Suppose That the Production Function for the Economy Is Y

question 7

Multiple Choice

Suppose that the production function for the economy is Y = AK⁰.²ᴸ⁰.⁸.If the capital stock = 40 000,the quantity of labour = 10 000,and the efficiency index = 1,the marginal product of capital is

• A) $0.066.
• B) $0.20.
• C) $1.05.
• D) $1.58.

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Definitions:

Housing

The provision of accommodation, typically in the form of buildings or structures where people can live.

Immigration Rate

A measure of the inflow of new residents to a region from another country or region, typically calculated as the number of immigrants per unit of population per year.

Racially Diverse Society

A society that includes individuals and groups from a wide range of racial and ethnic backgrounds, often advocating for equal respect and treatment.

Birth Rate

The statistical measure of the number of live births per 1,000 people in a given population over a specific period of time.