Complete the table above Solve the short run production function every of the above table.

Q: Which of the following describes increasing returns to scale?     A. Long Run Average Total Costs…

A: The total cost of production refers to the monetary value of inputs used in the production of goods…

Q: Economies to scale refer to Select one: a. the point at which marginal cost equals average cost.…

A: "Long-run average cost curve is used to determine the scale of production process."

Q: Given the average-cost function AC=Q^2-4Q+174, find the MC function. Is the given function more…

A: Average Cost (AC) function is given as:

Q: Please define the long cost curve and the short run cost curve in your own words but not more than…

A:

Q: Consider the following production function: Q 3K + 6L where K represents Capital, L represents…

A: Since you have posted multiple question, as per answering guideline, we will solve first question…

Q: Which of the following are short-run adjustments, and which are long-run adjustments? a. Wendy's…

A: ANSWER     The potential challenge for any firm is how quickly it adjusts to a change in the market.…

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: If we assume that labor is the only variable input, the slope of the short run total product curve

A: Marginal Product of labour is defined as the increase in total production of the company when one…

Q: which one is true If a firm uses 10 units of labour and 20 units of capital to produce 10 units of…

A: The marginal product of labor refers to the increase in the total output by the addition of one more…

Q: Given the following production function, complete the missing values. Labour Quantity of chicken per…

A: Total Production refers that total production by using the given factor and the average production…

Q: Which of the following scenarios does not illustrate a long-run adjustment? BMW builds a new…

A: The short run is a period when at least one factor of production is fixed. These factors include…

Q: Modified True or False: State whether each statement is true or false. If the statement is false,…

A: The diminishing returns occurs in the short run. All factor of production are not variable in the…

Q: Include correctly labeled diagrams, if useful or required, in explaining your answers. A correctly…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Q47 In the long run, the law of diminishing marginal returns... a. Sometimes holds, depending on…

A: Option E Law of diminishing marginal returns shows that when an additional unit of production is…

Q: When the production function exhibits _________ returns to scale, the long-run average cost curve…

A: Economies of scale:   The economies of scale are the cost-benefit that the firm achieves by…

Q: Include correctly labeled diagrams, if useful or required, in explaining your answers. A correctly…

A: We are going to use Marginal returns to a factor and Marginal Cost relationship to answer this…

Q: Q45 When a factory is operating at the level of output where its short-run average total cost is at…

A: We know that Short-run average expense (SRATC/SRAC) approaches average fixed expenses in addition to…

Q: rising with output increase Long Run Average Total Costs are decreasing with output increase  Long…

A: Increasing returns to scale occurs when the output tends to increase in a greater proportion as…

Q: Show whether the following production functions exhibit decreasing returns to scale (DRS), constant…

A: Production function shows the output produced in an economy by using the available factors of…

Q: Answer all the following seven parts. (a) Show the conditions for a Cobb-Douglas production function…

A: The term "long-run" refers to a period during which the production function is determined solely by…

Q: Explain why an increase in the price of an input must typically cause an increase in the long-run…

A: As we know in long run , firms can increase both factors simultaneously and due to this firm…

Q: If a firm has economies of scale, it must have increasing returns to scale. True or false? Explain.

A: The return to scale states the change in the output with the proportionate increase of all the…

Q: In the given figure, short-run cost curves are depicted. What role does the graph's Curve Y…

A: "Cost curves in economics represents a graph of the costs involved in the production process as a…

Q: Explain the following statement by using a graphical analysis: “Shape of the short-run cost curves…

A: The shape of the short-run total cost (TC) curve is cubic and that of the average cost (AC) curve is…

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: A production function for a good Q uses inputs of labor (L) and capital (K) and takes the form Q=LK.…

A: Cost  The number of goods and services necessary to produce or manufacture is referred to as the…

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: Compute the long-run costs in the following table. The price per unit of capital is $50 and per unit…

A: Given: Price per unit of capital=$50 Price per unit of labor=$30 The durable goods that are being…

Q: What is the  Short run and long run period in the production function of the economics

A: In simple words we can say that the Short run period in the production function of the economics…

Q: Solve for and graph this firm’s isoquant at q = 10. Please label three points along this isoquant…

A: Given q=x113x223            ...........  (1)

Q: . If a firm has economies of scale, it must have increasing returns to scale. True or false? EXPLAIN…

A: Economies of scale provides cost advantage to the firm.Firm is able to lower average cost through…

Q: Is it true that in a short-run production process, the marginal cost curve eventually slopes upward…

A: No, It's not valid because the MC curve is usually upward-sloping, and there exists a decrease in…

Q: Which of the following best describes the isoquants of the production function: q=0.5L+0.3K a.…

A: OPTION B - Linear and Downward Sloping q=0.5L+0.3K  Here, labor and capital are perfect substitutes.

Q: Suppose the short run production function is q=10*

A: Given the production function, q = 10*L Wage rate = $10

Q: Discuss the main feature behind the long run average cost curve in terms of usage of input.

A: In the long run , all factors are variable and nothing is fixed.The long-run average cost curve…

Q: Q.2 - a) Explain the five fundamental questions that economics attempts to answer. b) What is the…

A: "Since you have asked a question with multiple sub-parts, we will solve the first three sub-parts…

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: Determine whether the following statements are TRUE or FALSE. Explain your answer using graphs or…

A: Answer c) A constant return to scale is when an increase in input results in a proportional increase…

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: the envelope curve be tangential to the bottom of each of the short-run average cost curves? Explain…

A: In Economics, qualification is frequently made between the short-run and long-run. In the short-run…

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: Explain Linearly Homogeneous production function with the numerical example.

A:

Q: Distinguish between economies of scale and constant returns to scale. What shape will the long-run…

A: Economies of scale – A downward sloping LARC (Long run average cost curve)The constant return to…

Q: Explain how a change in the price of one input factor changes a firm’s long-run expansion path?

A: The firms, and businesses are the entities who are considered to be of utmost importance for the…

Q: The main difference between the short run and the long run is that  firms earn zero profits in the…

A: There are two types of factor of production which are fixed and variable factor of production. The…

Laffer Curve Analysis

In terms of economics, the Laffer curve was popular among those economists who were or who belonged to the supply side of the economic peripheral.  This concept was popularized by the famous supply-side economist known as Arthur Laffer. This curve illustrated the relationship between the tax rates and government revenue. It is already known that the tax which the public or individuals residing in an economy bear is the revenue or income of the government with the help of which the government does all the necessary works in the society, which is beneficial for the economy.