rease in average

Q: a cost but accountants would not? O the interest income given up by the firm's owner because the…

A: For the most part, implicit expenses should be assessed and are not straightforwardly quantifiable,…

Q: we have assumed tha the production function simultaneously has constant returns to scale and…

A: The Constant returns to scale means the long run,keep adding number of input,and production is…

Q: The per-unit cist of an item is its average total cost=(=total cost/quantity). Suppose that a new…

A: a.)Total cost:Total cost can be calculated as follows:

Q: 2-lf you have the following production function Q=f( L,K), answer the following: 1. Is this function…

A: Given: Q=f(L,K)

Q: what is the main difference between average physical and marginal physical product?  describe the…

A: Q) what is the main difference between average physical and marginal physical product? APP means the…

Q: Explain the expansion path when it is an increasing return to scale using graph and numbers. What…

A: To explain the expansion using the increasing returns to sale shows that by combining capital and…

Q: Cost schedule Labor Output (units per day) Total variable costs Total costs (workers) (dollars)…

A: Given:  Cost schedule is given, where labor, output, total variable cost and total costs are…

Q: Define returns to scale and it's all aspects.

A: Returns to scale Returns to scale refers to the proportionality of changes in output when all inputs…

Q: Production Total cost 80 1 100 2 115 3 140 4 170 210 Assume that these are the costs of production

A: In perfectly competitive market, firms produce identical goods. Firms do not have any control over…

Q: In Exhibit 7-15, diseconomies of scale are shown in the range of O a. 500 to 1,000 units per week.…

A: Diseconomies of scale surface when a firm or company increases so extensively that the costs per…

Q: a) The production function q = 9KO.8LO.1 exhibi [ increasing returns to scale, constant return to…

A: Increasing returns to scale occurs when the output increases by a larger proportion than the…

Q: apital equipment per worker ($ thousands) g statements are correct? e function is the marginal…

A: *Answer:  Correct options are a) and b) °The marginal product of capital is the additional output…

Q: A Closer Look in the Economies of Scale   Businesses wanted to reduce their cost to the minimum…

A: Companies benefit from economies of scale when their production gets more efficient. Economies of…

Q: Units of fixed input K Labor Hours (L) Output (Q) TFC TVC TC AFC AVC ATC MC 3 0 0 90 0…

A: A firm is an entity that plays the role of a supply-side participant in the market. A firm…

Q: "returns to scale"

A: Law of variable production states that if we keep one factor fixed and keep increasing the other,…

Q: Construct Len’s total variable cost and total cost schedules. What does the difference between total…

A: ANS Len’s body board factory pays $60 a day for equipment this is the fixed cost and it pays $200 a…

Q: How is the difference between average total cost and average variable cost impacted by an increase…

A: The total cost of a firm is the sum of the fixed cost and variable cost. Total cost increase with…

Q: Economics Long run average cost is increasing in economies of scale? 1) True 2) False

A: There are two type of scale in business or firm , economies and diseconomies of scale here we can…

Q: Units of fixed input K Labor Hours (L) Output (Q) TFC TVC TC AFC AVC ATC MC 3 0 0 90 0…

A: In a market, producers have to face various constraints such as cost minimizing or…

Q: A firm has economies of scale, it must have increasing returns to scale. Explain?

A: Economies of scale are cost advantages experienced by firms when production becomes efficient.…

Q: Does the production function 50 q = 1000L - exhibit increasing, decreasing, or constant returns to…

A: Production function refers to a functional relationship between input and output.

Q: il to his long run average cost of production ter than his long run average cost of production than…

A: Economies of scaleLong-run ATC falls as yield increments. Diseconomies of scale Long-run ATC ascends…

Q: which are two (2) sources of internal economies of scale for a business organization, please…

A: A microeconomic concept that relates to elements that lower production costs while increasing output…

Q: What is the impartance of eatimating the aver age Cost, Tatal Cast . average Fixed Cast, tatal…

A: The firms, and businesses are the entities which are considered to be important contributors to the…

Q: Answer the following Questions. Include referencing where additional sources have been used a. Why…

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

Q: 1. Relation of A and T curves *3* As the level of production increases in the short-run, the Average…

A: As total fixed cost remains constant, the average fixed cost which is  TFC/Q keeps on decreasing…

Q: b) Discuss and explain the concept of positive return to scale showing it relationship with the…

A: Output TC of Firm 1 TC of Firm 2 TC of Firm 3 AC of Firm 1 AC of Firm 2 AC of Firm 3 1 100 25 50…

Q: to Scale and Economies of Scale uahon in whien output doubles when all inputs ae lovlored. > Can a…

A: Return to scale show the long-run production function where it can be increasing, decreasing, and…

Q: 2. (a) If a production function exhibits decreasing returns to scale and the quantity of all inputs…

A: Decreasing returns to scale (DRS) holds when a proportional increase in all inputs ends up in a rise…

Q: As a firm hires more labor, in the short run, the A) costs of production are increasing at a fied…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: Labor Input TPL APL MPL 1 7 2 18 30 4 44 5 62 78 7 88 94 9 94 10 92 1. Compute the MPL & APL…

A: (1) Labor input TPL APL MPL 0 0 ---- ---- 1 7 7 7 2 18 9 11 3 30 10 12 4 44 11 14 5…

Q: 3(a) A firm's production function is initially Q=VKL. Over time, the production function changes to…

A: Technological development is the cumulative of a new invention(s), discovery(s), and/or…

Q: 12. Which of the following production function shows decreasing returns to scale? (a) f(r) = min{x1,…

A: Answer - Need to find- Which production function shows decreasing return scale  1. Answer - f(x) =…

Q: e Cobb-Douglas production function Y = AKO.3L0.7 is a(n) production function, if A, K A.…

A: Constant returns to scale occurs when increase in all factors of production leads to same…

Q: The ff are true about economies of scale except one a. It is concept in cost function b. Costs…

A: Economies of scale arises from efficiency in labor productivity which causes long run average cost…

Q: A. What is the cost equation? B. What is the marginal cost equation of q? C. What is the marginal…

A: The firm produces goods and services and also have some costs of the production. The firm would…

Q: Diseconomies of scale are: [11.4.4 Diseconomies of Scale: An Upward-Sloping LRATC Curve] A instances…

A: There are two type of scale in economies - 1) economies of scale  2) diseconomies of scale  In short…

Q: Determine the multifactor productivity for the combined input of the labor and the machine time…

A: Multifactor productivity is the ratio of output and combined costs of inputs and it determines the…

Q: Real GDP per hour worked, YIL $40 ic 8 60 Production function, Production function, Production…

A: Production function denotes the relationship between the real output and the quantity of resources…

Q: A firm experiemces A) diseconomies of scale, average total cost curve slopes downward B) economies…

A: C)diminishing marginal Returns; average total cost curve shift upward

Q: As the level of production increases in the short-run, the Average Variable Cost (AVC) curve…

A: In a market, a firm faces different cost curves in the short-run and in the long-run because there…

Q: - production function is given by: Q (K.L) min ven this production technology, returns to scale…

A: Return to scale depicts relationship between the input and output. Return to scale can be increasing…

Q: Question 1 Calculate the productivity for the following operations: Three employees processed 600…

A: Hi! Thank you for the question As per the honor code, We’ll answer the first question since the…

Q: A firm hires two workers and rents 15 acres of land for a season.It produces 150000 bushels of…

A: Here, it is given that, Initial production: 150000 bushels of crop Final production after doubling…

Q: 1. Do the following production functions exhibit increasing, constant of decreasing returns to scale…

A: "A production function states the relationship between factor inputs used and the amount of output…

Q: in 1977. The base period, fine wood s unitI labor hours per chair. 4 labor hours per company's unit…

A: 1980 productivity index=labor output/input

Q: What production function is applicable for the 3 stages of production?

A: Production function is defined through the law of variable proportion which is also called law of…