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Which of the Following Production Functions Exhibits Increasing Returns to Scale

Question 108

Multiple Choice

Which of the following production functions exhibits increasing returns to scale?


A) Y=K1/2L1/2Y = K ^ { 1 / 2 } L ^ { 1 / 2 }
B) Y=KaL1aY = K ^ { a } L ^ { 1 - a }
C) Y=K1/3L2/3Y = K ^ { 1 / 3 } L ^ { 2 / 3 }
D) Y=K1/2L3/4Y = K ^ { 1 / 2 } L ^ { 3 / 4 }
E) All of these answers are correct.

Correct Answer:

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