A fixed- proportions production function is one in which:
A)a unit of output is produced using inputs equally.
B)more of one input cannot be substituted for less of another.
C)inputs can be substituted for one another in a limited range.
D)increasing the use of an input requires decreasing another by the same amount.

Question

Quizplus · Accepted Answer

In a fixed-proportions production function, more of one input cannot be substituted for less of another. The inputs must be used in fixed, specific proportions to produce a unit of output. Therefore, choice B is correct. The other choices do not accurately describe a fixed-proportions production function.

A Fixed- Proportions Production Function Is One in Which