The activity analysis is a beginning of the production theory decreasing/going back on Tjalling Koopmans.

In case of one linear do not limitationalen production function (e.g. Leontief Produktionsfunktion) is possible a substitution of the factors of production. Therefore the activity analysis understands the activities of the production department (or also different operational subranges) as model variable. That is called different production processes instead of the input factors for example is substituted against each other or combined. This leads with skillful application actually to a Subtitution of the procedures efficient factor of production by process combinations results in ISO quantum. At infinite number of processes this becomes constant.

The conception of linear models (linear optimization) was introduced by the activity analysis into the economic theory; it is however in principle also open for nonlinear problem definitions.

Articles in category "Activity analysis"

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