SEMAINE D'ÉTUDE SUR LE ROLE DE L’ANALYSE ECONOMETRIOUE ETC.
says that, at prices implicit in the path (%,, 2,), « revenue
from total output minus « rental cost of use of capital
maximized in that path.
(24) and (25) together give rise to Propositions (H), (7
(26)
Then 1j
for ali
(H) L.+ *
«À
qi
a
z(p) be defined as the solution =,
A
AZ=Xx, where ©
oT
nique optimal bath 1s
La
The determination of z(2) is shown in Figure ecaus
of the strict concavity of f(z, « * end £tu, evist ana sie um
que, and 0<_z(g)<2(¢*)<2 fu, 9. and hence
since f(z) — Az increases for
(27) Z(o)=flz\,
r2lo) < aye) =< x for f'(o)—\ > p.
wu
4
Koobmans - pag. 27