Which one of the following production functions exhibits diminishing returns to labor and increasing returns to capital? (K=capital, N=labor, A=constant)
A. F(K,N) = (AK^1.4)(N^.9)
B. F(K,N) = (AK^0.5)(N^0.7)
C. F(K,N) = (AK^1.4)(N^1.3)
D. F(K,N) = (AK^0.5)(N^1.5)
Which one of the following production functions exhibits diminishing returns to labor and increasing returns to...
The production function 9 = k1.270.5 exhibits: a. increasing returns to scale but no diminishing marginal productivities. b. decreasing returns to scale. C. increasing returns to scale and diminishing marginal product for / only. d. increasing returns to scale and diminishing marginal products for both k and I.
The production function q = k0.620.5 exhibits: a. increasing returns to scale and diminishing marginal products for both k and 1. b. increasing returns to scale and diminishing marginal product for 1 only. c. increasing returns to scale but no diminishing marginal productivities. d. decreasing returns to scale.
The production function exhibits Q=4L1/3K3/4. Which of the following statements is (are) FALSE? ОО A. diminishing returns to labor. B. diminishing returns to capital. C. decreasing returns to scale. D. none of the above
The production function -k0 4710.5. Oa exhibits constant returns to scale and diminishing marginal productivities for k and 1. Ob. exhibits constant returns to scale and constant marginal productivities for k and 1. c.exhibits diminishing returns to scale and diminishing marginal productivities for k and 1. o d. exhibits diminishing returns to scale and constant marginal productivities for k and I.
) Show whether each of the following production functions exhibits increasing, constant, or decreasing returns to scale in ? and ?. (Assume A is a factor of production). a. (1pt) ? = ?^1/3(L^2/3) +A b. (1pt) ? = ?^1/3(L^2/3) - A
Which one of the following functions exhibits strictly increasing marginal product of labor? Y=max{K, N} Y =min{K, N) Y = 2K+3N Y= KN1.5
The following production function F(K,L) = K + (1/3)L exhibits a. increasing returns to scale. b. constant returns to scale c. decreasing returns to scale. d. unstable (undefined) returns to scale.
Which of the following production functions is consistent with the law of diminishing marginal returns? OA ОВ. D C do Output a Labor input. Labinput.
2. For each of the following production functions: Q = 3L2 +6K4 Q= V25KL Q = 5V1 + 101K a. Find the marginal product of each input, i.e. MP, and MPx: b. Determine whether the production function exhibits diminishing marginal returns to each input. c. Find the marginal rate of technical substitution, MRTSLK and discuss how it changes as the firm uses more L and less K, holding output constant. d. Determine whether the production function exhibits constant, increasing or...
Do the following production functions exhibit increasing, constant, or decreasing returns to scale? (show your work to illustrate the answer), where Q is quantity of output, K is the amount of capital used, and L is the amount of labor used. a) Q=K^1/3 L^2/3 b) Q=7K^1/5 L^3/5 c) Q=4K+8L d) Q=3k^5 L^4