2. A Model of Prices of Production and the Choice of Technique
3. A Numerical Example with Varying Coefficients of Production
4. Normal Forms for Variations in Switch Points
5. Discussion of Patterns of Switch Points
The choice of technique can be analyzed, in a circulating-capital
model of prices of production, by constructing the wage frontier.
Switch points arise when more than one technique is costminimizing
for a specified rate of profits. This article defines four
normal forms for variations in the number and sequence of switch
points with a perturbation of, for example, a coefficient of production.
The ’perversity’ of switch points that appear on and
disappear from the wage frontier is analyzed. The conjecture is
made that no other normal forms for local patterns of co-dimension