The economics of modern manufacturing: comment.

A commentary on Paul Milgrom and John Roberts's “The Economics of Modern Manufacturing: Technology, Strategy, and Organization,” which appeared in The American Economic Review, vol. 80, no. 3, June 1990, pp. 511-28. The way that Milgrom and Roberts propose to resolve the problem concerning the mov...

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Publicado en:American Economic Review Vol. 85; pp. 987 - 991
Autores principales: Bushnell, P. Timothy, Shepard, Allen D.
Formato: Artículo
Publicado: American Economic Association September 1995
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Acceso en línea:Ver este registro en EBSCOhost
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          Bushnell, P. Timothy
          Shepard, Allen D.
      su:
        Flexible manufacturing systems
        Consumer goods
        Economics
        Technological innovations
        Mathematical models
      sug:
        subj:
          Flexible manufacturing systems
          Consumer goods
          Economics
          Technological innovations
          Mathematical models
      keyword: Complementarity (Economics)
      ab: A commentary on Paul Milgrom and John Roberts's “The Economics of Modern Manufacturing: Technology, Strategy, and Organization,” which appeared in The American Economic Review, vol. 80, no. 3, June 1990, pp. 511-28. The way that Milgrom and Roberts propose to resolve the problem concerning the movement of prices involves mathematical errors that invalidate the central theorems of their paper. Additional significant assumptions concerning trends in the price elasticity of demand are needed to produce Milgrom and Roberts's desired results. This is because the possibility of an exogenous increase in demand and the increase in demand associated with offering more frequently updated products allow the possibility of a fall in price elasticity, which would lead to an incentive to raise prices rather than to lower them.
      pubtype: Academic Journal
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    language: English
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