A Small Country Has an Aggregate Production Function Given by Y

question 18

Multiple Choice

A small country has an aggregate production function given by Y = AK1/2. What would need to happen to its aggregate production function in order to represent an advancement in technology?

• A) Capital would need to increase.
• B) The variable A would need to increase.
• C) The variable A would need to decrease.
• D) Capital would need to decrease.

---

Definitions:

Marketing Tactic

A specific action or strategy employed to achieve a marketing strategy's objectives.

Coupons

Vouchers or codes that offer consumers a discount or rebate when purchasing a product or service.

Federal Trade Commission

A U.S. government agency responsible for protecting consumers and enforcing antitrust law to ensure fair competition in the marketplace.

Pure Monopoly

A market structure where a single company is the sole provider of a product or service, facing no direct competition.