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The Generalized Linear Production Model: Solvability, Nonsubstitution and Productivity Measurement

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Author Info
Antonio Villar (University of Alicante & Ivie)

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Abstract

This paper presents a very general linear production model which nevertheless shows an extremely regular behaviour. We can ensure the solvability of the associated equilibrium systems for quantities and prices and the nonsubstitution property, allowing for joint production and non-square systems. We also discuss the application of this model to the measurement of productivity differences. The assumptions we use are intuitive and very mild (e.g. they are necessary for the type of solvability we require). Proofs are simple and rely on geometrical arguments (the separation theorems), rather than on the use of the theory of determinants.

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Publisher Info
Article provided by Berkeley Electronic Press in its journal Advances in Theoretical Economics.

Volume (Year): 3 (2003)
Issue (Month): 1 ()
Pages: 1049-1049
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Handle: RePEc:bep:theadv:v:3:y:2003:i:1:p:1049-1049

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Related research
Keywords: Input-output analysis Joint Production Non-Substitution Theorem Productivity Measurement

Find related papers by JEL classification:
C67 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Input-Output Models

References listed on IDEAS
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  1. Chander, Parkash, 1974. "A Simple Proof of the Nonsubstitution Theorem," The Quarterly Journal of Economics, MIT Press, vol. 88(4), pages 698-701, November. [Downloadable!] (restricted)
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This page was last updated on 2008-7-1.


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