function and estimate these elasticities to shed some light on the substitutability between imports, capital services, and … labor services. The results reveal that capital services and imports are Morishima substitutes, irrespective of whether the … price of capital services or imports changes, and imports and labor services are also Morishima substitutes, irrespective of …

various new distortions between private and optimal solution. First, a monopoly distortion effect generates too little capital … accumulation in the private solution because households' gross return per unit of capital will be lower than in the social optimum …

of substitution between capital and labor is greater than one. However, the vast majority of micro-level estimates shows … that capital and labor are complements (elasticity less than one). Using firm- and establishment-level data from Korea, we … divide capital into equipment and software, as they may interact with labor in different ways. Our estimation shows that …

theorem implies that a neoclassical growth model cannot be simultaneously consistent with empirical evidence on both capital …-augmenting technical change and the elasticity of substitution between labor and reproducible capital. In the multi-factor case, balanced … growth with capital-augmenting technical change is possible as long as capital has a unitary elasticity of substitution with …

the particular savings hypothesis. However, if savings out of capital income are substantial so that a certain threshold …