In the Cobb-Douglas Production Function , Labor's Share of GDP

question 117

Multiple Choice

In the Cobb-Douglas production function , labor's share of GDP is:

• A) two-thirds, regardless of how much labor there is.
• B) two-thirds, but can change as more laborers are added.
• C) one-third, regardless of how much labor there is.
• D) always equal to one.
• E) Not enough information is given.

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Definitions:

Filtering

The process of reducing information load by screening, selecting, and summarizing data.

Communication Process

The sequence of steps through which information is transmitted and received, involving a sender, message, medium, receiver, and feedback mechanism.

Negative Information

Information that depicts an adverse situation or highlights disadvantages, potentially influencing decisions or perceptions negatively.

Media Richness

The degree to which a communication medium is effective in conveying complex messages clearly and quickly.