You are planning to estimate a short-run production function for your firm, and you have collected the following data on labor usage and output:
Labor usage Output
3 1
7 2
8 3
11 5
17 8
17 10
20 15
24 18
25 22
28 21
29 23
Does a cubic equation appear to be a suitable specification given these data? You may wish to construct a scatter diagram to help you answer this question.
(I didn't really know where to put this question)
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