Consider the following production function forms with a technical progress term A(t).
(a) Q = f (Kt, A(t) ⋅ Lt)
(b) Q = f (A(t) ⋅ Kt, Lt)
(c) Q = A(t) f (Kt, Lt)
Of the above which production function, with labour augmenting technology will keep the distribution of output between labour and capital as constant ? Answer from the code below :
1
Only (a)
2
Both (a) and (b)
3
Only (c)
4
Both (a) and (c)