Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 1. consider the following production functions - y

1. Consider the following production functions - Y=AK1/5L2/5 - Y=K+K1/2L2/3 (a) show if the production...

90.2K

Verified Solution

Question

Accounting

image

1. Consider the following production functions - Y=AK1/5L2/5 - Y=K+K1/2L2/3 (a) show if the production functions are increasing, decreasing, or constant return to scale (b) derive marginal product capital(MPK) and marginal product labor(MPL) (c) draw graph of MPK and MPL. (For MPK, the x-axis is K(capital) and the y-axis is r (rental price). For MPL, the x-axis is L(labor) and the y-axis is w(wage).) 1. Consider the following production functions - Y=AK1/5L2/5 - Y=K+K1/2L2/3 (a) show if the production functions are increasing, decreasing, or constant return to scale (b) derive marginal product capital(MPK) and marginal product labor(MPL) (c) draw graph of MPK and MPL. (For MPK, the x-axis is K(capital) and the y-axis is r (rental price). For MPL, the x-axis is L(labor) and the y-axis is w(wage).)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students