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Let the Production Function Be Q = ALᵃKᵇ

question 30

Multiple Choice

Let the production function be q = ALᵃKᵇ.The function exhibits increasing returns to scale if


Definitions:

Interest

Interest is the cost of using someone else's money or the income earned from lending money, calculated as a percentage of the principal amount.

Grows

an increase in size, number, value, or strength.

Investment

Allocating financial resources with the aim of generating revenue or gains.

Interest

A charge for borrowed money, generally a percentage of the amount borrowed.

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