Ray-Homothetic Production Functions.
CALIFORNIA UNIV BERKELEY OPERATIONS RESEARCH CENTER
Pagination or Media Count:
A class of production correspondences defined as ray-homothetic is introduced to span the familiar homogeneous, homothetic, semi-homogeneous and quasi-homogeneous production structures. It is found that ray homothetic structures which are output mix input mix independent lead to a scaling law of common form with the more special structures spanned, and imply price independent expansion paths of linear structure. Also, if inputs and outputs are strongly disposable and the input and output sets Lu and Px are convex, linear structured expansion paths imply input mix and output mix independent ray homothetic structures.
- Economics and Cost Analysis
- Operations Research