e Cobb-Douglas production function Y = AKO.3L0.7 is a(n) production function, if A, K A. constant-returns-to scale B. increasing-returns-to scale C. decreasing-returns-to scale D. can either be a constant-returns-to scale or a decreasing-returns-to scale

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Chapter7: Production Economics
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Problem 1.5CE
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The Cobb-Douglas production function Y = AKU.320.7 is a(n)
production function, if A, K and L all doubled.
O A. constant-returns-to scale
O B. increasing-returns-to scale
O C. decreasing-returns-to scale
D. can either be a constant-returns-to scale or a decreasing-returns-to scale
Transcribed Image Text:The Cobb-Douglas production function Y = AKU.320.7 is a(n) production function, if A, K and L all doubled. O A. constant-returns-to scale O B. increasing-returns-to scale O C. decreasing-returns-to scale D. can either be a constant-returns-to scale or a decreasing-returns-to scale
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