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Question

Economics Question on Estimation and Costing

Suppose z = f(x, y) is homogeneous of degree k. Which of the following statements is true?

A

δzδx\frac{\delta \text{z}}{\delta x} is homogeneous of degree (k-2)

B

δ2zδyδx\frac{\delta^2 \text{z}}{\delta y\delta x} is homogeneous of degree (k-1)

C

δ2zδy2\frac{\delta^2 \text{z}}{\delta y^2} is homogeneous of degree (k-2)

D

δ2zδxδy\frac{\delta^2 \text{z}}{\delta x\delta y} is homogeneous of degree (k-1)

Answer

δ2zδy2\frac{\delta^2 \text{z}}{\delta y^2} is homogeneous of degree (k-2)

Explanation

Solution

The correct answer is (C) : δ2zδy2\frac{\delta^2 \text{z}}{\delta y^2} is homogeneous of degree (k-2)