For a short run production function q=10lnL if L=5 and wage 3, more workers will be hired if the price at which the output can be sold is more than

Q: In short-run production with two inputs where land is a fixed input labor is a variable input, once…

A: Marginal product of labor (MPL) is defined as the change in the product of labors by employing one…

Q: Suppose a firm uses two inputs: capital, K, and labour, L. The profit function is π(K, L, p, w, r)…

A: To find the rate of change in the maximum profit we differentiate the maximum profit function with…

Q: Consider the following production function: Q = 2K + 5L. The price of capital is €10 per unit and…

A: Production function: Q = 2K + 5L The above production function states that inputs K and L are…

Q: Suppose the hourly wage is $20 and the price of each unit of capital is $2. The price of output is…

A: The firm maximizes profit by hiring the number of workers at a point where MPE = w/p

Q: If a person starts their own business, one implicit cost is the loss of a steady salary from leaving…

A: This statement is True Implicit cost is the opportunity cost of the foregone alternative which is…

Q: For a short run production function q=10lnL if L=2 the extra labor needed to increase output by one…

A: The production function is distinctively characterized inside the short run and over the lengthy…

Q: If a firm uses labor to produce output, the firm’s production function depicts the relationship…

A: Answer- the number of workers and quantity of output.

Q: If the short run production function is given by q=(1/10)lnL  and the price at which the good is…

A: The production function is given as  q=(1/10)lnL

Q: For the production function Q = 0.7L + K, returns to scale: a. Can be increasing, decreasing, or…

A: A production function q=f(L,K) is in constant return to scale if q'=f(λL,λK)=λf(L,K)=λq

Q: A short run production function of a competitive firm is given by Y=6L^(2/3) where Y represents the…

A: Given, Y = 6 L23 P = 3 W = 6

Q: Now suppose that the firm's capital input is fixed at K = K 12. Solve the firm's short-run cost…

A: Given perfect complement production function

Q: Given the production function for labor and capital: Q = L^½(K^½), and q = 100. If the firm wants…

A: Production function:- Production function can be defined as an economic equation that represents the…

Q: A firm has a production function of Q = KL + L, where MPL = K + 1 and MPK = L. The wage rate (W) is…

A: A production function shows the relationship between the factors of production and the quantity…

Q: A firm uses labor (L) and capital (K) to produce rocking chairs (Q) with the following production…

A: Short-run: - it is a short time period in which some factors of production are variable and some are…

Q: a firm has the production function Q=min{2L,K}, find the cost function in the long run if wage is $2…

A: The provided production function is: Q=min{2L,K}

Q: Suppose the firm is hiring labor and capital and that the ratio of marginal products of the two…

A: Marginal product: It refers to the input, i.e. labor which is defined as an extra output that…

Q: Suppose that a firm's production function is given by Q = KL. If capital is fixed at 1 unit in the…

A: The labor market is the market that is determined by employment and wages. The labor demand curve…

Q: Suppose the production function for high quality brandy is given by : Q = √KL Where q is the output…

A: Given : Q = 10 √L  L = Q 2/100 Part a) Cost function : C = Rk + wl  K = 100 , R = 10 and w = 5  C =…

Q: The robot bar below leads to:     A. Increases in total output, but with temporary job losses for…

A: The quantity of output produced by a firm depends on the factors of production used, availability of…

Q: A firm uses labor (L) and capital (K) to produce rocking chairs (Q) with the following production…

A: In the short run capital is fixed and cannot be changed.

Q: True or False? This marginal cost function is the derivative of the production function.

A: We have, Cw1,w2,y=w113+w2133y2 The marginal cost  MC = Cyw,y It means the C(w1,w2,y) function is…

Q: A widget manufacturer has a production function of the form q = L? K² . If the wage rate (w) is $4…

A: Since you have posted multiple parts questions, we will solve the first three parts for you. If you…

Q: Suppose a firm’s conditional factor demand functions (the inputs needed to produce q at minimum…

A: Given, A firm’s conditional factor demand functions for labor is given below: L = L(w, q, r) = 4rq…

Q: Consider a firm using the typical 3- dimensional technology in the short-run with fixed capital. If…

A: TRUE If the Marginal product of labor (MPL) is equal to the real wage, then the firms must be…

Q: Consider the following production function, Q = KL where Q represents output, K represents units of…

A: Production function:  Q = KL Q = output K = units of capital L = units of labour Marginal…

Q: Which of the following is incorrect? As we take the partial derivative of the long-run cots function…

A: Long Run Cost is the total expenditure incurred in the production process for the production of…

Q: A firm faces the production function: q=10L^0.32 K^0.56  (a) What kind of returns to scale does…

A:

Q: Suppose that the production function takes on the following form: Q = E$K} || If Capital is equal to…

A: Given information Production function Q=E1/3K1/3 E is labor  K is capital Capital is given = 64…

Q: which of the following statements is true? A) The MP of labor is always negative at short run B)…

A: The marginal product of labor (or MPL) refers to a company's increase in total production when one…

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: Which of the following represents the optimal combination of Capital and Labor under the goal of…

A: The marginal rate of technical substitution is the rate at which one factor must decrease when an…

Q: Using Techniques Units of Variable Inputs Produce 1 unit of output K L 12 2 units of output A 14 12…

A: AVC the general variable value per unit of production is that the average variable value (AVC).…

Q: What is correct about the relation between the production function and costs?   Question 10…

A: The correct answer is given in the second step.

Q: firm has the production function q=L2K The wage rate is w=55 and the rental rate is r=44. In the…

A: Production function, in financial aspects, condition that communicates the connection between the…

Q: Consider a short run production function   q=cL+k   where the value for c is 4, using L units of…

A: Returns to scale exhibits increase in proportionate output when there is change in all variable…

Q: c) Give a formal definition of increasing, decreasing, and constant returns to sale, and determine…

A: Increasing Returns to Scale Increasing our inputs by m increases our output by more than m. Constant…

Q: A competitive firm produces output using three fixed inputs and one variable input. The firm’s…

A: A competitive firm minimizes cost by employing the number of input where its marginal product is…

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

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

Q: Suppose that a firm has a short-run cost function C(q) = q2 +1. Part a Find the short-run supply…

A: In a market, a firm’s cost function can provide information about different types of costs such as…

Q: A short run production function of a competitive firm is given by Y=6L^(2/3) where Y represents the…

A: The production function is defined as the express the relationship between the productive factors…

Q: In each blank type increasing, decreasing or constant to describe the returns to scale of the given…

A: Production function is said to have constant returns to scale when increasing the inputs by some…

Q: Maria's Umbrellas has a production function given by Q = L0.5K0.5. The wage (W) is $80 per day and…

A: The link between the quantity of productive inputs (such as labour and capital) used and the amount…

Q: Which situation below describes the increasing returns stage of the production function? a. Hiring…

A: Increasing returns to scale is a situation when the fixed factors are abundant compared to the…

Q: Calculate the factor demand function Given the product price (P) is 6 and the price of factor 1 (w1)…

A: Given =  y= f(x1,x2)=x11/3x21/3 Amount of x2 = 216 in short run

Q: Suppose a firm’s production function is ? = ?2?. a) Determine the labor and capital demand…

A: While delivering labour and products, organizations require labour and capital as inputs to their…

Q: Given the production function Q(K,L) = 96K^0.3L^0.7, find the MPK (i.e. Marginal Product of Capital)…

A: MPL is the extra output generated per additional dollar or rupees spent on labour MPK is the…