The mathematical expression relating the amount of output produced to quantities of capital and labour utilized is called
A)Factors of production
B)Production function
C)Total factor productivity
D)Productivity

Question

Quizplus · Accepted Answer

The production function is the mathematical expression that relates the amount of output to the inputs of capital and labor. Factors of production refer to the inputs used in the production process, but do not specify the relationship among them. Total factor productivity is a measure of how efficiently inputs are used to produce output, but does not define the relationship among inputs. Productivity is a general term that can refer to the output produced per unit of input, but does not specify the relationship among inputs.

The Mathematical Expression Relating the Amount of Output Produced to Quantities