The marginal product of capital for the Cobb-Douglas production function is given by:

Question

Quizplus · Accepted Answer

The Cobb-Douglas production function is typically represented as Y = A * K^a * L^b, where Y is total production, A is total factor productivity, K is capital, L is labor, and a and b are the output elasticities of capital and labor, respectively. The marginal product of capital (MPK) is found by taking the partial derivative of the production function with respect to capital (K), which yields a * K^(a-1) * L^b, matching the formula given in option B.

The Marginal Product of Capital for the Cobb-Douglas Production Function