2BETA - Bureau d'Économie Théorique et Appliquée (Université de Lorraine, UFR Droit Sciences Economiques et Gestion, 13 place Carnot CO 70026, 54035 Nancy Cedex
Université de Strasbourg, Faculté des Sciences Economiques et de Gestion, 61 avenue de la Forêt Noire 67085 Strasbourg Cedex
- France)
Abstract : This paper derives the structure of a production function which is necessary and sufficient for generating a fixed cost. We extend the classical production function in order to allow each input to have a fixed and a variable part. We characterize and estimate both the fixed and variable components of the cost function and study how fixed and variable costs interact and affect firms' behavior in terms of price setting and returns to scale.
https://hal.univ-lorraine.fr/hal-02166757
Contributor : Séverine Baldasso <>
Submitted on : Thursday, June 27, 2019 - 10:42:05 AM Last modification on : Tuesday, March 17, 2020 - 3:22:21 AM