1. Consider the production functions for good X and good Y: X = K? +L ; Y = 20/KL A. Show and discuss which production function(s) exhibit(s) diminishing marginal productivity of labor and capital. (5 pts)
Q: True or false. In general, production can display diminishing returns in all variables but still dis...
A: Diminishing returns are defined as a decrease in output due to an increase in the input after an opt...
Q: creased by 4 billion, and the marginal propensity to consume on Troll Island is equal to 0.7. What i...
A:
Q: Insurance mandates do little to combat the problem of adverse selection. True False
A: Insurance is a way to manage your risk. When you buy insurance, you purchase protection against unex...
Q: Ross Inc. is considering two equipment alternatives to increase its production volume. The respectiv...
A: Given: Interest Rate=12%
Q: The quantity equation of money can be written as: Money Supply (M) x Velocity (V) GDP Deflator (P) x...
A: Quantity theory of money is an equation that shows relationship between money supply, velocity, Pric...
Q: For equipment that has a first cost of $17,500, the estimated operating costs and year-end salvage v...
A: Given; First cost of equipment= $17500 Year Operating cost Salvage value 1 -1000 7000 2 -1200...
Q: If a Japanese tourist drinks German beer in a hotel in New York City, how will the U.S. GDP be af...
A: GDP quantifies the monetary worth of final products and services produced in a nation over a specifi...
Q: 1. Suppose that the economy can be described by a closed-economy IS-LM framework and that is in a re...
A: PLEASE FIND THE ANSWER BELOW.
Q: QDX= -2PX + 0,5PY - 0,2PZ + 1,2I determine the relationship between two products X and Y
A: Given; Demand Function; QDX=-2PX+0.5PY-0.2PZ+12I where:- PX=Price of good XPY=Price of good YPZ=Pric...
Q: Half of all potential customers would pay $16 for your product but half would only pay $10 but you c...
A: Half of all potential customers would pay $16 for your product but half would only pay $10 but you c...
Q: Question:What market structure has a TR that is equal to the 45 degree line? -pure -monopoly -mon...
A: Perfect competition is the market structure where there are many sellers in the market with each sel...
Q: + if the demand will increase and - if the demand will decrease _______________1. Pablo lost his job...
A: Demand and supply curves exist in labour markets, just as they do in products markets. In labour mar...
Q: Pizza Shanghai, a boutique pizza chain that positions itself as purveyor of 'adventurous' pizzas hir...
A: As the question asked to solve only (b), only (b) is solved. Utility gives the levels of satisfactio...
Q: new, economic estimates for the two best alternatives are shown in the following table. MARR is at 1...
A: RORAI - Rate of return on additional investment. According to question, it is given that Capital o...
Q: Do you believe that international economic sanctions are effective ? Explain why.
A: International Sanction:- International sanctions can be explained as choices made, politically and e...
Q: Fil in the columes with Masasi's free-throw percentage for each garme and his overal free-throw aver...
A: Game Game Result (G) Total (T) Game Free throw percentage (G x 100) Avg Free Throw percentage (T ...
Q: What is the role of strategic management changing in the context of current economic processes and t...
A: There is a significant role of strategic management in an economy. Several local governments and com...
Q: Out of 8,000 graduates in a town 800 are females, out of 1,600 graduate employees 120 are females. U...
A:
Q: If depreciation rate = .1*(capacity utilization rate)^2 and R/P = .05 What is the equation for the ...
A: The real rate of return on capital is calculated on the basis of the capacity utilization rate. It m...
Q: Carefully explain the major differences between the Keynes’ and Fisher’s models of consumption.
A: The consumption function, often known as the Keynesian consumption function, is an economic formula ...
Q: Production Point Capital (K) Labor (L) Output (Q) A 1 1 2 B 2 2 C 1 3 D 2 4 E 1 5 F 2 6 G...
A: Returns to scale can be classified into three categories; 1- Increasing returns to scale (IRS) 2- De...
Q: Consider a monopoly with the following marginal cost and demand curves: MC=2Q+200,p=2,600−2Q a. Wha...
A:
Q: Parrot Co. operates an online store where it sells the products of Biscuit Co. Under the contract be...
A: A principal-agent relationship occurs when one entity officially chooses another to act on its behal...
Q: Chris and Dana live in an exchange economy with two goods: good Q and good R. Chris starts off with ...
A: This question is based on the Cobb-Douglas utility function.
Q: 3. The bicycle industry consists of seven firms. Firms 1, 2, 3, each has 20% of the market share, an...
A: Number of firms= 7 firms Market Share of 1,2, and 3 firm= 20% Market share of 4, 5, 6, and 7= 10% a)...
Q: Required information The Briggs and Stratton Commercial Division cesigns and manufacturers small eng...
A: We will use the annual equivalent cost method to find the salvage value for the push system that wil...
Q: What other factors besides interest rates will cause the investment demand curve to shift?
A: Investment demand has an inverse relationship with the interest rate. There are other factors also t...
Q: Assume Morocco is currently operating with an unemployment rate six percent above its natural rate o...
A: Given information Unemployment rate is 6% higher than natural unemployment. That means economy is wo...
Q: Why the gains from trade are less ?
A: When talking about gains from trade, it is generally based on international trade as countries make ...
Q: Marginal Profit Cost Total Cost Total Marginal Revenue Revenue $15 $19 $15 $20 2 $15 $23 3 $15 $27 4...
A: Here, the given table provides information about the quantity, price and total cost of a specific fi...
Q: what type of unemployment is when a person has been looki for a job about a year already
A: There are different types of unemployment that occur due to differences in the cause of being unempl...
Q: Suppose the market is supplied by an Oligopoly with 2 firms, with the following demand curve and tot...
A: Given information Q=150-2P C=cq+0.25q2 There are 2 firms in the market
Q: Consider the payoff matrix of a game against nature. S2 -2 S3 S4 S5 S6 di dz dz d4 4 -5 -1 2 -2 1 -6...
A: Given information Pay off matrix is given
Q: US Mkt. for single family homes. The changes in the price lumber affects supply/demand of single fam...
A: Market demand for a commodity can change as a result of a change in consumers income, their tastes a...
Q: A pole for an electric distribution cost P10k and is expected to last for 7 years before replacement...
A: Interest rate is the rate of interest that defines the saving function. It means as the interest rat...
Q: If $50,000 is deposited in a bank operating in a banking system that has a reserve requirement of 10...
A: Here, given information is: Deposited money: $50,000 Reserve requirements: 10% To find: total mone...
Q: Audra runs a movie memorabilia website. Last year, she earned $35,000 in revenue and had explicit co...
A: Economic profit is the revenue that is left after paying explicit and implicit cost of a business.
Q: given Q-L'V2 Q -LV2 k%a as funchion of a C * - LTCmin w,and r Some for Qo and find the long run tota...
A: Long run cost is minimized where MRTS becomes equals to input price ratio. Which means two rates are...
Q: How is trade opportunity created from Dubai’s resources and capabilities?
A: Maintaining trade partnerships for oil export, remaining current on tourism trends, establishing new...
Q: Which of the following statements is true about current and capital and financial acocunts? O A. The...
A: Balance of payments shows the payments received from countries and all payments made to other countr...
Q: Mr. Mabane, a south african citizen, purchases the shares of a public company listed on the london s...
A: The record of the relative multitude of exercises that are started in a homegrown nation compared to...
Q: Determine the accumulated amount that would be due at the end of 18 months for Php15,000 borrowed at...
A: Simple interest is a basically a quick and easy method to calculate how much interest a loan will c...
Q: Suppose there are three buyers of candy in a market: Tex, Dex, and Rex. The market demand and the in...
A: Dear Student as you have posted multiple sub-parts in a question but according to bartleby policies ...
Q: 6. Countries have different regulations on what may or may not be imported and which tariff applies ...
A: 6. International trade: - it means the buying and selling of goods and services with other countrie...
Q: A Machine costing P500,000 has a life expectancy of 5 years. Using Sum of the year’s digits method, ...
A: given Machine cost = 500000 P life of asset = 5 years First year depreciation = 100000 P Method = ...
Q: In interval estimation of a population parameter, increasing the sample size would a reduce the marg...
A: The formula for calculating interval for the population parameter C.I=point estimate±margin of erro...
Q: 3. If the AD shortfall is $800 billion and the MPC is 0.8, a) How large is the desired fiscal stimul...
A: Fiscal stimulus refers to the government's use of tax cuts or increased government spending to make ...
Q: Globalization and The Asia Pacific and South Asia Question: What caused the Asian financial crisis...
A: The Asian Financial Crisis in the mid-1980s and mid-1990s, as well as the collapse in land and energ...
Q: In a sample of 1,000 people in London 540 are rice eaters and the London rest are wheat eaters. Can ...
A:
Q: ubject: Microeconomics Question:Which is/are perfectly elastic: a. TVC b. TR c. AVC d. MR e. T...
A: Answer is given below
Step by step
Solved in 3 steps
- production-function-Q=100k^0.5L^0.5.During the last production of tyres .The inputs were 100 and 25 for capital and labor respectively. What is the marginal product of capital and marginal product of labor based on stated rates.Question Establish input demand function in case of multiple variable inputs3. Consider the following production functions along with their corresponding marginal product of labor function. I. Q = 15KL II. Q = 2K0.4L0.6 III. Q = 8K + L. a. In each case, what happens to the marginal product of labor as the firm uses more labor? b. In each case, what happens to the marginal product of labor as the firm uses more capital?
- Constrained Optimization: Cobb-Douglas Production Function:1. Based from the factor shares of the two inputs, what will happen to the number of output if it the firm decides to triple both the amount of labor and capital?2. State the optimization problem of the firm.3. Solve for the formulas of the Marginal Product of Labor (MPL), and Marginal product ofCapital (MPK)4. Using your knowledge of the tangency condition in Producer’s theory, find the combinationof K and L that the firm should use to produce the maximum possible output. Do not solvethe problem using the Lagrangian method.Note: The tangency conditions just states that the slope of the production function must beequal to the slope of the isocost function.5. What is the maximum possible output that the firm could earn given the constraint it faces?A commercial fisherman notices the following relationship between hours spent fishing and the quantity of fish caught: Hours Fish (pounds) 0 0 1 10 2 18 3 24 4 28 5 30 What is the marginal product of the 4th hour spent fishing? Question 8 options: 8 4 6 27 which of the following are examples of fixed-proportions production functions?
- 1.Suppose a chair manufacturer is producing in the short run (with its existing plant andequipment). The manufacturer has observed the following levels of production correspondingto different numbers of workers:Number of Workers Number ofChairs 1 10 2 18 3 24 4 28 5 30 6 28 7 25a. Calculate the marginal and average product of labor for this production function.b. Does this production function exhibit diminishing returns to labor? Explain.c. Explain intuitively what might cause the marginal product of labor to becomenegative.1. Explain production function and illustrate examples. 2. Explain marginal product of input in a production process. 3. Illustrate example of getting the slope of the production function curve.Production function Q=100K^0.5L^0.5 .During the last production of Tyres the following inputs of 100 and 25 for capital and labor were used.What is the marginal product of capital and marginal product of labor based on the stated inputs.
- 4) A firm faces a production function of twittle-twaps: Q(K,Lp,Ln) = 5*K(2/5)*LP(1/3)*LN(1/5) per hour, where capital (K), production labor (LP), and non-production labor (LN) are input factors used in production. The firm operates in a competitive market, where they are a price taker within the capital & labor markets and its own price (r = 40, wP = 25, wN = 50, P = 20). Answer the following.a. If capital and non-production labor are fixed at K = 32 and LN = 243, what is the general form MPLP and graph Q wrt to LP changing [you do not need to solve for LP yet].b. Is this production function decreasing, constant, or increasing returns to scale and why.c. Given the wage of production workers and the price of twittle-twaps, what is the optimal number of LP to employ to maximize profits and the quantity produced (VMPLP = wP).d. If the firm can control both K and LP, what does the Isoquant curve look like and its slope in relative terms if LN is fixed at 243 units [IQ slope =…4) A firm faces a production function of twittle-twaps: Q(K,Lp,Ln) = 5*K(2/5)*LP(1/3)*LN(1/5) per hour, where capital (K), production labor (LP), and non-production labor (LN) are input factors used in production. The firm operates in a competitive market, where they are a price taker within the capital & labor markets and its own price (r = 40, wP = 25, wN = 50, P = 20). Answer the following.a. If capital and non-production labor are fixed at K = 32 and LN = 243, what is the general form MPLP and graph Q wrt to LP changing [you do not need to solve for LP yet].b. Is this production function decreasing, constant, or increasing returns to scale and why.c. Given the wage of production workers and the price of twittle-twaps, what is the optimal number of LP to employ to maximize profits and the quantity produced (VMPLP = wP).d. If the firm can control both K and LP, what does the Isoquant curve look like and its slope in relative terms if LN is fixed at 243 units [IQ slope =…Explain the properties of production function? Given a production function of this nature AX1a X2b=Y, determine the Marginal Rate of Technical Substitution.
