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A Production Function with an Inferior Input
Author(s) -
Epstein Gil S.,
Spiegel Uriel
Publication year - 2000
Publication title -
the manchester school
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.361
H-Index - 42
eISSN - 1467-9957
pISSN - 1463-6786
DOI - 10.1111/1467-9957.00215
Subject(s) - production (economics) , function (biology) , robot , phenomenon , economics , production function , computer science , microeconomics , artificial intelligence , physics , evolutionary biology , biology , quantum mechanics
The expanding car industry has revealed an increase in the use of robots and machines together with a decrease in labor. This phenomenon refocuses attention on the possible existence of labor as an inferior input with robots as rival technical alternatives. In our paper we suggest a specific production function that allows for inferior inputs. We verify the general conditions that have been developed in past research.