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Advantages and disadvantages (limitations) as the basis for the popularity of the macroeconomic production function model

Stanisław Czaja

Wrocław University of Economics, Faculty of Economics and Finance

Komandorska 118-120, 53-345 Wrocław, Poland

e-mail: stanislaw.czaja@ue.wroc.pl

ORCID: 0000-0002-3225-2101

Agnieszka Becla

Wrocław University of Economics, Faculty of Economics and Finance

Komandorska 118-120, 53-345 Wrocław, Poland

e-mail: agnieszka.becla@ue.wroc.pl

ORCID: 0000-0002-0013-7037

DOI: https://doi.org/10.5281/zenodo.4022494
received:   02.07.2020
corrected:   13.07.2020
accepted: 15.07.2020
Keywords:
macroeconomic production function, economic model.

Abstracts

The article attempts to test the working hypothesis, according to which the basis of the popularity of macroeconomic production function models is a set of their advantages and disadvantages (limitations). This class of models is one of the most popular in modern economy. According to the authors, such popularity is determined by the following characteristics (conditions): the reality of the described relations, their measurability, wide scope of application, the existence of formal forms of model, a wide range of interpretation of parameters, individualized usability, adequate information capacity as well as cognitive, predictive and decision-making utility.

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