Econometrica: Jul 1962, Volume 30, Issue 3
Wages, Capital Costs, and Employment in Manufacturing: A Model Applied to 1947-58 U.S. Data
Ronald I. McKinnonThe choice of methods of production as related to factor costs is formulated differently from the ordinary production function by means of a particular activity set. Continuous factor substitutability is maintained in an ex ante sense. The resulting formulation is more amenable to existing data and is applied via a distributed lag model.
Log In To View Full Content