ECN 5105 Economic Problems of Developing Countries
PROBLEM SET 1
Due 21st January 2015
1. What is the main interest of development economics?
2. Briefly outline the history of the study of development as a branch of economics.
3. Who are th
Neo-Classical Production Function
o Output=the function of Capital and Labor
Returns to Scale:
o Constant: F(tK,tL)= tF(K,L)
o Increasing: F(tK,tL)> tF(K,L)
o Decreasing: F(tK,tL)