Economists use the notation Q = f(L,K) to describe:
a) the financial relationship between the inputs that a firm uses and the outputs that it produces.
b) the level of output (Q) required to fully employ labour (L) and capital (K).
c) the flow of labour (L) and capital (K) services that are available when output is (Q).
d) the arithmetic relationship between the outputs that a firm uses and the inputs that it produces.
e) the technological relationship between the inputs that a firm uses and the outputs that it produces.
Ans: a) the financial relationship between the inputs that a firm uses and the outputs that it produces.
You might also like to view...
When there is a negative externality, the marginal private cost of production ________ the marginal social cost of production
A) eliminates B) is less than C) is equal to D) is greater than
Suppose the U.S. Congress is successful in enacting tariffs large enough to eliminate the current account deficit. What would happen to the level of domestic investment?
A) It would not change. B) It would fall to a level equal to national saving. C) It would rise and exceed national saving. D) It would rise to a level equal to net foreign investment.