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If a Technological Change Occurs Such That the Production Function

Question 118

Multiple Choice

If a technological change occurs such that the production function shifts from q = 10K0.5 L0.5 to q = 10.5K0.3 L0.5,then the technological change is


A) both neutral and non-neutral.
B) neutral.
C) non-neutral.
D) Not enough information given.

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