Suppose a production function is given as Q = L 3 + 5 L 2 +

Question:

Suppose a production function is given as Q = – L 3 + 5 L 2 + 10 L

( i) Which law of production is revealed by this production function?

( ii) At what level of labour employment does the total production begin to decline?

[Ans. ( i) The law of diminishing returns, ( ii) Five workers]

THEORY OF PRODUCTION 263

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Managerial Economics

ISBN: 9789325986688

8th Edition

Authors: D N DWIVEDI

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Question Posted: Oct 07, 2024 04:01 AM

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Suppose a production function is given as Q = L 3 + 5 L 2 +

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Managerial Economics

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