Analyses the structure of costs in the cement, lime and plaster industry of India. Using aggregative data for the period 1960‐61 to 1982‐83 a generalised translog cost function is estimated. It is discovered that (1) this industry has been characterised, by and large, by allocative efficiency; (2) production is characterised by increasing returns to scale; (3) technical progress has been biased against the use of capital; and (4) there exist considerable opportunities for substitution between factors of production. Several policy conclusions of the analysis are also examined.
R. Jha, M Murty, N., Dr. Satya Paul, and Sahni, B. S., “Cost structure of the Indian cement industry”, Journal of Economic studies, vol. 18, 1991.