Factor demand and substitution in mineral-intensive industries

Journal Article · · Bell J. Econ.; (United States)

DOI:https://doi.org/10.2307/3003523· OSTI ID:5697498

Moroney, J R; Trapani, J M

This paper presents a model of the demand for reproducible capital, labor, and nonfuel mineral resources in six manufacturing industries that process exhaustible mineral resources. Partial substitution elasticities are estimated from translog unit cost functions and factor-demand equations. These estimates are then used to simulate input demands in a setting of exhaustible-resource scarcity. The principal finding is that substitution possibilities are much more limited than those implied by Cobb-Douglas production technology, and this has important implications for the possible conservation of exhaustible resources. 22 references, 4 tables.

• Research Organization: Tulane Univ., New Orleans, LA
• OSTI ID: 5697498
• Journal Information: Bell J. Econ.; (United States), Journal Name: Bell J. Econ.; (United States) Vol. 12:1; ISSN BJECD
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
290400* -- Energy Planning & Policy-- Energy Resources
CAPITAL
DEMAND FACTORS
ECONOMIC ELASTICITY
INDUSTRY
LABOR
MINERAL INDUSTRY
MINERAL RESOURCES
PROCESSING
RESOURCE CONSERVATION
RESOURCES