Published Online: Jul 04, 2019
Page range: 69 - 79
Received: Mar 21, 2019
Accepted: Apr 03, 2019
DOI: https://doi.org/10.2478/eoik-2019-0006
Keywords
© 2019 Jason C. Patalinghug, published by Sciendo
This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.
The purpose of this paper is the estimation of a production function for retail stores in the Philippines. A generalized Cobb-Douglas production function is utilized for this purpose. Ordinary Least Squares is used in obtaining the coefficients for labor and capital. The results show that the marginal product of labor to be higher than the marginal product of capital and the hypothesis of constant returns to scale is not rejected.