The Elasticity of Substitution and the Limiting Behavior of Marginal Products
AbstractA two factor production function with a variable elasticity of substitution is considered. The note describes the relation between the elasticity and the behavior of the marginal products and the output per unit input as the factor ratio approaches zero or infinity.
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Bibliographic InfoPaper provided by Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC) in its series UFAE and IAE Working Papers with number 339.96.
Length: 12 pages
Date of creation: 1996
Date of revision:
ELASTICITY; SUBSTITUTION EFFECT;
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