Production Factor Returns: The Role of Factor Utilization
Article dans une revue: Short-term increasing returns to production factors are usually found in empirical studies. We argue they can be due to omitted variables, particularly the intensity of factor utilization. Thanks to original French firm-level data (1992–2008), we show how increasing returns to scale disappear when working time, capacity utilization rate, and, particularly, capital operating time are introduced in the production function.
Auteur(s)
Gilbert Cette, Nicolas Dromel, Rémy Lecat, Anne-Charlotte Paret
Revue
- Review of Economics and Statistics
Date de publication
- 2015
Mots-clés
- Production function
- Productivité
- Factor returns
Pages
- 134-143
URL de la notice HAL
Version
- 1
Volume
- 97