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You are given the following information about the amount your company can produce per day given the number of workers it hires.
Numbers of Workers
Quantity Produced
0
1
2
3
6
4
11
5
19
24
7
28
8
31
9
33
10
34
12
a. What is the range of workers where there are increasing returns to scale? Constant returns to scale? Decreasing returns to scale? Negative returns?
b. If the company wants to maximize total output, what number of workers should be hired?
c. What is the number of workers that should be hired if the company wants to maximize output per worker?
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IN THIS WE HAVE TO ADD THE PROBABILITY of 3 and 5 occuring separtely and subtract prob. of 3 and 5 occuring together therefore p=(166+100-33)/500=233/500=0.466
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