Question: Suppose that the production function for a commodity is given by

where Q is the quantity of output, L is the quantity of labor, and K is the quantity of capital. (a) Indicate whether this production function exhibits constant, increasing, or decreasing returns to scale. (b) Does the production function exhibit diminishing returns? If so, when does the law of diminishing returns begin to operate? Could we ever get negative returns?

***12(a): Calculate Q when L=1and K=1, and L=2 and K=2, then

compare. 12(b), Given K=1, show the change in Q if L changes from

1 to 2, and 2 to 3.

Where Q is the quantity of output, L is the quantity of labor, and K is the quantity of capital.

Calculate Q when L = 1 and K = 1, and L = 2 and K = 2, then compare. (b) Given K = 1, show the change in Q if L changes from 1 to 2, and 2 to 3.