Suppose it takes workers at a plant five hours to produce what a machine can make in one hour. In this case, the production function is linear with a = 5and b=1; Equation is : %3D Q = 5K + L. If K=2 and L=5 What is the maximum quantity of output? answer must be a whole number only
Q: At what output price would the farmer be indifferent in producing the 500 units of output given that...
A: Given; Output units= 500 units Fixed cost of producing output Y= P150,000 Variable Cost= P300 per un...
Q: What will be the primary deficit if the fiscal deficit is 320 and the interest payment by the govern...
A: In the question we need to calculate the, Primary deficit = ? Fiscal deficit is = 320 Value of inter...
Q: Govt purchases increase by $87b and the MPC = .89. By how much will RGDP eventually increase? (round...
A: Increase in Govt. purchases or spending = $87 billion MPC = 0.89
Q: Output (units) (Q) Price per Unit (P) Marginal Revenue (MR) Marginal Cost (MC) Average Cost (АТC) 55...
A: Monopoly is a form of market structure in which a single firm sells a commodity for which there are ...
Q: A loan of $300,000 is repayable by an annuity payable half-yearly in arrear for 20 years. The half-y...
A: Given information Loan amount=$300000 Year of payment=20 Years Payable half yearly T=20*2=40 times Y...
Q: For the following pay off matrix of firm A, determine the optimal strategies for both the firms and ...
A: Answer:
Q: A decrease in interest rates caused by a change in the price level would cause a(n): A) Decre...
A: The aggregate demand curve represents the total quantity of all goods and services demanded by the e...
Q: Which of the following statements is true about current and capital and financial acocunts? O A. The...
A: Balance of payments shows the payments received from countries and all payments made to other countr...
Q: a. At a required return of 12 percent, what is the NPV of the project? (Do not round intermediate ca...
A: All cash flows are discounted with an appropriate discounting rate to arrive at their present value,...
Q: Production Point Capital (K) Labor (L) Output (Q) A 1 1 2 B 2 2 C 1 3 D 2 4 E 1 5 F 2 6 G...
A: Returns to scale can be classified into three categories; 1- Increasing returns to scale (IRS) 2- De...
Q: 4. The following is the age distribution of 1,000 persons working in a large industrial house: Age -...
A:
Q: How has technology eased the task of assessing actual food costs and actual beverage costs?
A: In economics, technology is often regarded as the fundamental driver of economic progress in countri...
Q: Why should the government let firms share technologies with other firms to ensure an efficient econo...
A: National prosperity is made, not acquired. It doesn't outgrow a country's regular blessings, its wor...
Q: Problem 1 • Find the present worth of the following cash flow series at an interest rate of 10%. $26...
A: To find the present value of future cash flows, we discount the future cash flows with the interest ...
Q: What can you say about our Philippine money/ denominations? Do you think it possessed the all the ch...
A: The Philippine peso (currency code: PHP) is the country's official currency.The multicoloured notes ...
Q: A. Illustrate and explain the impact that changes in the money supply have in the economy through a ...
A: A) The underlying idea in standard neoclassical theory was that' money is neutral, "money is shroud,...
Q: In the model of monopolistic competition, compared to a firm with higher productivity, a firm with l...
A: Monopolistic competition: - monopolistic market structure is the structure in which there is a large...
Q: %3D 0- 1 e optimal mixed row strategy. e optimal mixed column strategy.
A: All A,B, & C part solved below,
Q: The manager of a pizza shop must decide how much pizza he will produce at a given price. Which of th...
A: Consumer income refers to money earned by a consumer through employment or investment, such as divid...
Q: Isoquant curves Gym requires exactly 3 bottles of water per athlete to maximise performance (athlet...
A: Introduction Isoquant curve : Isoquant curve represents all the inputs combinations of two commoditi...
Q: The economy of Eastlandia in 2021: • C = 260 + 0.5YD • P = 100 %3D • T= TR = G= NX = 0 The equilibri...
A: Actually in simple words we can say that the Real GDP is considered as an Nominal amount of the GDP ...
Q: Fl an the following tabie with the quantty sold, the price buyers pay, and the price sellers receive...
A: To find exects values on the given supply and demand curve, we will find the demand and supply curve...
Q: 2-1 On a loan for $25,000 to purchase a new car, what are the monthly payments at an annual interest...
A: Loan amount = $25,000 Interest rate = 6% for 4 years We need to calculate the Monthly payments
Q: Assume i=0%, beta=1. Consumer has income of 80 in year 1, 100 in year 2. Now suppose gov't gives con...
A: In the policy of the fiscal expansion that government starts the policy of borrowing and using the m...
Q: The demand curve for prepaid internet services is given by Pd = 80 – 0.2Q and the supply curve is gi...
A: Given, Demand, Pd = 80 – 0.2Q Supply, Ps = 20 + 0.2Q The graphical representation of the given suppl...
Q: Fill in the following table with the quantity sold, the price buyers pay, and the price sellers rece...
A: Given: Tax=$20.30
Q: When the Fed decreases the discount rate, banks are likely to their lending anc the money supply O A...
A: The answer is- B) increase, increases When the fed decrease the discount rate, banks are likely to ...
Q: Describe the different types of Development Plan.
A: "Indicative planning" or "market incentives" are terms used to describe incentive planning. In this ...
Q: Stax P $100 S $70 S50 $45 SX $5 40 60
A: Given, Equilibrium price= $50 Equilibrium Quantity= 60 After tax; Quantity= 40 Price paid by consum...
Q: Suppose a firm has a production function as follows: y = 4x 25 x25, The price of x1 and x2 are 2 and...
A: Production function shows the functional relationship between input of factors and output produced. ...
Q: D E F A 5, 4 2, 5 б, 5 В 4, 6 2, 7 4, 5 C 6, 3 3, 4 7, 3 Which of the following strategies are stric...
A: Answer: Strictly dominant strategies: a strictly dominated strategy always provides a greater payoff...
Q: A firm currently faces a market price of $7. If producing output where MC= $7, it would produce 11 u...
A: Actually in simple words we can say that the market price in the economy is generally known as the c...
Q: ber of tons of brake assemblies received at an auto parts distribution center last month wa ast tonn...
A: Given that,
Q: Ultra Petroleum (UPL) has earnings per share of $1.56 and a P/E ratio of 32.48. What’s the stock pr...
A: Given:Earnings per share(EPS)=$1.56P/E ratio=32.48
Q: Consider a market in which a firm has monopoly power. Suppose in addition that the firm produces und...
A: Monopoly basically refers to a market in which there is only single seller/firm and that single sell...
Q: If the exchange rate between the U.S. dollar and the Japanese yen were such that one U.S. dollar equ...
A: Fixed or fluctuating exchange rates are available. Fixed currency rates are set by a country's centr...
Q: Consider the following two person game. Player 1 begins the game by choosing A or B. If Player 1 cho...
A: Given information 2 players ---> player 1 and Player 2 Player 1 plays 2 strategy----> A and B ...
Q: Amanufacturer of kitchen appliances is preparing to set the price on a new blender. Demand is though...
A: Given Demand equation: D=2500-3P .... (1) Cost function: C=5000+4D .... (2)...
Q: US President Collin Hawkins is concerned about the economy. He orders the Treasury to issue direct s...
A: Answer: Citizens save 20% of their income. MPS marginal propensity to save=20%=0.2 (1). Multiplier=1...
Q: 2. Consider a firm that has the following production function, q = 3L3KŠ, where the rental rate (r) ...
A: In economics, a production function gives the technological relation between quantities of physical ...
Q: What are the principal economic characteristics of poverty groups? What do these characteristics tel...
A: Poverty means poor people who are working for surviving in their life. It means they are living thei...
Q: Now draw a supply-and-demand diagram for the liquor market with the tax. Show the price paid by cons...
A: Answer -
Q: Refer to the graph shown. This set of cost curves Is: MC ATC B AVC Output Multiple Cholce O wrong be...
A: Total cost is defined as the total expenses that a company or firm has to incur in order to produce ...
Q: A committee of 4 people is to be appointed from 3 officers of the production department, 4 officers ...
A:
Q: An import quota the domestic price of the imported good. mimics O always decreases always increases ...
A: Import Quota is the limit which is put on the quantity of the good in a given time period that can b...
Q: Output Total Cost 8) $10 20 28 3. 38 4 53 73 6. 98 Refer to the provided table. The total fixed cost...
A:
Q: O $11.52 (1,152 cents)
A:
Q: 3. As supervisor of a facilities engineering department, you consider mobile cranes to be critical e...
A: Given information Project A Initial capital=$272000 Annual cost=28800 Salvage value=25000 N= 6 years...
Q: In monopolistic competition equilibrium with symmetric firms, firms enter until each firm earns O ze...
A: Answer: In monopolistic competition with symmetric firms if the firms earn positive economic profit ...
Q: Utils, 8- 7- 6+ 5- TU 2 3 Which of the following characteristics of the total utility function is ex...
A: Total Utility is the overall amount of satisfaction receive by consumption of all the units of outpu...
Answer with solution
Step by step
Solved in 2 steps
- A firm has two opportunities for a new plant location, one is in China and the other is inMexico. The firm's production function is given by q = L 0.5 K 0.5 , In China, the cost of laboris w=$15 and the cost of capital is r=$5. In Mexico, w=$10 and r=$10. The firm wants toproduce 100 units of output. Which location should the firm choose for their new plant?Explain why.Note: Please round the optimal amounts of capital and labor at each location to the nearest whole number when making your calculations.Hint: cost-minimization rule.uppose a Cobb-Douglas Production function is given by the following:P(L,K)=60L^0.8K^0.2where LL is units of labor, KK is units of capital, and P(L,K) is total units that can be produced with this labor/capital combination. Suppose each unit of labor costs $900 and each unit of capital costs $3,600. Further suppose a total of $900,000 is available to be invested in labor and capital (combined).A) How many units of labor and capital should be "purchased" to maximize production subject to your budgetary constraint?Units of labor, LL = Units of capital, KK = B) What is the maximum number of units of production under the given budgetary conditions? (Round your answer to the nearest whole unit.)Max production = unitsUSE R LANGUAGE TO SOLVE THE equation The output of a production process, Q is given by the function2K^(-3)L^(5/2)/2K log4 6L^2where K and L denote capital and Inbour. Calculate the output when the capital and labour are 10 and 20 units, respectively.
- Given the production function Q=20L+8K and cost budget = 1000JD; w (Price per unit of labor)=8; r(price per unit of capital)= 4. Find the optimal quantity of capital? A) 100 Units B) 0 Units C) 200 Units D) 125 UnitsThe following production function has been estimated for wheat: W = 4 F0.5 L0.25 where, W = Wheat yield (kg/ha), F = Fertiliser (kg/ha) and L = Labour (hours/ha) a) Derive the expression for the least-cost expansion path given that fertilizers cost R12 per kg and labour cost R6 per hour b) If the wheat producer has a budget of R9 000 to spend on fertiliser and labour, how much of each input should he use and what is the quantity of wheat he will produce? c) Derive expressions for the value of marginal product (VMP) of fertiliser and labour given that wheat sells at R72 per kg.Returns to scale in production: Do the following production functions exhibitincreasing, constant, or decreasing returns to scale in K and L? (Assume Ais some fxed positive number.)(a) Y = K1/2L1/2(b) Y = K2/3L2/3(c) Y = K1/3L1/2(d) Y = K + L(e) Y = K + K1/3L1/3 (f ) Y = K 1/3L2/3 + A (g) Y = K 1/3L2/3 − A
- Prof. Smith and Prof. Jones are going to produce a new textbook. The production function for the book is: ?=?1/2?1/2?= is the number of pages in the finished book?= is the number of working hours spent by Smith?= is the number of working hours spent by JonesSmith's labor is valued at 3 TL per working hour and Jones's labor is valued at 12 TL per working hour. After having spent 900 hours preparing the first draft, Smith cannot contribute any more to the book. Jones will revise the Smith's draft to complete the book.a) How many hours will Jones have to spend to produce a finished book of 300 pages?b) What is the marginal cost of the 300th page of the finished book?1. The production function for the personal computers of DISK, Inc., is given by q = 10K0.5L0.5,where q is the number of computers produced per day, K is hours of machine time, and L ishours of labor input. DISK’s competitor, FLOPPY, Inc., is using the production function q = 10K0.6L0.4. a. If both companies use the same amounts of capital and labor, which will generatemore output?b. Assume that capital is limited to 9 machine hours, but labor is unlimited in supply. Inwhich company is the marginal product of labor greater? Explain.Suppose the production function for widgets is given byq = kl - 0.8k2 - 0.2l2where q represents the annual quantity of widgets produced, k represents annual capital input, and l represents annual labor input.a. Suppose k = 10; graph the total and average productivity of labor curves. At what level of labor input does this average productivity reach a maximum? How many widgets are produced at that point?b. Again assuming that k = 10, graph the MPl curve. At what level of labor input does MPl = 0?c. Suppose capital inputs were increased to k = 20. How would your answers to parts (a) and (b) change?d. Does the widget production function exhibit constant, increasing, or decreasing returns to scale?
- 3. Many production functions have a property called constant returns to scale, about constant returns to scale，which of the following is WRONG? A. This property implies that as all inputs are doubled, output will exactly double. B. This implies that must be true C.This also means that if we want to examine output per worker we could set x = 1/L and we would get D. None of the above is trueA firm uses 3 factors of production. Its production function is f(x, y, z) = min{x3/y, y2, (z4 − x4)/y2}. If the amount of each input is multiplied by 6, its output will be multiplied by A.) 216 B.) 36 C.) 6 D.) 0.16 -the Answer is 36, Please explain in detail why this isSuppose that widgets can be produced using two different production techniques, A and B. The following table provides the total input requirements for each of five different total output levels:(Photo)Assuming that the price of labor (PL) is RO 2 and the price of capital (PK) is RO 3, calculate the total cost of production for each of the five levels of output using the optimal (least cost) technology at each level. How many labor hours (units of labor) would be employed at each level of output? How many machine hours (units of capital)? (Graph the total cost of production as a function of output. (put cost on the Y-axis). Which technology is the cheapest at all levels of output. Select one:a. None of the other three answersb. Technology Bc. Neither A Nor Bd. Technology A
