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1+p 1+p 1+p analysis assume behaviour Canada CATHERWOOD LIBRARY concave function constant returns convex function convex set curve of skilled Department of Manpower Diewert direct cost Econometric Society elasticities of substitution empirical EPSTEIN equations vii equilibrium condition equilibrium wage expectation functions expected supply function factor fixed inputs functional form future returns hence increasing input or output inputs and outputs investment Labour Markets linear regression techniques Manpower and Immigration marginal input costs marginal productivity Modified Hotelling Lemma monopsony power number of skilled optimal optimum period activities period supply price expectations producer's expectation production function production possibilities set productivity of trainees profit maximizing providing the training regularity conditions Research Branch retention rates returns to scale sample period second order approximation second period set of equations supply curve supply of skilled supply of training supply training trainee labour transformation function unskilled variable profit function viii wage rate workers in period