New answers tagged labour
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Why does MRTS get smaller when there is labour saving technical change
When we think of technological progress, we think of the amount of measurable inputs, capital and labour, needed to produce a certain amount of output. As technology advances, you need less inputs to ...
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Why does MRTS get smaller when there is labour saving technical change
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When transitioning from the blue curve $q = L^{0.5}K^{0.5}$ to the red curve $q = L^{0.2}K^{0.5}$, the production function reflects labour saving technological change, ...
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