Questions 4 and 5 answers.. 4. Assume that the PF for wine is: Qwine= T0.5* log(Lwine) and for laptops is: Qiaptoplog(K) * log(Llaptop) where K is capital. What is the opportunity cost of producing onemore unit of wine?log(K)*Lwineа)то.5.LlaptopT0.5 *Llaptop_b)log(K)*LwineT0.5+log(Llaptop).c)log(K)+Lwineто5-Llaptopd)log(K)*log(Lwine)5. Use the production function as given in question 4 for laptops. Assume that K is 10,Liaptop is 100 and price per laptop is $1000. What is the wage?a) $0.5b) $2c) $10d) $20

Question4: opportunity cost: dQwinedLwinedQlaptopdLLaptp = T0.5Lwinelog(K)Llaptop = T0.5*…

4. Assume that the PF for wine is: Qwine = T0.5 * log(Lwine) and for laptops is: Qiaptop log(K) * log(Llaptop) where K is capital. What is the opportunity cost of producing one more unit of wine? log(K)*Lwine a) T0.5»Llaptop T0.5 „Llaptop_ b) log(K)•Lwine T0.5,log(Llaptop) c) log(K)•Lwine T0.5»Llaptop d) log(K)•log(Lwine) 5. Use the production function as given in question 4 for laptops. Assume that K is 10, Liaptop is 100 and price per laptop is $1000. What is the wage? a) $0.5

4. Assume that the PF for wine is: Qwine = T0.5 * log(Lwine) and for laptops is: Qiaptop log(K) * log(Llaptop) where K is capital. What is the opportunity cost of producing one more unit of wine? log(K)*Lwine a) T0.5»Llaptop T0.5 „Llaptop_ b) log(K)•Lwine T0.5,log(Llaptop) c) log(K)•Lwine T0.5»Llaptop d) log(K)•log(Lwine) 5. Use the production function as given in question 4 for laptops. Assume that K is 10, Liaptop is 100 and price per laptop is $1000. What is the wage? a) $0.5

ECON MACRO

5th Edition

ISBN:9781337000529

Author:William A. McEachern

Publisher:William A. McEachern

Chapter8: Productivity And Growth

Section: Chapter Questions

Problem 1.2P

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