If capital cannot easily be substituted for labor, then the elasticity of substitution is:
A) negative.
B) close to zero.
C) close to one.
D) approaching infinity.
Correct Answer:
Verified
Q41: Q42: The region of upward sloping backward bending Q43: Q44: A type of production function that includes Q45: A fixed proportions production function: Q47: When a production function has the Q48: The marginal rate of technical substitution in Q49: For the production function Q50: The production function Q51: Consider the CES production function
A)is not observed
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents