Search results for "elasticity of substitution"
showing 6 items of 6 documents
Marginal abatement cost of carbon dioxide emissions in the provision of urban drinking water
2021
Abstract Reducing greenhouse gas emissions is a major challenge faced by cities seeking to improve their environmental sustainability. Doing so requires a good understanding of the costs associated with lowering emissions and factors that may influence this cost. This study estimated the marginal abatement cost of reducing both direct and indirect CO2 emissions in the provision of drinking water by several water companies in England and Wales. The results indicated that during the years 2013–2018, the average cost to the English and Welsh water industry to prevent 1 kg of CO2 emissions was 0.264₤ which was equivalent to 61% of the price of the delivered drinking water The results of the Mor…
On the Substitutability between Paid-employment and Self-employment: Evidence from the Period 1969–2014 in the United States
2019
This paper provides estimates of the elasticity of substitution between operational and managerial jobs in the US economy during the years 1969–2014, derived from an aggregate CES production function. Estimating the long-term relationship between (the log of) the aggregate employment/self-employment ratio and (the log of) the returns from paid-employment relative to self-employment and testing for structural breaks, we report different estimates of the elasticity of substitution in each of the two regimes identified. To this end we apply the methodology on instability tests proposed in Kejriwal and Perron (2008, 2010) as well as the cointegration tests developed in Arai and Kurozumi (2007) …
Where Alonso meets Sierpinski: an urban economic model of a fractal metropolitan area
2004
International audience; La coexistence d'activités résidentielles et agricoles dans des ceintures périurbaines caractérise de nombreuses aires métropolitaines modernes. Malheureusement, peu de modèles théoriques de l'économie urbaine prennent en compte ce type de mixité spatiale. L'article contribue à combler cette lacune : les auteurs présentent un modèle de localisation résidentielle (standard en économie urbaine) opérant dans un espace structuré par la géométrie spatiale. Plus précisément, d'un côté, un tapis de Sierpinski est utilisé pour rendre compte de l'organisation hiérarchisée de sites urbains et ruraux dans une aire métropolitaine. D'un autre côté, un ménage maximise, sous contra…
The Aggregate and Distributional Effects of Financial Globalization: Evidence from Macro and Sectoral Data
2018
We take a fresh look at the aggregate and distributional effects of policies to liberalize international capital flowsâfinancial globalization. Both country- and industry-level results suggest that such policies have led on average to limited output gains while contributing to significant increases in inequalityâthat is, they pose an equityâefficiency trade-off. Behind this average lies considerable heterogeneity in effects depending on country characteristics. Liberalization increases output in countries with high financial depth and those that avoid financial crises, while distributional effects are more pronounced in countries with low financial depth and inclusion and where libera…
Time Use and Food Taxation in Spain
2009
We evaluate the welfare impact of changing the VAT on food in a context in which households can produce home meals for own consumption that compete with meals served in restaurants. Home production of meals requires the combination of food and time inputs. The fiscal treatment in home production of both the inputs and the final product differs from market production of meals, generating different channels of inefficiency. We calibrate a simple general-equilibrium model for the Spanish economy that identifies three types of consumers according to their income, and simulate the effects of some experiments related to how food is taxed. The results suggest that if we focus only on aggregate wel…
Intertemporal Substitution in the Spanish Economy: Evidence from Regional Data*
2018
This paper studies the intertemporal substitution in consumption and leisure for the Spanish economy by estimating the first‐order conditions of an individual optimization model with regional and aggregate data. While first‐order conditions determining intertemporal substitution in consumption show a good econometric fit, and the value we obtain for the intertemporal elasticity of substitution is similar to previously available results, the econometric fit of the intertemporal condition in leisure indicates that the behaviour of the Spanish labour supply over the cycle is more complex than can be explained by the canonical intertemporal choice model.