A linear specification,Q = aK + bL,is not appropriate for estimating a production function because
A)the marginal products of the inputs are assumed constant.
B)it does not allow the firm to substitute capital for labor.
C)the firm could produce positive levels of output at zero cost.
D)both b and c
E)all of the above

Question

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The Answer of A linear specification,Q = aK + bL,is not appropriate for estimating a production function because
A)the marginal products of the inputs are assumed constant.
B)it does not allow the firm to substitute capital for labor.
C)the firm could produce positive levels of output at zero cost.
D)both b and c
E)all of the above

A Linear Specification,Q = AK + BL,is Not Appropriate for Estimating