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- W2007937268 abstract "Policy-oriented research frequently relies on the assumption that producers select techniques as a function of the relative prices of production factors. This assumption has been criticized for lack of realism, but has continued to be used because its logical consistency is deemed unassailable. The objective of this paper is to identify the origins, evolution and shortcomings of the theoretical underpinnings of this assumption. The difficulties encountered by neoclassical theory in the proof of the existence and uniqueness of equilibrium and stability analysis affect the choice of technique assumption. This paradigm of applied research should be definitely abandoned and policy making should explicitly recognize the limits of the theories considered to be its rational foundation." @default.
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- W2007937268 date "1990-11-01" @default.
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- W2007937268 title "Choice of technique revisited: A critical review of the theoretical underpinnings" @default.
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- W2007937268 doi "https://doi.org/10.1016/0305-750x(90)90035-v" @default.
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