Topic
Isoquant
About: Isoquant is a research topic. Over the lifetime, 175 publications have been published within this topic receiving 3583 citations.
Papers published on a yearly basis
1 / 2
Papers
TL;DR: In this paper, the authors use isoquant analysis to solve the problem of optimal investment decisions in the context of capital budgeting, and show how Fisher's principles must be adapted when the perfect capital market assumed in his analysis does not exist -in particular, when borrowing and lending rates diverge, when capital can secured only at an increasing marginal borrowing rate, and when capital is "rationed".
Abstract: This article is an attempt to solve (in the theoretical sense), through the use of isoquant analysis, the problem of optimal investment decisions (in business parlance, the problem of capital budgeting). The initial section reviews the principles laid down in Irving Fisher's justly famous works on interest to see what light they shed on two competing rules of behavior currently proposed by economists to guide business investment decisions - the present-value rule and the internal-rate-of return rule. The next concern of the paper is to show how Fisher's principles must be adapted when the perfect capital market assumed in his analysis does not exist - in particular, when borrowing and lending rates diverge, when capital can secured only at an increasing marginal borrowing rate, and when capital is "rationed". Section III, which presents the solution for multiperiod investments, corrects an error by Fisher which has been the source of much difficulty.
637 citations
TL;DR: In this paper, the authors propose and analyze two models, with direct and indirect implicit additivity, respectively, which are generally non-homothetic, non-CES, and include less than 3n parameters for n goods.
Abstract: Direct or indirect additivity of production or utility functions implies dependence of substitution effects on income effects. This dependence is eliminated by implicit additivity, or strong separability along isoquants or indifference surfaces. The present study proposes and analyzes two models, with direct and indirect implicit additivity, respectively, which are generally non-homothetic, non-CES, and include less than 3n parameters for n goods. They give rise to log-linear systems of estimable demand relations. Many other models, such as Cobb-Douglas, CES, Direct and Indirect Addilog, CRESH, CDE, and Non-homothetic CES, are simple, testable special cases of either or both of these models.
352 citations
TL;DR: A generalized version of the Farrell measure of technical efficiency is applied to a sample of regulated electric utilities in Illinois, finding that only a few of these Illinois electric utilities are technically efficient (relative to each other).
218 citations
TL;DR: In this paper, the authors employ data envelopment analysis (DEA) to measure the Malmquist productivity of semiconductor packaging and testing firms in Taiwan from 2000 to 2003.
135 citations
TL;DR: It is argued that the most relevant benchmark is the most similar efficient firm, and the concept of input-specific contractions allows to find the shortest path to the efficient subset of the isoquant.
106 citations
Related Topics (5)
Performance Metrics
| Year | Papers |
|---|---|
| 2021 | 3 |
| 2020 | 3 |
| 2019 | 3 |
| 2018 | 7 |
| 2017 | 3 |
| 2016 | 4 |