has received some attention in the literature on international trade. Empirical evidence seems to indicate that low-wage countries tend to have comparative advantage in those goods that have low capital-labor substitutability (Arrow, Chenery, Minhas, and Solow, 1961, p. 243; Minhas, 1962, pp. 152-53; Hodd, 1967, pp. 20-29). The purpose of this paper is to demonstrate, with the aid of simple geometry, that (1) a high degree of factor substitutability has an asymmetrical effect on production costs in that it tends to result in a lower cost in the high-wage country than in the low-wage country, and (2) this asymmetrical effect is attributable to the fact that the international differential in the prices of labor is substantially larger than the differential in the prices of capital. We shall first postulate a framework that is crucial for our analysis. Let us assume that there are two countries: one, a relatively capital-rich and high-wage country, A; and the other, a relatively labor-rich and low-wage country, B. Let us further assume that in country A the price of labor, w, is $5,000 per man-year and the price of capital, r, is 10 per cent per annum; and in country B the price of labor is $1,000 per man-year, and the price of capital is 20 per cent. It may be noted that the ratio of prices of labor is larger than the inverse ratio of prices of capital. Algebraically, WAIWB > rBIrA. If we divide the former by the latter, we obtain what may be called the "coefficient of inverse factor-price differentials," which will be denoted by the letter D. In the above situation, the value of this coefficient would be:
TL;DR: In this article, the authors review the existing metrics of habitability and the new classification schemes of extrasolar planets and provide an exposition of the use of computational intelligence techniques to evaluate habitability scores and to automate the process of classification of exoplanets.
Abstract: What is habitability? Can we quantify it? What do we mean under the term habitable or potentially habitable planet? With estimates of the number of planets in our Galaxy alone running into billions, possibly a number greater than the number of stars, it is high time to start characterizing them, sorting them into classes/types just like stars, to better understand their formation paths, their properties and, ultimately, their ability to beget or sustain life After all, we do have life thriving on one of these billions of planets, why not on others? Which planets are better suited for life and which ones are definitely not worth spending expensive telescope time on? We need to find sort of quick assessment score, a metric, using which we can make a list of promising planets and dedicate our efforts to them Exoplanetary habitability is a transdisciplinary subject integrating astrophysics, astrobiology, planetary science, even terrestrial environmental sciences We review the existing metrics of habitability and the new classification schemes of extrasolar planets and provide an exposition of the use of computational intelligence techniques to evaluate habitability scores and to automate the process of classification of exoplanets We examine how solving convex optimization techniques, as in computing new metrics such as CDHS and CEESA, cross-validates ML-based classification of exoplanets Despite the recent criticism of exoplanetary habitability ranking, this field has to continue and evolve to use all available machinery of astroinformatics, artificial intelligence and machine learning It might actually develop into a sort of same scale as stellar types in astronomy, to be used as a quick tool of screening exoplanets in important characteristics in search for potentially habitable planets for detailed follow-up targets
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TL;DR: In this paper, the authors present an investigation into one of the processes by which prices could have been set in New Zealand over about the last twenty years; it does not concern itself with any process by which wages may have been determined, as the particular price process is for a representative firm which treats its wage rate as predetermined.
Abstract: This paper presents the results of an investigation into one of the processes by which prices could have been set in New Zealand over about the last twenty years; it does not concern itself with any processes by which wages may have been determined, as the particular price process is for a representative firm which treats its wage rate as predetermined. The firm attempts to maximise its profits, and is able to choose simultaneously its product price, its demand for labour services, and the level of real output it wishes to produce.A structural model for this representative firm is developed within a static framework in Section one. In Section two are presented the results obtained from econometric estimation of a dynamic form of the model. Aggregate data have been used both for the ordinary least squares (OLS) estimates of each of the price, labour demand, and real output equations, and for the two stage least squares (2SLS) estimates of the simultaneous equation system. Principal conclusions from the research are summarised in Section three.
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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.
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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.
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