The Expansion of Firms

descriptionPublicationkeyboard_double_arrow_right Article 01 Jul 1973 English Publisher:University of Chicago PressJournal:Journal of Political Economy, volume 81, pages 936-949 (issn: 0022-3808, eissn: 1537-534X,

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Authors: Rubin, Paul H;

doi: 10.1086/260089

The Expansion of Firms

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Abstract

The firm is viewed as a collection of particular resources, that is, resources worth more to the firm than their market value because of specialized experience within the firm. Such resources can be used either for producing output or for training new resources. This assumption is incorporated into a programming model of the firm. This model is then used to derive predictive statements about the rate and direction of growth of the firm.

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