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The Non-Substitution Theorem: Multiple Primary Factors and the Cost Function Approach

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Author Info
Kuga, K.
Abstract

The non- ub titution theorem a ert that the choice of technique i independent of pattern of final demand when efficiency prevail a to the u e of a ingle primary factor, say labor, while the a erted con tancy of theinput-output table no longer hold when more than one kind of primary factor i involved. No definite an wer ha yet been given a to whether the commodity price vector i determined independently of final demand pattern when there are multiple primary factor of production. hi paper how that the "unit co t = price" relation uniquely determine the commodity price relatively to a given factor price vector. he proof of uch a commdity price i provided by the u e of ar ki' fixed point theorem without recour e to topology.

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Publisher Info
Paper provided by Osaka - Institute of Social and Economic Research in its series Papers with number 529.

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Length: 7 pages
Date of creation: 2001
Date of revision:
Handle: RePEc:fth:osakae:529

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Postal: OSAKA UNIVERSITY, THE INSTITUTE OF SOCIAL AND ECONOMIC RESEARCH(I.S .E.R.), 6-1 MIHOGAOKA IBARAKI OSAKA 567 JAPAN
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Web page: http://www.iser.osaka-u.ac.jp/
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Related research
Keywords: INPUT-OUTPUT ANALYSIS PRICES PRODUCTION

Find related papers by JEL classification:
D57 - Microeconomics - - General Equilibrium and Disequilibrium - - - Input-Output Tables and Analysis

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