Question: 11.6 Show that for the constant returns-to-scale CES production function q = [Kf + LPY^ a. MPK = (^~ P and MPL = (j-~ b.

11.6 Show that for the constant returns-to-scale CES production function q = [Kf + LPY^

a. MPK = (^\~

P and MPL = (j-\~"

b. RTS=[ — ) . Use this to show that cr = 1/(1 - p).

\

K I

c. Determine the output elasticities for Xand L. Show that their sum equals 1.

d. Prove that?

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