V = (beta*K-rho + alpha*L-rho) -(1-rho)
where V = value-added, (though y for output is more common),
K is a measure of capital input,
L is a measure of labor input,
and the Greek letters are constants. Normally alpha > 0 and beta > 0 and rho > -1. For more details see the source article.
Terms related to The CES Production Function:
Writing a Term Paper? Here are a few starting points for research on The CES Production Function:
Books on The CES Production Function:
- Sargent, Thomas J. 1979. Macroeconomic Theory. New York: Academic Press.