Question: The production function Q = 0.25X0.5 0.5 exhibits: a. b. constant returns to scale. increasing returns to scale. C. d. increasing and then diminishing

The production function Q = 0.25X0.5 0.5 exhibits: a. b. constant returns to scale. increasing returns to scale. C. d. increasing and then diminishing returns to scale. diminishing returns to scale. 

The production function Q = 0.25X0.5 0.5 exhibits: a. b. constant returns to scale. increasing returns to scale. C. d. increasing and then diminishing returns to scale. diminishing returns to scale.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

To determine the returns to scale we can analyze the ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Q:

The production function for a firm is given by Q = LK, where Q denotes output; Land K labor and capital inputs. Wage rate and rental rate are given by w and r respectively. (a) Show whether or not...

Q:

Suppose that for the production function q = f( L, K), if L = 3 and K = 5 then q = 10. Is it possible that L = 3 and K = 6 also yields q = 10 for this production function? Why or why not?

Q:

You manage a plant that mass-produces engines by teams of workers using assembly machines. The technology is summarized by the production function q = 5 KL, where q is the number of engines per week,...

Q:

As a building manager in high rise tower, he wanted to email building cleaning sub committee to arrange a meeting to review the scope of cleaning? how should he email them so they can understand his...

Q:

1.If P = $1,000 - $2Q: a.MR = $1,000Q - $4. b.MR = $1,000 - $8Q. c. MR = $1,000 - $4Q. d. MR = $250 - $0.25P. 2.Total cost minimization occurs at the point where: a.Q = 0. b. MC = AC. c. AC = 0. d....

Q:

1.If P = $1,000 - $2Q: a.MR = $1,000Q - $4. b.MR = $1,000 - $8Q. c. MR = $1,000 - $4Q. d. MR = $250 - $0.25P. 2.Total cost minimization occurs at the point where: a.Q = 0. b. MC = AC. c. AC = 0. d....

Q:

1.If P = $1,000 - $2Q: a.MR = $1,000Q - $4. b.MR = $1,000 - $8Q. c. MR = $1,000 - $4Q. d. MR = $250 - $0.25P. 2.Total cost minimization occurs at the point where: a.Q = 0. b. MC = AC. c. AC = 0. d....

Q:

a) The production function q = 9K0.8LO.1 exhibits [ increasing returns to scale, constant return to scale,decreasing returns to scale, none of the above ] b) The production function q = K1.2 + 3L1.2...

Q:

b ) Which of the following is CORRECT about the production function Q = K 0 . 5 L 0 . 5 ? a ) It exhibits constant returns to scale and constant MP for K and L . b ) It exhibits constant returns to...

Q:

A firm produces according to the production function is labor used, respectively. The cost of capital (rent) is 1 per unit and the cost of labor (wage) is 1 per person. This firm has a budget equals...

Q:

Tri-Products is trying to decide whether to make or purchase an accessory for one of its products. The tables below indicate the projected sale price of said product together with the cost of the...

Q:

The USDA has finally established the labeling of genetically modified foods and foods containing genetically modified ingredients, but proponents of labeling are not satisfied with the new law. Why...

Q:

Second Order [ Medium ] ( Variational principle ) Find the GS of y ' ' a 2 y = t a n ( b x ) here a , binR.

Q:

Consider an urn containing 12 balls, of which 8 are white. A sample of size 4 is to be drawn with replacement (without replacement). What is the conditional probability (in each case) that the first...

Q:

Suppose you have a bag of 3 red balls, 1 blue ball, and 2 green balls. a. Determine the sample space if you are grabbing two balls out of the bag, one at a time, with replacement. b. Determine the...

Q:

A box contains four (blue) balls Three red (R) balls. If one selects Two balls at random without replacement answer the following a. Draw and label a tree diagram for this exprement. Be sure to...

Q:

A box contains 8 red marbles and 3 green marbles. Six draws are made at random with replacement. Calculate the probability that the 3 green marbles are drawn.

Q:

You have the following data on The Home Depot, Inc. Market value of long-term debt: $20,888 million Market value of common stock: $171,138 million Beta: 1.04 Yield to maturity on debt with 10 years...

Q:

A company's choice to operate in a buiness or buninesses and the ways in which ir differentiates itself from is comperiess is called is wrategy7procedureensisionprocess

Q:

The Dalton transfer principle may not be a good way to judge increases in polarization (for a definition, see Esteban and Ray [1994] and Wolfson [1994]). To see this, begin with a society in which...

Q:

Review the standard supplydemand model for the study of labor market equilibrium. Discuss some features of labor markets that require substantial extensions to, or changes in, the standard...

Q:

Describe the two fundamental resource flows that link the agricultural sector with the industrial sector. Discuss the market forces that are relevant to the magnitudes of these flows.

Q:

9.32. Refer to the previous exercise. When political ideology is regressed on x = number of hours spent in the home on religious activity in the past month (RELHRS1), we obtain B SE B Beta t Sig....

Q:

9.24. For the house sales data in Table 9.4, Table 9.12 shows a regression analysis relating selling price to number of bedrooms. (a) Report the prediction equation, and interpret the slope. (b)...

Q:

9.38. The Zagat restaurant guides rate each restaurant on a 30-point scale for food, decor, service, and cost. The "Zagat restaurant ratings'" data file at the text Web site shows 2007 ratings for...