Question

1.) Do the following production functions exhibit decreasing, constant, or increasing returns to scale? (a) f(x...

1.) Do the following production functions exhibit decreasing, constant, or increasing returns to scale?

(a) f(x ,x )=x2/3x1/2 1212

(b) f(x1,x2)=5x1 +3x2 (c) f(x1,x2)=5+x1 +x2

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