Question

Suppose that you have data on production and the factors of production from a random sample of firms with the same Cobb-Douglas production function. Which of the following regression functions provides the most useful transformation to estimate the model?

A. A linear regression function.
B. An exponential regression function.
C. A quadratic regression function.
D. A logarithmic regression function.

Answer 1

B

Step-by-step explanation:

An exponential regression function