Question
2. You are told that q = 12 can be produced by (L, K) = (5, 6) and (L1, K1 ) = (4, 5). Explain
2. You are told that q = 12 can be produced by (L, K) = (5, 6) and (L1, K1 ) = (4, 5). Explain whether each of the following two statements is true, false, or uncertain.
(a) (q, L, K) = (12, 5, 6) represents an efficient production plan.
(b) (q, L1 , K1 ) = (12, 4, 5) represents an efficient production plan.
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Macroeconomics A European Perspective
Authors: Olivier Blanchard, Alessia Amighini, Francesco Giavazzi
4th Edition
1292360895, 9781292360898
