Scenario 17-1.An economy's production form takes the form Y = AF(L,K,H,N).
-Refer to Scenario 17-1.If the production function has the constant-returns-to-scale property,then if we know the values of A,K/L,H/L,and N/L,we also know the value of
A) output.
B) labor productivity.
C) A.
D) All of the above are correct.

Question

Quizplus · Accepted Answer

If the production function has constant returns to scale, then knowing A, K/L, H/L, and N/L allows us to determine labor productivity, which is output per worker (Y/L).