“The Cost Problem According to Standard Theory - A Critical Note”

Authors: Jan-Evert Nilsson and Kjell Kalgraf,
Affiliation: Resource Policy Group, Norway
Reference: 1982, Vol 3, No 1, pp. 53-63.

Keywords: Economic theory, international competition, cost problem

Abstract: This paper examines and criticizes the standard theoretical basis for the argument that a cost-oriented government policy is necessary if a country with a high-cost problem is to improve its competitive powers. According to theory, a firm can only deal with a long-term high-cost problem by increasing its productivity. In attempting to increase productivity, the firm will encounter two problems:.

PDF PDF (3057 Kb)        DOI: 10.4173/mic.1982.1.5

References:
[1] BAKKE, E. (1980). Marknadsmekanisme og samfunnsstyring, The Market Mechanism and the Government of Society. Oslo.
[2] IUI/IVA. (1979). Teknik och industristruktur-70-talets ekonomiska kris i historisk belysning, ´Technology and Industrial Structure - the Economic Crisis of the 1970s in a Historic Perspective´. Stockholm.
[3] LUNDBERG, E. (1961). Produktivitet och räntabilitet, Productivity and Profitability. Stockholm.
[4] NILSSON J.-E., KALGRAF, K. (1979). Vårt dyre Fedreland, Om Norges økonomiske fremtid..´Our Dear Fatherland: A Report on Norway´s Economic Future´, Oslo.
[5] NOU (1979). Strukturproblemer og vekstmuligheter i norsk industri, ´Structural Problems and Opportunities for Growth in Norwegian Industry´. Vol 35.
[6] RINGSTAD, V. (1974). The Development and Behaviour of Prices in the 1960´s, Presentation and Analysis of the Price-Data of Norvegian National Accounts´, Social Economic Studies, No. 23, Oslo.
[7] ROTHWELL, R. (1980). Innovation in Textile Machinery in K, Pavitt (editor). Technical Innovation and British Economic Performance (London).
[8] ST.MELD. NR. 1. (1979). Nasjonalbudsjettet 1980, White Paper nr. 1, 1979-80, ´The Federal Budget, 1980´.


BibTeX:
@article{MIC-1982-1-5,
  title={{The Cost Problem According to Standard Theory - A Critical Note}},
  author={Nilsson, Jan-Evert and Kalgraf, Kjell},
  journal={Modeling, Identification and Control},
  volume={3},
  number={1},
  pages={53--63},
  year={1982},
  doi={10.4173/mic.1982.1.5},
  publisher={Norwegian Society of Automatic Control}
};