<p>CFA Kaplan Schweser claim that</p>

<blockquote>
  <p>Cobb-Douglas function exhibits constant marginal product of capital
  but diminishing marginal productivity of capital.</p>
</blockquote>

<p>I think this statement is not right.
My view is that Cobb-Douglas production functions exhibits decreasing marginal product of capital and constant marginal productivity of capital.</p>

<p>I am more or less sure that Schweser made a mistake but just want to confirm.</p>

CC BY-SA 3.0
2015-04-03T12:29:24.857Z
Do you have the link to the quote?
FooBar
CC BY-SA 3.0
2015-04-03T12:45:50.100Z
It's from the book. level 2, book 1, page 298 - kaplan schweser notes for cfa level 2
figs_and_nuts
CC BY-SA 3.0
2015-04-03T16:35:57.660Z
Why don't you enhance your question with a few mathematical calculations, after, that is, _defining clearly_ what "marginal productivity" is (contrasted with "marginal product")?
Alecos Papadopoulos
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2015-04-04T18:09:39.157Z
I think you should write down the books argument and then why you think it is wrong.
Rud Faden
CC BY-SA 3.0
2015-05-03T00:39:13.013Z
like Alecos, I have no idea what the difference between "marginal product" and "marginal productivity" is supposed to be. Certainly there is not a distinction in conventional usage.
nominally rigid
<production-function><cobb-douglas>
Marginal product versus marginal productivity in a Cobb-Douglas production function
figs_and_nuts
# Marginal product versus marginal productivity in a Cobb-Douglas production function

(Asked by: username_0 on 2015-04-03)

CFA Kaplan Schweser claim that

> Cobb-Douglas function exhibits constant marginal product of capital
> but diminishing marginal productivity of capital.

I think this statement is not right.
My view is that Cobb-Douglas production functions exhibits decreasing marginal product of capital and constant marginal productivity of capital.

I am more or less sure that Schweser made a mistake but just want to confirm.

**Tags:** production-function, cobb-douglas
> **Comments:**
> **username_1**: Do you have the link to the quote?  
> **username_0**: It's from the book. level 2, book 1, page 298 - kaplan schweser notes for cfa level 2  
> **username_2**: Why don't you enhance your question with a few mathematical calculations, after, that is, _defining clearly_ what "marginal productivity" is (contrasted with "marginal product")?  
> **username_3**: I think you should write down the books argument and then why you think it is wrong.  
> **username_4**: like Alecos, I have no idea what the difference between "marginal product" and "marginal productivity" is supposed to be. Certainly there is not a distinction in conventional usage.  

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## 0 answers

