The Cost Function with Imperfectly Flexible Capital, Economics Letters
The properties of the firm's cost function are examined when investment is irreversible and there are costs of capital adjustment. The effects of the firm's initial capital stock on total, marginal and average costs are analysed.
Robert A Becker, Daniel Spulber
Becker, A Robert, and Daniel Spulber. 1984. The Cost Function with Imperfectly Flexible Capital. Economics Letters. 16(3-4): 197-204.