Suppose That the Production Function for the Economy Is: Y

Multiple Choice

Suppose that the production function for the economy is: Y = AK¹/⁴ᴸ³/⁴.Assume that A = 1000,the capital stock is $32 000 billion,and the current labour force is 120 million (or 0.120 billion) workers.All else equal,if the labour force increases by 20 million workers,the value of the marginal product of capital will be

A) $0.0104.
B) $0.0239.
C) $0.0639.
D) $0.0717.