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Replacement of Techniques over Time

  • Malte Faber
  • Gunter Stephan
  • Horst Niemes

Abstract

In the preceding Chapter we described the structure of the resource model and found that there were two techniques with which consumption goods can be produced. Technique T1 consisted of one single production process R1 only. This process was assumed to produce consumption goods without any nonrenewable resources having to be extracted. With the set of techniques {T2(κ, 0 ≦ κ ≦ 1} the consumption good can only be produced, however, if resources have already been extracted from the environmental sector. It consists of production processes R2, R3, and of the set of processes R5(κ) 0 ≦ κ ≦ 1.1 R2 serves exclusively the production of consumption goods — as did process R1. It requires the use of a capital good, however, which must first be produced in process R3. This in turn requires scarce resources, which have to be extracted from the environment with one of the processes of {R5}, depending on the resource concentration. In the context of this resource model, a change from technique T1 to technique T2 implies a transition to a production technology which uses non-renewable resources.

Keywords

Marginal Cost Model Variant Development Path Capital Good Labor Input 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer-Verlag Berlin Heidelberg 1987

Authors and Affiliations

  • Malte Faber
    • 1
  • Gunter Stephan
    • 1
  • Horst Niemes
    • 2
  1. 1.Alfred Weber-Institut für Sozial- und StaatswissenschaftenUniversität HeidelbergHeidelberg 1Deutschland
  2. 2.GKW-ConsultMannheimDeutschland

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