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State Whether the Following Production Functions Exhibit Increasing, Constant, or Decreasing

Question 50

Essay

State whether the following production functions exhibit increasing, constant, or decreasing returns to scale in K and L.
(a) Y=K1/3L1/2Y = K ^ { 1 / 3 } L ^ { 1 / 2 }
(b) Y=K2/3LY = K ^ { 2 / 3 } L
(c) Y=K1/2L1/2Y = K ^ { 1 / 2 } L ^ { 1 / 2 }

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The answer to this lies in multiplying e...

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