The Review of Economics and Statistics Vol. 59 No. 2 1977
Estimating Technology in An Intertemporal Framework: A Neo-Austrian Approach
Abstract
f [HE Austrian approach to production _ theory' provides a framework for treating intertemporal production problems that is quite different from contemporary methods. In the Austrian view, time and timing were the crucial aspects of production. Recently, Hicks (1973) has proposed an approach, which he terms Neo-Austrian, integrating the general intertemporal production model with the Austrian approach of viewing production as a process taking place through time.2 Allais (1965), long a proponent of such a view, has developed a model of such a process. In this article we develop anintertemporal production model capable of being implemented econometrically, and undertake some initial testing of the model at the aggregate level on U.S. data. The rest of the paper is as follows. In section II we present an intertemporal theory of competitive production and contrast it with the contemporary approach. In section III we specify our functional forms and estimating equations. In section IV we discuss our data, estimation procedure and results.
- DOI
- 10.2307/1928812
- Volume
- 59
- Issue
- 2
- Pages
- 161
- Sources
- openalex crossref