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Representations and Identities for Homogeneous Technologies

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Author Info
Miguel Espinosa (Universidad de los Andes)
Pietro Bonaldi (Banco de la República)
Hernán Vallejo (Universidad de los Andes)

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Abstract

Using up to nine different ways to represent homogeneous technologies with decreasing returns to scale, this article presents and proves identities between those different representations of such technologies, outlining the homogeneity properties of each representation. These identities, which allow to shift from one representation of a technology to another -- and which are summarized in a matrix of identities -- can be useful since they provide a tool to obtain explicit functional forms for homogeneous technologies. They can also be useful to simplify computational procedures when different representations of a technology are needed. Finally, the article also refers explicitly to some aspects of producer theory that are often neglected or treated in a marginal way in the literature, such as the inverse supply, the non conditional cost and the inverse input demands functions.

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File URL: http://www.bepress.com/cgi/viewcontent.cgi?article=1573&context=bejte
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Publisher Info
Article provided by Berkeley Electronic Press in its journal The B.E. Journal of Theoretical Economics.

Volume (Year): 9 (2009)
Issue (Month): 1 ()
Pages:
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Handle: RePEc:bpj:bejtec:v:9:y:2009:i:1:n:29

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Web page: http://www.bepress.com/bejte

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Related research
Keywords: identities; homogeneous production functions and firm theory;

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Find related papers by JEL classification:
D20 - Microeconomics - - Production and Organizations - - - General
D21 - Microeconomics - - Production and Organizations - - - Firm Behavior
D24 - Microeconomics - - Production and Organizations - - - Production; Capital and Total Factor Productivity; Capacity

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This page was last updated on 2009-12-17.


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