Cobb-Douglas Production Function

Definition:
The Cobb-Douglas Production Function, given by Charles W. Cobb and Paul H. Douglas is a linear homogeneous production function, which implies, that the factors of production can be substituted for one another up to a certain extent only.

The Cobb-Douglas Production Function can be expressed as follows:

Q = A Lα Kβ

Where, Q = output
A = positive constant
K = capital employed
L = Labor employed
α and β = positive fractions

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