Dictionary of Arguments
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| Author | Item | Summary | Meta data |
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| Mause I 162f Subadditivity/Baumol: in the context that certain goods are indivisible (such as machines), the principle of subadditivity (1) plays a role: a cost function is subadditive when the sum of the production costs of all subsets of a good is higher than when the total quantity is produced by a single supplier. A known special case of subadditivity are increasing economies of scale, which means that a proportional increase in the use of all production factors (level variation) leads to a disproportionate increase in production results. For the opposite development see also Natural Monopolies/Neoclassicism. Fixed cost degression: the costs of an increase in capacity are spread over a larger production volume. Material costs: increase only under-proportionally. 1. W. J. Baumol, J. C. Panzar, R. D. Willig, Contestable markets and the theory of industry structure. New York 1982._____________Explanation of symbols: Roman numerals indicate the source, arabic numerals indicate the page number. The corresponding books are indicated on the right hand side. ((s)…): Comment by the sender of the contribution. The note [Author1]Vs[Author2] or [Author]Vs[term] is an addition from the Dictionary of Arguments. If a German edition is specified, the page numbers refer to this edition. |
EconBaum I William J. Baumol John C. Panzar Robert D. Willig, Contestable markets and the theory of industry structure New York 1982 EconBaum II William J. Baumol David F. Bradford Optimal departures from marginal cost pricing 1970 Mause I Karsten Mause Christian Müller Klaus Schubert, Politik und Wirtschaft: Ein integratives Kompendium Wiesbaden 2018 |
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Ed. Martin Schulz, access date 2019-04-25