Samuelson introduced physics into economics. It has become ever clearer that it is into the concepts of elasticity and equilibrium that analogy with physics was introduced. There has to be a relationship between the change in elasticity (yet not elasticity itself) of a rubber band as you stretch it and whether it springs back (whether it can stay equilibrium at the stretched state) after you release it.
From P8/Ch4 of Fei's lecture notes, it is suggested that there is a relationship between the convexity of production set and the elasticity of scale.
From P8/Ch4 of Fei's lecture notes, it is suggested that there is a relationship between the convexity of production set and the elasticity of scale.
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