.S. economy, the analysis shows that the value of the elasticity of substitution cannot be dependent on some specific structure of … description of the production technology for the post-WWII period. Controlling for biased technical change, the elasticity of … substitution is significantly below one, close to 0.5, during 1945-2003. Given that similar results have been obtained for the U …

This paper derives an indirect production function that is, in a special case, of a constant elasticity of substitution … popular production function -- the CES -- that helps us express the important concept of the elasticity of substitution in …

This paper estimates the elasticity of substitution of an aggregate production function. The estimating equation is … variation we estimate the long-run elasticity of substitution. Using various estimation techniques, we find that the elasticity … of substitution is 0.7, which is lower than the elasticity, 1, that is traditionally used in macro-development exercises …

Some recent work on economic growth considers the aggregate elasticity of substitution between capital and labor as a … openness to trade affects the aggregate elasticity of substitution of a large country in a Heckscher-Ohlin model with trade in … the same way as a rise in the elasticity of substitution in their production would. An optimal tariff corresponds to an …