Question

the elasticity of substitution of ces production function is what?​

Answer 1

In the CES function, the elasticity of substitution is constant but not necessarily equal to unity. It ranges from 0 to ∞. ... The CES function covers constant, increasing and decreasing returns to scale, while the CD function relates to only constant returns to scale.

HOPE IT’S HELP YOU

Answer 2

The elasticity of substitution of CES production function is constant.

Explanation:

In Production Economics,CES production function represents a particular type of production function which reflects constant rate of substitution between the factors/inputs of production(usually two factors:labor and capital) used in the production process by the firm or manufacturer.It implies that one factor input is a perfect substitute of the other and hence,can be only be exchanged at a constant rate during the production phase.It also implies that without maintaining this constant rate of factor/input substitution,any of the factor inputs would become non-functional or unproductive and will consequently affect output productivity.Therefore,the elasticity or the rate of substitution between the factors or inputs of production under CES production function is fixed or constant.