Relationship in increases in plant size-labor productivity

Assignment Help Business Economics
Reference no: EM131236837

Comparing quarters 3 and 4, how would you characterize the relationship between increases in plant size and labor productivity ?

a) increasing returns

b) diminishing returns

c) constant returns

d) elastic or inelastic

Also, comparing these two quarters, given the production levels, which plant size should the firm select based on labor productivity (measured by average product of labor)?

a) quarter 3 plant size

b) quarter 4 plant size

c) equality efficient

Qtr.3

Demand - 5550

plant size - 6

labor hours - 7974

Production units - 3950

Average product of labor - 0.52

Qtr. 4

Demand - 4430

Plant size - 7

Labor hours - 7237

Production units - 3950

Average product of labor - 0.55

Reference no: EM131236837

Questions Cloud

Fixed exchange rate system the exchange rate : Since under a fixed exchange rate system the exchange rate does not change, does this mean that the BP curve never shifts? Why or why not? If it in fact does shift, what effects do such movements have on the equilibrium interest rate and equilibrium ..
Investors interested in eurodollar interest rate futures : Why are investors interested in eurodollar interest rate futures and/or interest rate options? How do these instruments relate to financial risk? How might they be used in conjunction with exchange rate derivatives?
Bonds instead of domestic financial instruments : Discuss why an investor might be interested in foreign stocks and bonds instead of domestic financial instruments. What are the dangers of such purchases?
International lending and increase in eurodollar accounts : Several people have argued that the recent surge in international lending and the increase in eurodollar accounts and derivatives will contribute to economic instability. Do you agree or disagree with their concerns? Why?
Relationship in increases in plant size-labor productivity : How would you characterize the relationship between increases in plant size and labor productivity ? Also, comparing these two quarters, given the production levels, which plant size should the firm select based on labor productivity (measured by ave..
Hypothesis test conclusion using both the critical value : According to BIGresearch, holiday shoppers spent an average of $373 over the Thanksgiving weekend in 2008. The following data show the amount spent by a random sample of holiday shoppers during the same weekend in this year: $427 $274 $370 $238 $222 ..
Purchases surplus grapes from grape growers : Construct an influence chart for the following case: Located in wine country, Reid’s Raisin Company (RRC) is a food-processing firm that purchases surplus grapes from grape growers, dries them into raisins, applies a layer of sugar, and sells the sug..
Explain what each determinant means : List the determinants of elasticity of demand. Explain what each determinant means. Identify two examples from your own personal or professional life that illustrates EACH one of the determinants of elasticity. Raising bridge and tunnel tolls almost ..
Inverse demand equation for the commodity : A firm faces the following inverse demand equation for the commodity it produces: P = 100 – Q where P represents the price/unit of the commodity it produces and Q represents the level of output produced. The cost structure of this firm is summarized ..

Reviews

Write a Review

Business Economics Questions & Answers

  Determine whether the purchase is worthwhile at the MARR

The ABC Construction Company is considering the purchase of a diesel power shovel to improve its productivity. The company finances the purchase by borrowing from a local bank with no origination fee. The pricipal will be repaid with the compounded i..

  How does global economic competition impact the domestic

How does global economic competition impact the domestic market and decisions related to the strategy a firm uses to compete? Why do some economists oppose trade restrictions? Explain your answer.

  The demand for iceberg lettuce

If Romaine lettuce and Iceberg lettuce are substitute products, an increase in the price of Romaine lettuce will ______ the demand for Iceberg lettuce. A. shift inward B. shift outward C. either increase or decrease (depending on whether lettuce is a..

  What is the current share price of the stock

DBP Inc. just paid a dividend of $0.50. The expected growth rate of dividend is 3 percent. The required return for investors in the first three years is 12 percent and 10 percent for the following three years. After those six years the required retur..

  Consumption expenditure-statistical discrepancy

Using this information in the table above, what does GDP equal? Items Billion of dollars Wages 300 Consumption expenditure 350 Interest, rent, and profit 50 Statistical discrepancy 0 Government expenditure 300 Indirect taxes minus subsidies 15 Net ex..

  Short-run aggregate supply and aggregate demand diagram

Start by drawing the Short-Run Aggregate Supply and Aggregate Demand diagram with short-run equilibrium at Price Level = 165 and real GDP = 2750. Next, the following shock hits the economy: There is a sudden rise in household wealth as the stock mark..

  Explain why from an individual producers perspective

Explain why from an individual producer's perspective, a general subsidy on production costs is preferable to a subsidy on only one factor of production when the costs of the two policies to the government are indentical. Describe briefly how other e..

  Chance of the savings account losing half your money

Assume there is a 50% chance of the savings account losing half your money. Elucidate how much does the person save now?

  Calculate mean and variance of return to the whole portfolio

A portfolio consists of two assets A and B. Their respective mean returns are E(RA) = 15% and E(RB) = 10%. Their variances are σ 2 A = 81 and σ 2 B = 49. Sixty per cent of the portfolio consist of asset A. (a) Assuming Cov(RA, RB) = −50, calculate th..

  Determine two leadership theories

Determine two leadership theories and two (2) leadership styles that support the definition of a public leader. Provide a rationale for your response.

  Consider the following price-determination theory

Consider the following price-determination theory, which was suggested in a recent experimental economics class: "rank all buyer values from high to low and find the median value. Then rank all seller costs from low to high and find the median cost.

  Manufacturer of miniature fittings and valves

Swagelok Enterprises is a manufacturer of miniature fittings and valves. Over a 5 year period, the costs associated with one product line were as follows: first cost of $30,000 and annual costs of $18,000. Annual revenue was $27,000, and the used equ..

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!

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