A production function describes the
A) technological possibilities for converting factor inputs into outputs.
B) intellectual possibilities for converting factor inputs into outputs.
C) amount of resources available to the representative firm.
D) actual process of converting factor inputs into outputs.

Question

Quizplus · Accepted Answer

A production function models the relationship between inputs and outputs in the production process, including technological possibilities for transforming factor inputs into final goods or services. It does not directly involve intellectual possibilities, available resources, or the actual process of production.

A Production Function Describes the