The production function y = f(k) means:
A) labor is not a factor of production.
B) output per worker is a function of labor productivity.
C) output per worker is a function of capital per worker.
D) the production function exhibits increasing returns to scale.

Question

Quizplus · Accepted Answer

The production function y = f(k) shows that output per worker (y) is a function of capital per worker (k). This means that the level of output can be increased by increasing the amount of capital per worker.

The Production Function Y = F(k) Means