A production function with two inputs has constant returns to scale and an 80 percent income share for labour. If labour grows by 3 percent, capital grows by 2 percent and the rate of technical progress is 1.2 percent, about how many years would it take for the current level of output to double? Multiple Choice 14 18 23 35 58

A production function with two inputs has constant returns to scale and an 80 percent income share for labour. If labour grows by 3 percent, capital grows by 2 percent and the rate of technical progress is 1.2 percent, about how many years would it take for the current level of output to double? Multiple Choice 14 18 23 35 58

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter9: Production Functions

Section: Chapter Questions

Problem 9.8P

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