Suppose that firms face the following production function: Q = L/5+ K1/5, what is the degree of %3D elasticity of substitution? O infinity O 5/4 O 1/5

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Chapter1: Making Economics Decisions
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Suppose that firms face the following production function: Q = L5 + K1/5. What is the degree of
elasticity of substitution?
infinity
5/4
O 1/5
Transcribed Image Text:Suppose that firms face the following production function: Q = L5 + K1/5. What is the degree of elasticity of substitution? infinity 5/4 O 1/5
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