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Which of the Following Is True?
A) the Cobb-Douglas Q=ALKβ\mathrm { Q } = \mathrm { AL } \mathrm { K } ^ { \beta }

Question 52

Multiple Choice

Which of the following is true?


A) The Cobb-Douglas production function is given by the general formula Q=ALKβ\mathrm { Q } = \mathrm { AL } \mathrm { K } ^ { \beta } and the constant elasticity of substitution is equal to 0 .
B) The Cobb-Douglas production function is given by the general formula Q=ALKβ\mathrm { Q } = \mathrm { AL } \mathrm { K } ^ { \beta } and the constant elasticity of substitution is equal to 1 .
C) The Cobb-Douglas production function does not exhibit a constant elasticity of substitution.
D) The Cobb-Douglas production function always takes the form Q=K2L2Q = K ^ { 2 } L ^ { 2 } .

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