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The Expansion Path for a Constant-Returns-To-Scale Production Function

Question 34

Multiple Choice

The expansion path for a constant-returns-to-scale production function


A) is a straight line through the origin with a slope greater than 1 if w > v.
B) is a straight line through the origin with a slope greater than 1 if w < v.
C) is a straight line through the origin,though its slope cannot be determined by w and v alone.
D) has a positive slope but is not necessarily a straight line.

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