A manufacturer's production is modelled by the function f(x, y ) = 100x 34 y 14 where x у represents the units of labour and y represents the units of capital. Each labour unit costs $ 200 and each capital unit costs $ 250. The total expenses for labour and capital must be $ 50, 000. Find the maximum production level.

What is the difference between a fixed input and a variable input?

dien There are two factors in a production function y = x 113 x₂¹1³. The market price of each unit ofy is p=3, and the factor prices are w₁=1 and W₂=2 for x₁ and X₂ respectively. variable (a). Calculate your cost function as a function of y if X, and x₂ are both barible factors. (b). Now derive the functions of average and marginal cost and plot them against quantity (C). Solve for your optional output of y. Calculate the ratio of two factors (X₁/X₂) (d). In the short run the fixed factor is set at X₂=1. What is the new optimal output level now?

(2 ex Production function is flu, X2)=min (x,, 2-x) Dwhat are the conditional factor demand of y = 10 OVA the firm faces w, and w₂ as input prices, what is the cost function?