For the Cobb-Douglas Production Function F(L,K)= AL^aK^b,a Factor-Neutral Technical Change

question 61

Multiple Choice

For the Cobb-Douglas production function F(L,K) = AL^aK^b,a factor-neutral technical change would be represented by

• A) An increase in the value of a
• B) An increase in the value of b
• C) Values of a and b for which a + b > 1
• D) An increase in the value of A

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Definitions:

Correlational Study

A method of research involving the measurement of two or more variables to determine if there is a relationship between them.

Cause And Effect

The relationship between events or things, where one is the result of the other or others.

Accomplice

A person who knowingly assists in the commission of a crime, either before or during the act.

Epileptic Seizure

A sudden surge of electrical activity in the brain that affects how a person appears or acts for a short time.