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rafiki121 rafiki121
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A month ago
The following figure shows two aggregate production functions.




Refer to the figure above. What does the slope of the aggregate production function 2 between the origin and point A imply?

▸ The returns for increases in the physical capital stock are decreasing.

▸ The returns for increases in the physical capital stock are negative.

▸ The returns for increases in the physical capital stock are increasing.

▸ The returns for increases in the physical capital stock are first positive and then negative.
Textbook 
Macroeconomics

Macroeconomics


Edition: 3rd
Authors:
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dorkiexcicidorkiexcici
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The returns for increases in the physical capital stock are decreasing.
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rafiki121 Author
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A month ago
Thanks for your help!!
mambah4
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Yesterday
Helped a lot
decibul
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2 hours ago
this is exactly what I needed
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