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 2013
TL;DR: In this paper, the authors propose a class of smooth constrained nonparametric and semiparametric frontier estimators that may be particularly appealing to practitioners who require smooth (i.e., continuously differentiable) estimates that, in addition, are consistent with theoretical axioms of production.
Abstract: Production frontiers (i.e., “production functions”) specify the maximum output of firms, industries, or economies as a function of their inputs. A variety of innovative methods have been proposed for estimating both “deterministic” and “stochastic” frontiers. However, existing approaches are either parametric in nature, rely on nonsmooth nonparametric methods, or rely on nonparametric or semiparametric methods that ignore theoretical axioms of production theory, each of which can be problematic. In this chapter we propose a class of smooth constrained nonparametric and semiparametric frontier estimators that may be particularly appealing to practitioners who require smooth (i.e., continuously differentiable) estimates that, in addition, are consistent with theoretical axioms of production.
34 citations
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TL;DR: This paper examined the history of Swan's development of the growth model, the similarities and differences between the approaches of Swan and Solow and the reasons why Swan's contribution has been overshadowed.
Abstract: Trevor Swan independently developed the neoclassical growth model. Swan (1956) was published ten months later than Solow (1956), but included a more complete analysis of technical progress, which Solow treated separately in Solow (1957). Reference is sometimes made to the "Solow-Swan growth model", but more commonly reference is made only to the "Solow growth model". This paper examines the history of Swan's development of the growth model, the similarities and differences between the approaches of Swan and Solow and the reasons why Swan's contribution has been overshadowed. We draw on unpublished work to show that in 1950, Swan was working on a growth model in a verbal format. In 1956, Swan published only a simplified version of his model based on a Cobb-Douglas production function, but Swan's original model (circulated July 1956 and published posthumously in 2002) was much more general. Swan's reluctance to publish was consistent with his perhaps counterproductive modesty and perfectionism. His well known paper, "Longer run problems of the Balance of Payments" was circulated in 1955, eight years before publication in 1963. His pioneering work in 1945, developing the first macroeconomic model of the Australian economy, was published posthumously in 1989.
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Cites background or methods from "Capital-labor substitution and econ..."
...…Swan’s acceptance of Leser’s suggestion about simplicity of exposition), that Swan’s 1956 analysis of steady-stage growth was, unlike Solow’s analysis, limited to the Cobb-Douglas functional form (notwithstanding the footnote in Arrow et al. 1961 acknowledging Swan’s independent statement of CES)....
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...They (Arrow et al. 1961, 154) also observe that Swan’s doctoral student, Pitchford (1960),17 “considers the introduction of a CES production function into a macroeconomic model of economic growth and concludes that at least in some cases this amendment restores to the saving rate some infl uence on…...
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TL;DR: In this paper, the authors investigated the impact of climate policies on Canada's oil sands industry, including the possibility of carbon capture and storage (CCS), and found that without climate policy, annual Canadian bitumen production increases almost 4-fold from 2010 to 2050.
33 citations
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TL;DR: In this article, a low-pass filter with panel data was used to identify the low-frequency/long-run relations appropriate for production function estimation, and a spectral analysis was performed to assess the extent to which their choices of the critical periodicity and window defining the lowpass filter were successful in emphasizing long-run variation.
Abstract: The value of the elasticity of substitution between labor and capital (σ) is a “crucial” assumption in understanding the secular decline in the labor share of income and long-run growth. This paper develops and implements a new strategy for estimating this crucial parameter by combining a low-pass filter with panel data to identify the low-frequency/longrun relations appropriate to production function estimation. Using spectral analysis, we assess the extent to which our choices of the critical periodicity and window defining the low-pass filter are successful in emphasizing long-run variation. The empirical results are based on the comprehensive panel industry dataset constructed by Dale Jorgenson and his research associates. Our preferred estimate of σ is 0.40. We document that standard estimation methods, which do not filter-out transitory variation, generate downwardly biased estimates. As high frequency variation is introduced into the model variables, σ declines by 40% to 70% relative to the benchmark value. Despite correcting for this bias, our preferred estimate is substantially below the Cobb-Douglas assumption of σ = 1, and thus implies that the secular decline in the labor share of income cannot be explained by secular increases in the capital/income ratio or secular decreases in the relative price of investment or capital taxation.
33 citations
01 Nov 1974
33 citations
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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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