A firm has the production function f(x, y) = x.5 + y, where x is the amount of factor x it uses and y is the amount of factor y.On a diagram we put x on the horizontal axis and y on the vertical axis.We draw some isoquants.Now we draw a straight line on the graph and we notice that the slopes of all the isoquants that it meets have the same slope at the point where they meet this line.The straight line we drew was
A) vertical.
B) horizontal.
C) diagonal through the origin with slope 0.5.
D) diagonal with slope 2.
E) diagonal with slope greater than 2.
Correct Answer:
Verified
Q1: If there are constant returns to scale,
Q3: If the production function is f(x, y)=
Q4: If the production function is f(x, y)=
Q5: Which of the following production functions exhibit
Q6: A production isoquant is a locus of
Q7: In any production process, the marginal product
Q8: If the production function is f(x, y)=
Q9: The production function f(x, y)= x2/3+ y2/3
Q10: A firm's production function is f(x1, x2)=
Q11: If there is one input used in
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