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
δxδz is homogeneous of degree (k-2)
B
δyδxδ2z is homogeneous of degree (k-1)
C
δy2δ2z is homogeneous of degree (k-2)
D
δxδyδ2z is homogeneous of degree (k-1)
Answer
δy2δ2z is homogeneous of degree (k-2)
Explanation
Solution
The correct answer is (C) : δy2δ2z is homogeneous of degree (k-2)