Constant Returns to Scale?

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Is this equation constant returns to scale:

Y=K(exponent 0.5) L(exponent 0.5)

2007-02-01 12:57:05 · 2 answers · asked by Anonymous in Social Science ➔ Economics

Yes, any production function where the exponents add to one is constant return to scale.

2007-02-02 15:32:25 · answer #1 · answered by meg 7 · 0⤊ 0⤋

I constantly return to my scale every A.M. It helps me maintain.

2007-02-01 21:02:10 · answer #2 · answered by Big D 4 · 0⤊ 0⤋