CESAK_dc: Demand coefficients of the CESAK Production Function

In GE: General Equilibrium Modeling

Demand coefficients of the CESAK Production Function

Description

Computing the demand coefficients of the CESAK production function alpha * (betaK * x1^((es - 1) / es) + (1 - betaK) * x2^((es - 1) / es))^(es / (es - 1)) + alphaK * x1. When es==1, the CESAK production function becomes the CDAK production function alpha * x1^betaK * x2^(1 - betaK) + alphaK * x1.

Usage

CESAK_dc(alpha, betaK, alphaK, p, es = 1)

Arguments

alpha	a positive scalar.
betaK	a scalar between 0 and 1.
alphaK	a nonnegative scalar.
p	a 2-vector indicating the prices.
es	a nonnegative scalar specifying the elasticity of substitution.

Value

A 2-vector indicating the demand coefficients.

Examples

CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 1 - 0.06, p = c(10, 1))
CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 1 - 0.06, p = c(1, 10))
CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 2, p = c(1, 1))

CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 1 - 0.06, p = c(1, 1), es = 0.5)
CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 0.1, p = c(1, 10), es = 0.5)
CESAK_dc(alpha = 1, betaK = 0.35, alphaK = 1.5, p = c(1, 10), es = 0.5)

GE documentation built on Nov. 8, 2023, 9:07 a.m.