The time profile approach to production with an application to gestation lags
by Fabrizio Patriarca; Luca Salvati
International Journal of Computational Economics and Econometrics (IJCEE), Vol. 5, No. 3, 2015

Abstract: This paper proposes a unified framework to analyse the effect of different features of the time profile of production. The paper starts considering that features as the schedule of capital depreciation or possible installation costs and gestation lags can be analysed together. This is done by a generalisation of the vintage model in the setting proposed by Benhabib and Rustichini (1991) that considers the time profile of production as a whole, putting together the cost of the investment and its in-time consequences. Another direction of this generalisation is to cast it in a case of endogenous growth models. We use this method in the specific case of gestation lags to analyse and give economic meaning to the stability properties of the steady growth solution of consumption, and the non linear dynamics of investment paths associated to this base case of time-to-build.

Online publication date: Tue, 14-Jul-2015

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Computational Economics and Econometrics (IJCEE):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com