Suppose the Economy's Production Function Is Y = AK⁰

question 12

Multiple Choice

Suppose the economy's production function is Y = AK^0.3N^0.7.If K = 2000,N = 100,and A = 1,then Y = 246.If K and N both rise by 20%,and A is unchanged,by how much does Y increase?

• A)5%
• B)10%
• C)15%
• D)20%

---

Definitions:

Corpus Callosum

A large band of nerve fibers connecting the left and right hemispheres of the brain, facilitating interhemispheric communication.

Right-Handed

Preferring to use the right hand for most activities, especially intricate tasks like writing or eating.

Reproduce Drawing

The act of copying or imitating the contents of a drawing, often used in psychological testing or art therapy assessments.

Endocrine System

A collection of glands in the body that secrete hormones directly into the circulatory system to be carried towards distant target organs.