Assuming a Cobb-Douglas production function with constant returns to scale then, as K rises with L and A constant, it will be the case that: the marginal product of labour will rise and the marginal product of capital will fall. Why???

Q: The production function at Giovanni pizza is Q = 1000 x min (L, 3K) Where Q = pizzas per hour, L…

A: Production function is a function which simply shows the relationship of output produced by various…

Q: Suppose the production function is q = 6L0.60K0.90. Determine the long-run capital- to-labor ratio…

A: At optimum where production is maximised, marginal rate of technical substitution equals price ratio…

Q: Consider the following production function: q = (KL)ª, where a > 0. Answer the following questions:…

A: Given  Production function: q=KLα where α>0             ............ (1)

Q: Margeʹs Hair Salon production function is Q = f(K, L) = K0.5L0.5 where K is the number of hair…

A: As given Production function is Q = K0.5L0.5 Return to scale of production function is determined by…

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: With the Cobb-Douglas production function Y=zK1/4nd374, if both capital and labour increase by 20%,…

A: Answer: Given, Production function: Y=zK14Nd34 Increase in both capital and labor = 20% Value of K…

Q: An industry can be characterized by the following production function: Q= 2.5L 60 C-40 (a) What is…

A: Q = 2.5 L .60 C .40

Q: How are increasing returns to scale for a long-run production function and a downward sloping…

A: The increasing returns to scale means that the output is rising in a larger fraction than the rise…

Q: Consider the C -Douglas production function q a. Find the RTS and show that it is decreasing in l.…

A: here we can determine the given equations as follow

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: onsider the following production function: Q = 2K + 6L where K represents Capital, L represents…

A: Production function shows the different combinations of inputs that a firm uses in order to produce…

Q: Which of the following production functions exhibits decreasing returns to scale? A) Q=K^1/2 L^1/2…

A: Returns to scale are used to describe how production scale changes when all the factors of…

Q: Consider the production function q = f(L, K) = ALªK®, where A, a, b are positive constants. For what…

A: The production function relays the information regarding the output level produced depending upon…

Q: Explain the three types of returns to scale with Cobb-Douglas production function.

A:

Q: Given that the production function Q=L^0.75 K^0.25, describe the type of returns to scale exhibited…

A: Given: Q=L0.75K0.25

Q: A production function is represented by P=f(L), where L is labour. As input L increases, the total…

A: Marginal product is the addition in total product when one more unit of variable factor is employed.…

Q: Which of the following production function exhibits Economies of Scale? Q = K/2 + L O Q = K? + L Q =…

A: A production function depicts the relationship between the inputs used and the output produced in a…

Q: • Consider a production function f(r1, 12) = min{r1, 12}: When r1 < r2, please calculate the…

A: the marginal product or marginal physical productivity of an input is the change in output resulting…

Q: For a linear production function what is the short-un production function given that capital is…

A: Given information: q=f(L,K) = 10L + 4K Where q is the quantity produced; L is labor; K is capital…

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 production function y =2( K0.3 L0.2 ) exhibits constant returns to scale.

A: Production function shows relationship between output produced and inputs used in the production.

Q: If an increase of an equal percentage in all factors of production increases output by the same…

A: The marginal product of labor (MPL) represents the effort put by the labor resource in the…

Q: Determine the returns to scale of this production function: F (x1, x2) = [xỉ + x]\/2 A. Constant…

A: If change in inputs changes output by an equal proportion, production function has constant returns…

Q: Given Q = AK" LP; Qo = 2,000, A = 100, a = 0.6, p = 0.8, w = 50, r = 80 A. Does this production…

A: The technical relationship b/w the quantities of physical inputs and quantities of products output…

Q: (1) f(L, K) = ALªK!-a (2) f(L, K) = (min {iL, jK})²

A: Returns to scale refers to how much output changes given a proportional change in all inputs- where…

Q: Does the production function 10 q = 1000L – K exhibit increasing, decreasing, or constant returns to…

A: Production function: The link between the number of productive inputs (such as labor and capital)…

Q: 1. Show that the two-input Cobb-Douglas production function used in this lecture has DRS, CRS or IRS…

A: As asked Q1 is solved below: To show that two input Cobb-Douglas production function has IRS, DRS…

Q: Given the linear production function: Log (Q) = Log (0.5) + Log (L) + Log (K) Where Q is the level…

A: Part a) Log (xy) = log (x) + log (y) Log (Q) = Log (0.5) + Log (L) + Log (K)  Log (Q) = log ( (0.5)(…

Q: Consider the production function Y = K1/2 N12 a. Compute output when K = 49 and N = 81 b. If both…

A: Plugging given values, Y = (49)1/2 x (81)1/2 Y = 7 x 9 Y = 63

Q: Given: Y = 20(L.5K.4N.1) L is labor K is capital N is land L = 100 K = 100 N = 100 Does this…

A: Given data. Y = 20(L.5K.4N.1

Q: Which of the following production functions exhibits constant return to scale?

A: The production function exhibits constant returns to scale when there is a proportionate change in…

Q: Question A: Determine the production function (TP) and the marginal production function (MP)…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: How would you determine that a two-input Cobb-Douglas production function has decreasing returns to…

A: Answer to the question is as follows :

Q: Please only answer d Consider the following Cobb-Douglas production function: Y = 10 L^0.4 K^0.4.…

A: Answer - Need to find- Effect on the total costs when wage increase from 20 to 30    Given wage Bill…

Q: The simple (and silly) production function q = K/2 L-/2 (where q is output produced, and K and L +…

A: a production function gives the technological relation between quantities of physical inputs and…

Q: What kind of returns to scale does this production function exhibit? f(z1, za) = z1(z2 - 8) for 21 >…

A: f(z1,z2) = z1(z2-8) z1&gt;0 z2&gt;8

Q: You are given the production function: Q(K,L)=10KαLβ Does the above function exhibit increasing,…

A: The since long run alludes to a time-frame where the production function is characterized based on…

Q: Suppose a firm's production function is given by: q = 2KL, where q is output per week and K and L…

A: For an isoquant, combinations will give the same level of output. So, substitute the given options…

Q: If x₁ = x₂ = 16, the marginal product of input 1 is two inputs is w₁ = 2 and ₂ = 1. When ₁ is…

A: Production function shows the functional relationship between the output and inputs.  The production…

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: Show that the following production function has constant returns to scale. It can be through a…

A: Given  Production function  y=5x11/2x21/2 We have to show that production function has constant…

Q: How would you determine that a two-input Cobb-Douglas production function has decreasing returns to…

A: Answer to the question is as follows :

Q: Consider a firm with the following production function where A is a constant that is more than zero:…

A: The firms, and businesses in the economies tend to operate with the motive of earning the maximum…

Q: uming a Cobb-Douglas production function with constant returns to scale, then, as L rises with K and…

A: Cobb-Douglas production function: It is one of the forms of production function which is widely used…

Q: The Cobb-Douglas production function is given by Y - AK" La, Here a is a given parameter that…

A: (1-a) Y/K; increasing marginal decreasing returns to scale capital per worker.

Q: QUESTION 8 Consider the production function F(A,K) = A*In(K), where A = 3 is a constant. What is the…

A:

Q: Determine whether each of the production functions below displays constant, increasing, or…

A: Answer in step 2.