Publications [#331079] of Curtis R. Taylor

Journal Articles

1. Taylor, CR, Stochastic dynamic duality: Theory and empirical applicability, American Journal of Agricultural Economics, vol. 66 no. 3 (January, 1984), pp. 351-357, Oxford University Press (OUP) [doi]
   (last updated on 2024/08/25)

   Abstract:
   This paper explores duality relationships for a broad class of stochastic dynamic production problems. Assuming that the decision maker maximizes the expected present value of profit, it is shown that product supply, negative factor demand, and negative quasifixed factor acquisition equations cannot be directly obtained by partial differentiation of the indirect profit function if price expectations have a Markovian structure. Consequently, empirical application of duality to many stochastic dynamic problems is quite complex and may be more difficult than a primal approach to the problem. © 1984 American Agricultural Economics Association.