The production function for Country A exhibits constant returns to scale.Suppose that physical capital per worker,human capital per worker,and natural resources per worker all triple.At the same time,Country A's technological knowledge doubles.Productivity
A)does not change.
B)is now two times larger.
C)is now three times larger.
D)is now six ties larger.

Question

The production function for Country A exhibits constant returns to scale.Suppose that physical capital per worker,human capital per worker,and natural resources per worker all triple.At the same time,Country A's technological knowledge doubles.Productivity
A)does not change.
B)​is now two times larger.
C)​is now three times larger.
D)​is now six ties larger.

Quizplus · Accepted Answer

With constant returns to scale, tripling inputs (physical, human, and natural resources per worker) and doubling technological knowledge results in a sixfold increase in productivity (3 times 2).

The Production Function for Country a Exhibits Constant Returns to Scale.Suppose