Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
tifftran tifftran
wrote...
Go to Answer
Posts: 139
Rep: 0 0
A year ago
Scenario: Two economies, A and B, have identical aggregate production functions with diminishing returns. In both economies, capital and labor are equally important for production. Economy A has twice as many efficiency units of labor as economy B. Economy B has twice as much physical capital stock as economy A.


Refer to the scenario above. If you were to draw the aggregate production functions for economies A and B, holding efficiency units of labor constant, you would draw ________.

▸ one aggregate production function, where both economies' output are at the same level

▸ two separate aggregate production functions, where the one for economy B lies above the one for economy A

▸ one aggregate production function, where economy B's level of production is greater than economy A's level of production

▸ two separate aggregate production functions, where the one for economy A lies above the one for economy B
Textbook 
Macroeconomics

Macroeconomics


Edition: 3rd
Authors:
Read 34 times
1 Reply
Replies
Answer verified by a subject expert
JsimonJsimon
wrote...
#1
Posts: 125
Rep: 0 0
A year ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

tifftran Author
wrote...

A year ago
Thank you, thank you, thank you!
deathDoUsPart
wrote...

Yesterday
Smart ... Thanks!
patyfeitosa
wrote...

2 hours ago
Correct Slight Smile TY
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  891 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 1274
  
 234
  
 253
Your Opinion
How often do you eat-out per week?
Votes: 79
Previous poll results: Who will win the 2024 president election?