Q: the returns to scale for the following production functions: q = K.34L.34 q = KLM
A: DISCLAIMER “Since you have asked multiple question, we will solve the first 3 question for you. If…
Q: Consider production function f(L, K) = 10VLK and input prices w :10,r = 90.
A:
Q: • A firm's production function is initially Q = VKL Over time, the production function changes to Q…
A: The initial production function is: The marginal products are:
Q: Suppose that the production function for DVDS is given by Q = KL2 - L3, where Qis the number of…
A: As per the question, Q=KL2-L3. When K=600, this production function can be written as Q=600L2-L3.…
Q: Consider the following production function: Q=KªLB a) Derive the cost function b) Draw the AC and MC…
A: * ANSWER :- * A) at eqm, MRTS = w/r MRTS = MPL / MPK
Q: A bottling company uses two inputs to produce bottles soft drink sludge: bottling machines (K) and…
A: The optimal input bundle i.e. the cost minimizing input bundle is where the marginal product per…
Q: A production function is given by f(x1,x2)=(max(x1,x2))^0.5. Prices of inputs are p1=10 and p2=20.…
A: Price of inputs for X1 and X2 are 10 and 20 respectively. Firm want to produce Q=10 units.
Q: When a firm is using a technically efficient input combination, the firm is also producing in an…
A: False statement
Q: A Cobb-Douglas production function for new company is given by ?(?, ?) = ?³/⁵ ?²/⁵ where K…
A:
Q: The maximum possible weekly average product of labor in the plant is
A: Formula for average product/output: Average product = Total product / Number of worker
Q: Suppose that instead the production function now is F (L, K) = 0.2L + 0.7K. The wage rate (price…
A: Isoquant could be a curve that illustrates all the potential mixtures of 2 parts that make a given…
Q: A firm has the following production function: f(x) = ax? – bx³, where x is the only input, a=2 and…
A: The production function is the maximum output that can be produced with the given technology and the…
Q: Solve it correctly last time incorrect solution provides Q) The marginal products of capital…
A: Given the output, cost is minimized when the following condition is satisfied : MPL/PL =MPK/PK It…
Q: If a firm has a constant returns to scale production function F(K,L), then the ratio of inputs K L…
A: In long run firm experiences return to scale on its production function which are 1.Constant return…
Q: The engineers at Morris Industries obtained the following estimate of the firm’s production function…
A: Firm’s production function is shown below.
Q: 250 = 10K0.5L0.5
A:
Q: When the quantity of a variable input is increased from 3 units to 4 units the total output…
A:
Q: A firm's production function is given by Q = 8L?K+ 7L3 Unit capital and labour costs are $1 and $7…
A: the production function is the function that shows the factor of production.
Q: Consider the following production function: Q = K² L²
A: ‘Economies of scale’ is nothing but the cost advantage that a firm obtains due to its production…
Q: A Cobb-Douglas production function means that as long as either of the 2 input is nonzero, the…
A:
Q: Let in the long run production function is TP LK. If Price of labor (wage per hour) is 20 birr and…
A: The output maximization would result in the fact when the marginal rate of substitution of of…
Q: The engineers at Morris Industries obtained the following estimate of the firm's production…
A: Production Function i.e., Q = F(K,L) where, Q is the total number of output produced, k…
Q: Given the production function of F(K,L) = sqrtKL If the short run has a fixed K of 5 units, which…
A: Here the production function of F(K,L)=KL the short run fixed capital k=5 units so, F(K,L)=KL=5L…
Q: If the fixed input is the two hectare of land and the variable input is fertilizer explain how the…
A: The law of diminishing marginal utility states that when an individual absorbs an object or a good,…
Q: The Cobb-Douglas production function for a particular product is N(x,y) = 80x0.60 4 where x is the…
A:
Q: Considering the Production Function →Y= 95 - 2X,2 + 3X1 + 5X,X2 - 6X22 + 18X2 Find the values of X,…
A: Given information, Production Function: Y=95-2X12+3X1+5X1X2-6X22+18X2 where Y is the output and X1…
Q: A firms production function is Q (L) = 15L2 - 0.1L3 = where output (Q) is a function of a single…
A: (i) Total Product=Output=15L2 - 0.1L3 FOC: Maximizing TP : Differentiating TP function wrt L and…
Q: If a firm's production function is given by Q = 700Le -0.02L, %3D find the value of L that maximizes…
A: The firm's production shows the maximum amount of output a firm can produce by using the different…
Q: For the cost function below, where C is the cost of producing x units of a product, find the…
A: Power Rule: d/dx (xa) = axa-1 where a is constant. And MC = C'(x)
Q: A firm has the production function f(x, y) = x³yº.3, where a>0.7. This firm has Select one: O a.…
A: Given Production function : f(x,y) = x^a × y^0.3 , where a>0.7. To check whether it has what…
Q: Assume the production function is given by: f(x1, x2) = (2x9.253.r5)³. What is the absolute value of…
A: A production function is a mathematical relationship between the physical output of a production…
Q: 6. A general version of the Cobb-Douglas production function can be written as f(#1,..,In) = '.…
A: The Technical Rate of Substitution (TRS) is the rate at which one input must decrease so that the…
Q: A firm produces output according to the production function: Q=F(K.L) = 4K - 8L a. How much output…
A: A firm will minimise its cost at a point where marginal rate of technical substitution is equal to…
Q: Determine the returns to scale for the following production functions. a) ? = K + 7L b) ? = KL3
A: Return to scale:- Returns to scale is a phrase that describes how proportionally fluctuations in…
Q: When production function of a firm is Q = 20K^0.5L^0.5 , price of capital is 5 per unit and price of…
A: Q = 20 K0.5 L0.5 EXPANSION PATH IS CALCULATED AS MPL/PRICE OF LABOUR = MPK/PRICE OF CAPITAL
Q: Consider production function f(L, K) = 10VLK and input prices w = 10,r = 90.
A:
Q: A Firms production function is given by Q=L?K +1/L when L 2 1 and K 2 1). Find out AP , MPL , MPx…
A:
Q: Given the production function Q = 0.5K² – 2KL + L². Find the marginal product of labor and cal.
A: Marginal productivity of labor measures the additional unit of output produced by employing an…
Q: Suppose a Cobb-Douglas Production function is given by the function: P(L, K) = 8L0.' K0.9 %3D…
A: The cost is the amount that is incurred for using the factors of production to produce goods and…
Q: Consider the production function q=√L+8K^(3). Starting from the input combination (3,6), does the…
A: Given information: Production function q=√L+8K3 Input combination 3,6 (L = 3 and K = 6)
Q: What is the parameter in the production function in the following equation? F(K,N) = K®N} a A. N O…
A: F(K,N) = KaN1-a
Q: In the production process, both the average product and marginal product of the variable input rise…
A: The average product is the average amount of output produced by a variable input. It is computed as…
Q: A rainfed wheat farmer has available Rs.200. What will be the slope of iso-outlay line when, price…
A: A firm minimizes its cost of producing a given level of output by producing at a point where the…
Q: Consider the following production functions and match them to the word that describes their returns…
A: When considering the production function and test their returns to scale. We multiply the production…
Q: The fixed overhead expense of a manufacturer of children’s toys is$400 per week, and other costs…
A: Dear student, you have asked multiple sub-part questions in a single post and have not mentioned…
Q: What is the cheapest way of producing 850 units of output if a firm operates with the production…
A: It is given that;
Q: Drive the input demand function for the production function q= Ka +ek. Moreover drive the profit…
A: Given Production function Q=K^a+e^k Here Q is output K=input 1 e= input 2
Q: The production function of a firm is x= A* l^a* k^(1-a-b)*e^b. l is labor, k is capital, e is…
A: Maximizing the profit function with respect to l, k and e above and setting it to zero we will get…
Q: Find out the maximum possible output for a firm with two units of L and 50 units of k when its…
A:
Q: Show that the r/ship between production function and cost function.
A: Production function demonstrates the output level that can be produced using different quantities of…
Step by step
Solved in 2 steps
- What is the difference between a fixed input and a variable input?Derive formulae for the marginal products of the three inputs in the produc- tion function Q = 40K03L0.3R04. %DSuppose the production function is Cobb-Douglas and f(x1;x2)=x11/2x23/2 Write an expression for the marginal product of x1. Does marginal product of x1 increase for small increases in x1, holding x2 fixed? Explain Does an increase in the amount of x2 lead to decrease the marginal product of x1? Explain What is the the technical rate of substitution between x2 and x1? What is the type of returns to scale of this production function? (Increasing, decreasing, constant)
- Suppose the production function is Cobb-Douglas and f(x1,x2)) = x11/2x3/221. Write an expression for the marginal product of x1.2. Does marginal product of x1 increase for small increases in x1, holding x2 fixed? Explain3. Does an increase in the amount of x2 lead to decrease the marginal product of x1? Explain4. What is the the technical rate of substitution between x2 and x1?5. What is the type of returns to scale of this production function? (Increasing, decreasing,constant)1. A firm can manufacture a product according to the production function Q = F(K,L) = K³/4L¹/4 a. Calculate the average product of labour, when the level of capital is fixed at 16 units and the firm uses 16 units of labour. How does the average product of labour change when the firm uses 81 units of labour? b. Find an expression for the marginal product of labour when the amount of capital is fixed at 16 units. Then, illustrate that the marginal product of labour depends on the amount of labour hired by calculating the marginal product of labour for 16 and 81 units of labour. c. Suppose capital is fixed at 16 units. If the firm can sell its output at a price of £100 per unit and can hire labour at £25 per unit, how many units of labour should the firm hire to maximise profits?1. The following production function is used to produce wheat, q, from capi- tal, K, and labour, L: q = f(K, L) = «³K/3 + B³L/3 a) Describe the role of a and B in this production function. b) Derive the slope of an isoquant for this production function and in- terpret your result. Draw the isoquant in (K L) space, labeling where appropriate. The drawing does not need to be exact, but the curvature needs to be approximately correct. Explain why under- standing the curvature is so important. | c) Does this production function follow the "Law of Diminishing Marginal Returns"? Show your work and explain your answer.
- : Suppose that the production functions be like as (A) i) Y = X15 X20.5 ii)Y= X10.5 + X20.5 Find MRTS of these functionsQ1 a) Given a production function depicting the response of paddy rice tofertilizer application,Y = 3X+ 9X2 - X3(i) Calculate the exact MPP and APP.(ii) At what level of fertilizer input(X) does MPP, APP and TPP reachtheir maximum values?(iii) At what level of fertilizer input will r = 0? And what is the valueof TPP at that level?(iv) If the farmer increases the amount of fertilizer in his riceproduction in his area of diminishing returns, explain whether ornot total production will increase or decrease.