English

A production function with variable elasticity of substitution greater than one

Theoretical Economics 2021-03-17 v1

Abstract

The idea of this paper comes from the famous remark of Piketty and Zuckman: "It is natural to imagine that σ\sigma was much less than one in the eighteenth and nineteenth centuries and became larger than one in the twentieth and twenty-first centuries. One expects a higher elasticity of substitution in high-tech economies where there are lots of alternative uses and forms for capital." The main aim of this paper is to prove the existence of a production function of variable elasticity of substitution with values greater than one.

Keywords

Cite

@article{arxiv.2103.08679,
  title  = {A production function with variable elasticity of substitution greater than one},
  author = {Constantin Chilarescu},
  journal= {arXiv preprint arXiv:2103.08679},
  year   = {2021}
}
R2 v1 2026-06-24T00:12:10.564Z