4. Jake's Free Runoff Bottled Water Company Produces with the Long Run Production Function Q=K¹/3L2/3 Currently K = 4 and L=4. Suppose Jake doubles inputs to K=8 and L=8, as a result of this increase in input use a. Jake realizes constant returns to scale. b. Jake realizes increasing returns to scale c. Jake suffers decreasing returns to scale d. Jake realizes he is operating at minimum efficient scale

Lesson 7- Production Question 8

6. The production function at Weedy's Grainery is Q=L¹/4K¹/2. If Weedy increases the scale of his operation from 16 units of labor and 1 unit of capital to 81 units of labor and 4 units of capital, how much does output expand? Does the firm exhibit increasing, decreasing or constant returns to scale? a. Output increases from Q=4 to Q= 36. The firm exhibits increasing returns to scale. b. Output increases from Q=4 to Q= 36. The firm exhibits diminishing returns to scale. c. Output increases from Q=2 to Q= 6. This firm exhibits increasing returns to scale. d. Output increases from Q=2 to Q= 6. This firm exhibits diminishing returns to scale.

Let's assume that in Ventura, a toaster company was manufacturing 3,000 units of toasters at the total cost of $141,000. Currently, it is manufacturing 5,000 units and the total cost is $200,000. This toaster company is experiencing Group of answer choices economies of scale none of the other answers diseconomies of scale constant returns to scale

If a firm experiences economies of scale over all relevantlevels of output, its long-run average total cost curve will: O slope downward O slope upward. be vertical O be horizontal.

provide detailed and straightforward solution with steps, show proper calculations please.

QUESTION 12 A firm has the production function f(x, y) = 20x3/5 2/5. The slope of the firm's isoquant at the point (x, y) = (50, 70) is (pick the closest one) a.-1.50. O b.-2.10. c.-0.71. d.-0.36. e.-0.67.