Question

An aggregate production function shows​ ________. A. the relationship between a​ country's output and its price level B. various combinations of labor and capital that can be used to produce a particular good C. the relationship between a​ country's GDP and its factors of production D. various quantities of two goods that can be produced at a given cost

Answer 1

Answer:

The correct answer is letter "C": the relationship between a​ country's GDP and its factors of production.

Explanation:

The Aggregate Production Function describes the relationship between a country's Gross Domestic Product (GDP) and the factors of production involved in it. Aggregate Production functions are considered physical and human capital, labor, knowledge, social infrastructure, and natural resources. Production increases as a result of increases in capital, natural resources, and labor.