If the Exponents in the Production Function Were 0

question 7

Multiple Choice

if the exponents in the production function were 0.30 for x₁ and 0.30 for x₂, this production function would exhibit (constant, increasing, decreasing) returns to scale and (would, would not) have diminishing technical rate of substitution.

• A)constant, would
• B)constant, would not
• C)decreasing, would not
• D)increasing, would
• E)decreasing, would

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