Prices and Factor Demand in an Endogenized Input-Output Model
AbstractThis paper combines factor demand functions (for intermediate input and labour) and price equations (derived from a Generalized Leontief cost function) with the traditional input-output price model. The cost functions determine factor demands for materials and labour as well as output prices at given input prices. At the second level of aggregation, the intermediate demand as a single input is split proportional to the elements in the column of the technical coefficients matrix. The emphasis in this endogenization of technical coefficients is on two features. First, the repercussion of output on input prices, and, second, the link between the econometric model for the supply side and the input-output demand model.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by WIFO in its series WIFO Working Papers with number 135.
Date of creation:
Date of revision:
Prices and Factor Demand in an Endogenized Input-Output Model;
Other versions of this item:
- Kurt Kratena, 2005. "Prices and factor demand in an endogenized input-output model," Economic Systems Research, Taylor and Francis Journals, vol. 17(1), pages 47-56.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Morrison, Catherine J, 1988. "Quasi-Fixed Inputs in U.S. and Japanese Manufacturing: A Generalized Leontief Restricted Cost Function Approach," The Review of Economics and Statistics, MIT Press, vol. 70(2), pages 275-87, May.
- Truchon, Michel, 1984. "Using Exogenous Elasticities to Induce Factor Substitution in Input-Output Price Models," The Review of Economics and Statistics, MIT Press, vol. 66(2), pages 329-34, May.
- Appelbaum, Elie, 1982. "The estimation of the degree of oligopoly power," Journal of Econometrics, Elsevier, vol. 19(2-3), pages 287-299, August.
- Klaus Conrad & Tobias Schmidt, 1998. "Economic Effects of an Uncoordinated Versus a Coordinated Carbon Dioxide Policy in the European Union: An Applied General Equilibrium Analysis," Economic Systems Research, Taylor and Francis Journals, vol. 10(2), pages 161-182.
- Kurt Kratena & Gerold Zakarias, . "MULTIMAC IV: A Disaggregated Econometric Model of the Austrian Economy," WIFO Working Papers 160, WIFO.
- Dobrescu, Emilian, 2006. "Macromodel of the Romanian market economy (version 2005)," MPRA Paper 35749, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ilse Schulz).
If references are entirely missing, you can add them using this form.