User Account

All Pages

Calculate marginal rate of technical substitution of labor

Assignment Help Econometrics
Reference no: EM13212153

Consider the following production functions:
q = 3L + 2K
q = 12L1/2 K1/2

a. Graph the short run total product curves for each production function for 0 ? L ? 25 in the case where K is fixed at 4.

b. Graph the marginal product of labor curves for each production function for 1 ? L ? 25.

c. Do these production functions exhibit diminishing marginal returns to labor? Explain.

d. For each production function, sketch the isoquants corresponding to production levels of 8 and 16. Be sure to plot at least 3 points on each isoquant.

e. For each production function, calculate the marginal rate of technical substitution of labor for capital (MRTSL,K) at the input bundle (4,4).

f. Do these production functions exhibit diminishing marginal rates of technical substitution?

g. For each production function, determine whether it exhibits increasing returns to scale, constant returns to scale, or decreasing returns to scale.

Reference no: EM13212153

Questions Cloud

What is the efficiency of the turbine-generator : A small hydroelectric power plant produces electrical power at a rate of 30 kW. The plant utilizes a stream of water that drops 40 m from a lake to the turbine and flows at a rate of 100 kg/s. What is the efficiency of the turbine-generator?
What is the mass of the lead weight : What is the mass of the lead weight, if 100 J of heat is lost from the water after the weight falls a distance of 3 m.
What is the change of energy stored in the battery : A 12 Volt battery is charged by supplying 3 Amps over a period of 6 hours. What is the change of energy stored in the battery if the battery loses 400kJ of heat during charging.
Explain what is the heat of vaporization of the substance : A liquid substance has a vapor pressure of 450.0 mmHg at 262.0 degrees celsius and 760.0 mmHg at 325.0 celsius. a) what is the heat of vaporization of this substance? b) what is its normal boiling point?
Calculate marginal rate of technical substitution of labor : a. Graph the short run total product curves for each production function for 0  L  25 in the case where K is fixed at 4. b. Graph the marginal product of labor curves for each production function for 1  L  25. c. Do these production functions exh..
What are the values of these boolean expressions : Describe the steps for inserting a new item at the head of a linked list? Make sure you consider all possible incoming conditions.
Compute ground state energy : calculate ground state energy, 1st excited energy level, and wavelenght of an electronic transition between the 2 lowest energy states for an electron
What does it mean for a production process to exhibit : What does it mean for a production process to exhibit "decreasing returns to scale" If a production process exhibits diminishing marginal returns to each of its inputs, will it necessarily also exhibit decreasing returns to scale
Explain the bubble point pressure and bubble composition : Assume that the system benzene and chlorobenze at 100 degree celcius obeys Raoult's law. for a binary mixture with an overall mole fraction Z=.30 determine

Reviews

Write a Review

Econometrics Questions & Answers

  Derive the long-run total cost curve equation

Assume that a monopoly's production function is Cobb-Douglas, Q = L^1/2 * K^1/2, where L is labor and K is capital. The demand function is P = 100 - Q. The wage rate, wL, is $1 per hour, and the rental rate of capital, wK, is $4 per hour. (a) Deri..

  At what level of output is the profit maximized

a. Determine the following measures at all levels of output: MPL, APL, TFC, TVC, TC, TR, AVC, ATC, AFC, MC, PROFIT b. At what level of output is the profit maximized c. What kind of observations can you make about MC, the product price , and the wage

  Will these actions by congress expand the economy

Assume an open, mixed economy. That is, foreign trade is part of the economy, and the economy includes both a public (government) and a private (consumers and businesses) sector. Given this, aggregate demand is expressed as (C + I + G + X). Assume..

  Determine how many workers company should hire

The local operations manager for IRS must decide whether to employee 1, 2, or 3 temporary employees. He determine that net revenues will vary with how well taxpayers comply with new tax code.

  What is the maximum amount the company is willing

Assume that a monopolist considering to spend 500.000 usd on large campaign to promote the their products.The demand curves are defined by p = 150 - 3q, where q is the output-quantity in 1000-usd. By executing the campaign the firm expects the new de..

  What is the opportunity cost of catching fish

Maha claims that she could collect 10 oranges or can catch one fish per hour from pond besides their hometown in village while khadija claims that she could collect 2 oranges or 2 fish per 2 hours.what is the opportunity cost of catching fish for ..

  Determine fc vc tc afc avc atc and mc

The total costs for Morris Industries are summarized in the following table. Based on this information, fill in the missing entries in the table for fixed cost, variable cost, average fixed cost, average variable cost, average total cost, and marg..

  Explain how to solve for the industry supply curve

suppose that there are 100 identical individuals (denoted j) in the economy each with the inverse demand equation P = 200 - 60qj. How do you solve for the industry supply curve and for the industry demand curve. Solve these for equilibrium industry..

  Describe null hypothesis that quantities are uncorrelated

Suppose in a random sample of 353 grad student teachers, the correlation between annual salary increases and teaching evaluations is found to be 0.11. Test at the 5% significance level , the null hypothesis that the quantities are uncorrelated.

  What would be the profit per person

where QI refers to the number of games they would play if the price of a game were PI. Because of their access to credit, they would be willing to pay an up-front fee to join the club. Wizards live from pay check to paycheck and would be willing t..

  Should john continue operating his business

john an accountant quit his $80,000 a year job and bought an existing laundry facility from its previous owner. the lease had five more years remaining and required a monthly payment of $4000. johns explicit costs are $3000 per month more than his..

  An the professor conclude whether students studying or not

A professor's rule of thumb is that students should spend 2 hours studying for each 1 hour spent in class. Professor Bob teaches a class that meets 3 hours per week. He randomly selects 8 students and finds that they study the following amounts pe..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd