A Note on Separability of the Profit Function
Copyright policy ) Rolf Färe; Giannis Karagiannis;
A Note on Separability of the Profit Function
Based on the concept of translation elasticity we restate in this note the Fare and Grosskopf’s [1] conditions for additive separability of the profit function. We show that for the profit function to be additively separable, the technology must satisfy both simultaneous input-and-output translation homotheticity and graph translation homotheticity.
- University of Macedonia Greece
- Oregon State University United States
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