For the Production Function Y/N = K/N)⁰

question 24

Multiple Choice

For the production function Y/N = K/N) ^0.7 and a capital stock per worker ratio of $3,000,000 in country A, what is the approximate difference in capital stock per worker ratios between countries A and B if, in country B, ^Y/N) A ^{= 15Y/B)} B^?

• A) 900
• B) 225
• C) 50
• D) 30
• E) 20

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Definitions:

Sustainable

The practice of using natural resources in a way that maintains ecological balance and ensures availability for future generations.

Full-cost Pricing

The practice of setting prices based not only on production costs but also on accounting for environmental and social costs associated with the product or service.

Market Price

The current price at which an asset or service can be bought or sold in a particular marketplace.

Government Action

Measures and policies implemented by governmental bodies to address societal, economic, environmental, or political issues.