Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Production and Costs

Question:

Which function tells us the relation between inputs and output?

Options:

Consumption

Production

Demand

Supply

Correct Answer:

Production

Explanation:

The correct answer is Option (2) → Production

The production function of a firm is a relationship between inputs used and output produced by the firm. For various quantities of inputs used, it gives the maximum quantity of output that can be produced.

Q=(L,K)

where
Q = output,
L = labour,
= capital.