Firms production function

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Suppose that a firm's production function is given by U=K.33 * L.67, where marginal product of capital is QK = .67(K-0.67 * L.67) and MPL is QL = .67(K.33 * L-.33).

a. As L increases, what happens to the marginal product of labor?

b. As K increases, what happens to the marginal product of labor?

c. Why would the MPL change as K changes?

d. What happens to the marginal product of capital as K increases? As L increases?

Reference no: EM13743826

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