Suppose we have a Cobb-Douglas production function given by . Evaluate the technical rate of substitution for this production function at .
5 marksMicroeconomicsProduction and returns to scaleIsoquants and the marginal rate of technical substitutionModerateabout 5 min
JNU SSS 2018 Question 43: Production and returns to scale
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Suppose we have a Cobb-Douglas production function given by f(x, y) = x^(0·5)y^(0·5). Evaluate the technical rate of substitution for this production function at x = y = k.
Also written as: Suppose we have a Cobb-Douglas production function given by f(x, y) = x^(0*5)y^(0*5). Evaluate the technical rate of substitution for this production function at x = y = k.
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What this question tests
This question is on Isoquants and the marginal rate of technical substitution, part of Production and returns to scale in Microeconomics.
Combinations of inputs that give the same output, and the rate at which one input replaces another.
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