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Depreciation in a Simple Regulatory Model: Reply

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  • Bruce L. Jaffee
Abstract
Several difficulties remain with the inclusion of depreciation in a regulatory model, even after Linhart's useful comments and extensions. His liquidity constraint is overly restrictive, there are difficulties in selecting the optimal discount rate(s), and the classification of a depreciation path as uniformly accelerated is incorrect.

Suggested Citation

  • Bruce L. Jaffee, 1974. "Depreciation in a Simple Regulatory Model: Reply," Bell Journal of Economics, The RAND Corporation, vol. 5(1), pages 233-234, Spring.
    • Handle: RePEc:rje:bellje:v:5:y:1974:i:spring:p:233-234
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    Cited by:

    1. Julián David Parada, 2008. "Tasa de depreciación endógena y crecimiento económico," Documentos de Trabajo 4594, Universidad del Rosario.

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