This paper studies cost and production functions, not only in themselves, but more importantly in terms of their mutual transformations when calculation conditions and determination of trends may be particularly difficult or complicated. This is a topic related to production theory which goes beyond the traditional forms, that of treating cost and production functions separately. The issue belongs to the core management aspects for any firm. In this study, both the homothetic and non-homothetic forms of the functions were used, and the article finishes with applications derived from the Lagrange transformation method, in order to maximize results based on specific factors that have restrictions, such as those related to budget limits.
|Number of pages||8|
|Journal||Revista de Ciencias Sociales|
|State||Published - Sep 1 2006|