scholarly journals Nursery Cities: Urban Diversity, Process Innovation, and the Life Cycle of Products

2001 ◽  
Vol 91 (5) ◽  
pp. 1454-1477 ◽  
Author(s):  
Gilles Duranton ◽  
Diego Puga

This paper develops microfoundations for the role that diversified cities play in fostering innovation. A simple model of process innovation is proposed, where firms learn about their ideal production process by making prototypes. We build around this a dynamic general-equilibrium model, and derive conditions under which diversified and specialized cities coexist. New products are developed in diversified cities, trying processes borrowed from different activities. On finding their ideal process, firms switch to mass production and relocate to specialized cities where production costs are lower. We find strong evidence of this pattern in establishment relocations across French employment areas 1993–1996. (JEL R30, O31, D83)

Author(s):  
YASUSHI UMEDA ◽  
AKIRA NONOMURA ◽  
TETSUO TOMIYAMA

Environmental issues require a new manufacturing paradigm because the current mass production and mass consumption paradigm inevitably cause them. We have already proposed a new manufacturing paradigm called the “Post Mass Production Paradigm (PMPP)” that advocates sustainable production by decoupling economic growth from material and energy consumption. To realize PMPP, appropriate planning of a product life cycle (design of life cycle) is indispensable in addition to the traditional environmental conscious design methodologies. For supporting the design of a life cycle, this paper proposes a life-cycle simulation system that consists of a life-cycle simulator, an optimizer, a model editor, and knowledge bases. The simulation system evaluates product life cycles from an integrated view of environmental consciousness and economic profitability and optimizes the life cycles. A case study with the simulation system illustrates that the environmental impacts can be reduced drastically without decreasing corporate profits by appropriately combining maintenance, reuse and recycling, and by taking into consideration that optimized modular structures differ according to life-cycle options.


2013 ◽  
Vol 380-384 ◽  
pp. 39-42
Author(s):  
Shun Xi Gao ◽  
Shu Guo Zhao ◽  
Li Fang Zhao

This paper establishes a parametric model on the motor hanging seat structure by pro / ENGINEER software, and then optimizes the structure of the hanging seat by the weight of the hanging seat as the objective function. Taking into account the stress and displacement constraints in the optimization process, the weight of the hanging seat is greatly reduced after being optimized. It is practical significance to save a large amount of raw materials for the mass production and to reduce production costs and create higher economic efficiency.


2018 ◽  
Vol 86 (5) ◽  
pp. 1827-1866 ◽  
Author(s):  
Jie Cai ◽  
Nan Li

Abstract The majority of innovations are developed by multi-sector firms. The knowledge needed to invent new products is more easily adapted from some sectors than from others. We study this network of knowledge linkages between sectors and its impact on firm innovation and aggregate growth. We first document a set of sectoral-level and firm-level observations on knowledge applicability and firms’ multi-sector patenting behaviour. We then develop a general equilibrium model of firm innovation in which inter-sectoral knowledge linkages determine the set of sectors a firm chooses to innovate in and how much R&D to invest in each sector. It captures how firms evolve in the technology space, accounts for cross-sector differences in R&D intensity, and describes an aggregate model of technological change. The model matches new observations as demonstrated by simulation. It also yields new insights regarding the mechanism through which sectoral fixed costs of R&D affect growth.


2018 ◽  
Vol 2018 (5) ◽  
pp. 23-34
Author(s):  
Oliver ORLOV ◽  

In modern economic theory and practice, there is a whole range of problems, where the lack of analytical tools does not allow adequately measuring the expected results. A number of hypotheses are presented; proofs of these hypotheses show that a set of important economic problems (planning of cost production, profit, break-even point by product, pricing for new products and evaluation of effectiveness of inno-vation projects) do not meet an appropriate solution because of the lack of analytical tools. As an alternative, solutions of these problems based on the marginal approach concept are proposed. Distribution of fixed costs between types of products (proposed in accordance with the concept of marginal approach) is inherently a covering of fixed costs by marginal profit and formation on this basis of profit and profitableness both by the types of products and by enterprise as a whole. The concept of the marginal approach was also used to solve the problems of pricing on new products of industrial and technical purpose, which allowed forming the lower and upper limits of prices on an anti-costly basis. Methods for evaluating the effectiveness of innovative projects, which are pre-sented in economic literature and practice from the second half of the 20th century, are reduced to comparing investments with magnitude of profit from sale of an in-novative product during its life cycle. It is proposed to compare investments with the marginal profit received by the enterprise from a new product during its life cycle (of course, taking into account discounting). The results obtained have theoretical value, since they allow new ways to form cost price, profit and profitableness by product types, offer an anti-costly approach to pricing with provision of appropriate tools, as well as evaluation of effectiveness of innovation projects. And a practical significance of these results is to create ap-propriate conditions for a flexible cost management, profits and prices, which is es-pecially important for a rapidly changing market conditions.


2013 ◽  
Vol 31 (3) ◽  
pp. 169-176 ◽  
Author(s):  
Dewayne L. Ingram ◽  
Charles R. Hall

Life cycle assessment (LCA) was utilized to analyze the global warming potential (GWP), or carbon footprint, and associated costs of the production components of a field-grown, spade-dug, 5 cm (2 in) caliper Cercis canadensis ‘Forest Pansy’ in the Lower Midwest, U.S. A model production system was determined from interviews of nursery managers in the region. Input materials, equipment use and labor were inventoried for each production system component using international standards of LCA. The seed-to-landscape GWP, expressed in kilograms of carbon dioxide emission equivalent (CO2e), was determined to be 13.707. Equipment use constituted the majority (63%) of net CO2-e emissions during production, transport to the customer, and transplanting in the landscape. The model was queried to determine the possible impact of production system modifications on carbon footprint and costs to aid managers in examining their production system. Carbon sequestration of a redbud growing in the landscape over its 40 year life, weighted proportionally for a 100 year assessment period, was calculated to be −165 kg CO2e. The take-down and disposal activities following its useful life would result in the emission of 88.44 kg CO2e. The life-cycle GWP of the described redbud tree, including GHG emissions during production, transport, transplanting, take down and disposal would be −63 kg CO2e. Total variable costs associated with the labor, materials, and equipment use incurred in the model system were $0.069, $2.88, and $34.81 for the seedling, liner, and field production stages, respectively. An additional $18.83 was needed for transport to the landscape and planting in the landscape and after the 40 year productive life of the tree in the landscape, another $60.86 was needed for take-down and disposal activities.


2021 ◽  
Vol 2021 (015) ◽  
pp. 1-50
Author(s):  
Stephie Fried ◽  
◽  
Kevin Novan ◽  
William B. Peterman ◽  
◽  
...  

Uncertainty surrounding if and when the U.S. government will implement a federal climate policy introduces risk into the decision to invest in capital used in conjunction with fossil fuels. To quantify the macroeconomic impacts of this climate policy risk, we develop a dynamic, general equilibrium model that incorporates beliefs about future climate policy. We find that climate policy risk reduces carbon emissions by causing the capital stock to shrink and become relatively cleaner. Our results reveal, however, that a carbon tax could achieve the same reduction in emissions at less than half the cost.


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