Suppose the production function is given by Q = min {K,L}.How much output is produced when 4 units of labor and 9 units of capital are employed?
A) 0
B) 4
C) 9
D) 13

Question

Quizplus · Accepted Answer

The production function Q = min {K,L} means that the level of output is determined by the smaller of K and L. Therefore, when 4 units of labor and 9 units of capital are employed, the production level will be determined by the smaller of the two inputs, which is 4 units of labor. Hence, the level of output is equal to 4 units. Therefore, the answer is B.

Suppose the Production Function Is Given by Q = Min