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+ | ===== Example 6: Perfect Substitutes Production Function ===== | ||
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+ | In the Perfect Substitutes Production Function, one input can be substituted for another without any effect in the quantity produced. | ||
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+ | Example: | ||
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+ | Q = aL + aK | ||
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+ | If we increase L by 10 and at the same time, we decrease K by 10, the output will be the same. | ||
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+ | {{:en:perfect-substitutes-production-function.png?nolink|}} | ||