Which of the following production functions exhibits constant returns to scale?

A) q = KL
B) q = KL0.5
C) q = K + L
D) q = log(KL)

C

Economics

You might also like to view...

What would happen to U.S. economic welfare if the U.S. eliminated tariffs on solar panel imports?

a. U.S. economic welfare would increase because of the social gains from increased U.S. consumption of solar panels. b. U.S. economic welfare would decrease because the social gains from increased U.S. consumption of solar panels would be less than the social costs inflicted on U.S. solar panel producers. c. U.S. economic welfare would decrease because the social gains from increased U.S. production of solar panels would be less than the social costs associated with increased U.S. consumption of solar panels. d. U.S. economic welfare would increase because the social gains from increased U.S. production of solar panels would exceed the social costs associated with increased U.S. consumption of solar panels.

Economics

The ways to address agency costs include all EXCEPT

a. advertising for employee positions in as many outlets as possible b. requiring employees to punch time clocks c. spot checks of the quality of employee work d. replacing closed offices with cubical office spaces

Economics