Increasing Returns to Scale
CES with increasing returns: two-eigenvalue Hessian, scale-scope complementarity, and why CRS is forced by scale consistency ().
Impact Score
Score Reasoning
- Importance
- Important supporting result. CRS forced by gamma^2=gamma is a deep consistency result. IRS Hessian structure enables market structure classification.
- Novelty
- New theorem: CRS is forced by scale consistency (not assumed). Two-eigenvalue IRS Hessian is a new mathematical result. Scale-scope complementarity.
- Quality
- Excellent exposition of CRS forcing result. Clear Hessian eigenvalue structure. Well-connected to market-structure and firm-scope.