Full text: Study week on the econometric approach to development planning

264 PONTIFICIAE ACADEMIAE SCIENTIARVM SCRIPTA VARIA - 28 
These results are plotted in Chart VII. It will be noted 
that for n<10, the value of © is between 3.10 and 3.80 what- 
ever the value of w. Thus in all cases which are of practical 
interest, ® does not vary greatly from its value in the expon- 
ential model, i.e. 3.5. 
Values of (Rem - Re)/Reom 
537. From relation (410-3) and (526-16) we have (}) 
(537-1) &= 1 Re —I_ +f -6, (i-e) 
R, 1-7 (2 ¢ 
TM  (i-p) 
Then, for given values of yc and (¢-p) and the values of ©, 
calculated in $ 535, we can derive the following table. 
Values of (Roy Ro) Roy pi percent for y,=3.5, i—n=4% 
0.0c! 
2 
2 
3 
7 
33 
TOO 
0.10 
T.2 
2 
[.3 
"7 
3-5 
IOO 
0.14! 0.25 
1.2 
“2 
£ 
OO 
I.2 
I.I 
I.2 
ve” 
0.5 | 0.75 
1.2 
0.9 
0.9 
.0 
TI 
I.2 
0.7 
0.6 
0.5 
0.5 
0.4 
| 1.2 
0.6 
0.4 
0.2 
0.1 
D 
These results are plotted in Chart VIII. It will be noted 
that in all cases which are of practical interest. the loss is less 
) See , 410 above. 
11! Allais - pag. 268
	        
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