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Constant elasticity of transformation

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Constant Elasticity of Transformation (CET) is firstly brought forward by Powell and Gruen (1968),[1] which is a new form of production-possibility frontier. George Philippidis (1999)made a detailed introduction of CET function. Below is referenced from this paper. The CET is the corollary CES function, where the production possibilities of the firm (industry) are a function of different combination of supply activities.

References

  1. ^ Powell and Gruen (1968)
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