On the Geometry of Constant Returns
AbstractConstant returns to scale, always a simplifying assumption, is often also much more: many important results depend critically on the very special properties of this class of production function. The author provides a unified set of simple proofs for most of the crucial analytical properties of constant returns production and their implications for firm costs. He uses only familiar diagrams and high school geometry, and the proofs are written to be easily understood by college sophomores.
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Bibliographic InfoArticle provided by Taylor & Francis Journals in its journal The Journal of Economic Education.
Volume (Year): 33 (2002)
Issue (Month): 1 (January)
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