Hi please help; how do you work out the degree of homogeniety of the following production function
q = l^1/2 k + k^3/2
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Hi please help; how do you work out the degree of homogeniety of the following production function
q = l^1/2 k + k^3/2
This is what I think:
This polynomial in 2 variables () is homogenous of degree
because if we add the exponents of the variables of each term we get for the first term
and also
for the second term.
Thanks got it.
Helen