The most commonly used parameterizations of constant elasticity of substitution functions (CES) have the disadvantage …

We generalize the normalized Constant Elasticity of Substitution (CES) production function by allowing the elasticity …) capital-labor ratios, or (iv) capital-output ratios. Ensuing four variants of Isoelastic Elasticity of Substitution (IEES … elasticity of substitution between capital and labor has remained relatively stable, at about 0.8-0.9, from 1948 to the 1980s …

nested CES production functions that allow to estimate a special case of this parameter: the elasticity of substitution …Recently Acemolgu, Aghion, Bursztyn and Hemous (AER 2012) formulated a model in which a high macroeconomic elasticity … of substitution between clean and dirty production represents a crucial condition for green growth. Until now it has …