Question: Consider the flexible-wage model where the production function is Y = 20 N1/2 and the supply of labour is W = N1/2 / 10. What

Consider the flexible-wage model where the production function is Y = 20 N1/2 and the supply of labour is W = N1/2 / 10. What is the equation for the AS curve in this economy?

A) Y = 200 P^(1/2)

B) Y = 200 P^(-1/2)

C) Y = 200 P

D) Y = 200

E) None of the above.

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