I have defined patterns of switch points in considering perturbations of examples of the choice of technique.
For example, I have defined three-technique and four-technique patterns.
An obvious extension is to consider how these patterns arise in models of joint production.
A simplification is to only consider models of fixed capital without superimposed joint production.
This post lays out an example in which, maybe, some parameter values can lead to a three-technique pattern.
I am trying to consider whether I want to allow it to be an interlocked system.
The question arises when I lay out a simple example in which a machine can be used for one or two years.
Accordingly, consider an example with the coefficients of production in Table 1. Corn and new machines are finished goods.