Production function: Difference between revisions
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==Returns to scale - interpretation== | ==Returns to scale - interpretation== | ||
== | ==Diminishing returns and economic equilibrium== | ||
==Modelling the production function== | ==Modelling the production function== | ||
Revision as of 10:08, 2 September 2008
The production function is a statement of the relation between the volumes of the inputs and the outputs of a production process. Its form has implications for the concept of economic equilibrium and it is widely used in the construction of economic models.