User Account

All Pages

Parameter on the marginal productivity of capital

Assignment Help Macroeconomics
Reference no: EM132476867

Assume a Cobb-Douglas production function with a capital share of 1/3, a labor share of 2/3, and a productivity parameter equal to 1. Prepare Excel worksheets reporting the level of level of output and the marginal productivity of capital assuming that the capital stock increases from 60 to 360 in increments of 10 and labor equals 100. Compare these calculations to

  • Labor equals 100 and productivity parameter equals 2
  • Labor equals 200 and productivity parameter equals 1

What is the effect of an increase in the productivity parameter on the marginal productivity of capital? What is the effect of an increase in labor on the marginal productivity of capital?

Reference no: EM132476867

Questions Cloud

What is the entry to apply overhead : If direct labor for the month is $80,000 and overhead is applied based on 75% of direct labor dollars, what is the entry to apply overhead?
How will the supply curve and demand curve shift : How will the supply curve and demand curve shift if the government borrows money to fund a war?
Government borrows money to fund a war : How will the supply curve and demand curve shift if the government borrows money to fund a war?
How do statisticians and economists measure gdp : Define the component parts of the equation and discuss what shortcomings may exist in the measurement of GDP, in your opinion.
Parameter on the marginal productivity of capital : What is the effect of an increase in the productivity parameter on the marginal productivity of capital? What is the effect of an increase in labor
Mattress and deposits it into a checking account : Which of the following scenarios produces a larger increase in the money supply, explain why.
What is the beta for microsoft corporation : What is the beta for Microsoft Corporation? What is the correlation between BBY and COST? What is the standard deviation for Costo Wholesale Corporation (COST)?
Explain what types of people are most likely to donate money : Campaign Resources: Explain what types of people are most likely to donate money to and work in your campaign. (Unit 2, Written Lectures, Slide 2-25)
Information for an economy without government spending : Suppose you are given the following information for an economy without government spending, exports, or imports. C is desired consumption

Reviews

Write a Review

Macroeconomics Questions & Answers

  Inflation targeting be a good policy

Why might it be difficult for the Fed to formally adopt inflation targeting?  Would inflation targeting be a good policy for the Fed in the present economic environment

  In using the taylor rule

In using the Taylor Rule as a guideline for monetary policy, what are the pros and cons of using forecasted values of inflation and output rather than observed values of these variables?

  Describe the present economic crisis situation in europe

Describe the present economic crisis situation in Europe.  Why has it been so difficult for the Europeans to find a solution to this problem?   Comment on what implications the crisis may have for the rest of the world if Europeans are not able to ag..

  Long-term federal government budget problems

Question:. Explain why there are long-term Federal government budget problems. Explain why the base-line forecast of the CBO is misleading.

  Derive and compare demand curve

Question based on Derive and compare demand curve,  Derive Ambrose's demand function for peanuts. How does it compare with Johnny's demand curve for peanuts?

  Problem based on utility function

Problem based on  Utility Function - Problem,  Answer and explain the following using a diagram which is completely labeled.

  Laffer curve : tax rate and tax revenue

Question based on Laffer Curve : Tax Rate and Tax Revenue,  Do raising tax rates necessarily raise tax revenue? What factors affect how tax revenue changes when tax rates change?

  Problem - income elasticity of demand

Problem - Income Elasticity of Demand,  Interpret the following Income Elasticities of Demand (YED) values for the following and state if the good is normal or inferior; YED= +0.5 and YED= -2.5

  Positive balance of payment

Question Positive Balance of Payment: "Things will look good for the US if we could just get to where we are consistently running a positive Balance of Payments."

  Effect of recession on the investment curve

Comment on the effect of a recession on the investment curve (only) and on the level of savings, investment, and the equilibrium real interest rate in the financial crisis that hits United States first starting in fall 2007.

  Affect of falling domestic investment on trade surplus and

How will a fall in domestic investment affect the trade surplus and net capital outflows in the domestic economy, the trade deficit and capital inflows in the rest of the world.

  Crises in the banking sector and bank run

Banking crises crisis decreases depositors' confidence in the banking system. What would be the effect of a rumor about a banking crisis on checkable deposits in such a country?

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