Pflüger, Michael (contributor); Südekum, Jens (contributor) - 2007
elasticity and the substitution
elasticity across the single manufacturing varieties, there can be a smooth and easily …
the upper-tier substitution elasticity ε . Figure 2 suggests that the break point
b
φ is
unambiguously decreasing in ε … point
( )
,
b
φ σε is unambiguously decreasing in the
upper tier substitution elasticity ( /0
b
ddφ ε < ).
Proof: See …
