A Firm Has a Production Function F(x, Y) = 2(x⁰

question 30

Multiple Choice

A firm has a production function f(x, y) = 2(x^0.90 + y^0.90) ⁵ whenever x > 0 and y > 0. When the amounts of both inputs are positive, this firm has

• A) increasing returns to scale if x + y > 1 and decreasing returns to scale otherwise.
• B) increasing returns to scale.
• C) decreasing returns to scale.
• D) constant returns to scale.
• E) increasing returns to scale if output is less than 1 and decreasing returns to scale if output is greater than 1.

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Definitions:

Counterparts

Individuals or things that correspond to or are equivalent to each other in a particular context.

REM Sleep

A phase of sleep characterized by rapid eye movement, dreaming, and increased brain activity.

N1 Sleep

The initial stage of non-REM sleep that transitions an individual from wakefulness to sleep, characterized by light sleep.

Awake But Relaxed State

A state of consciousness characterized by being alert yet physically and mentally relaxed, often associated with meditation or light hypnosis.