Service Production Functions

Evidence from Production Functions

The RBV posits as a necessary condition for diversification that a firm’s resources can be leveraged beyond its original business. To achieve sufficiency we need to know whether the resource is best leveraged inside the firm or through a market contract. We therefore couple the RBV with the Adjustment-cost Theory of the firm to make and test a set of predictions about when firms should extend t...

Egg production functions

education production functions

The accumulated economic analysis of education suggests that current provision of schooling is very inefficient. Commonly purchased inputs to schools – class size, teacher experience, and teacher education – bear little systematic relationship to student outcomes, implying that conventional input policies are unlikely to improve achievement. At the same time, differences in teacher quality have...

Estimation of Production Functions

1 Introduction Why do we care about estimating production functions (in an IO course)? Production functions are components in many economic models; Evaluate e¢ ciency of an industry: – increasing returns, economies of scale – complementarity / substitutability between inputs – cost regulation, synergies and mergers – economics of scope – learning by doing Productivity analysis (output per index...

A Manufacturing Production Line with Service Interruptions

Jobs from a single Poisson input stream receive K independent stages of service, one at each stage in the pipeline. At stage i jobs are routed through one of the Ni available nodes, modelled as M/M/1 queues. These nodes are subject to random failure and repairs which leave their corresponding queues intact, but may affect the routeing of jobs arriving at that stage during the subsequent repair ...