A Short-Run Production Function Was Estimated As $Q = - 0.002 L ^ { 3 } + 0.16 L ^ { 2 }$

question 22

Multiple Choice

A short-run production function was estimated as $Q = - 0.002 L ^ { 3 } + 0.16 L ^ { 2 }$ What is average product when it is at its maximum level?

• A)3.20
• B)8.75
• C)6.92
• D)6.00
• E)9.40

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Definitions:

Decrease

A reduction in size, number, quantity, or extent.

Confidence Interval

An estimated interval of values which is likely to include an unknown population parameter, the estimate being based on the sample data.

Slope

A measure of the steepness or incline of a line, often representing the rate of change in a linear equation.

SPPS Regression Output

A reference to the outputs generated from statistical analysis conducted in SPSS software, concerning regression analysis.