1 10. Consider a production function of the form y=AK 2L² where y is units of output, K is units of capital and L is the number of people employed. How much will output increase by if both capital and labour employed increase by 25%? a. 25% b. 6,250 c. 50% Od. 5,000
1 10. Consider a production function of the form y=AK 2L² where y is units of output, K is units of capital and L is the number of people employed. How much will output increase by if both capital and labour employed increase by 25%? a. 25% b. 6,250 c. 50% Od. 5,000
Chapter1: Making Economics Decisions
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10. Consider a production function of the form y=AK 2L² where y is units of output, K is units of capital and
L is the number of people employed. How much will output increase by if both capital and labour employed
increase by 25%?
a. 25%
b. 6,250
c. 50%
Od. 5,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc7f78fe2-e344-4f3e-b408-71e7b7bce957%2Fea3ebd84-ee9a-4a13-8cb1-9817bd22739c%2Fc3kzbug_processed.jpeg&w=3840&q=75)
Transcribed Image Text:1
10. Consider a production function of the form y=AK 2L² where y is units of output, K is units of capital and
L is the number of people employed. How much will output increase by if both capital and labour employed
increase by 25%?
a. 25%
b. 6,250
c. 50%
Od. 5,000
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