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Consider the production function f(L;K) = L + K.
a. Suppose K is fixed at 2. Find algebraic expressions for the total product of labor function TP(L), the average product of labor AP(L), and
the marginal product of labor MP(L).
On the basis of the information regarding the risk involved in the two projects, you came up with the following probability distributions for the projects: Project A Project B Probability Net Cash Flows ($) Probability Net Cash Flows ($) 0.3 8,100 ..
Like Physical capital, human capital produced in the present can be applied to the production of future goods and services. consider the table in Problem, 2-11, and suppose that the nation's residents are trying to choose between combination C and..
utilize your knowledge of supply/demand analysis and show graphically the impact of a government minimum wage of $6 hour with a market wage for unskilled workers of $7 hour with 1 million workers employed at the market wage.
calculate the size of the labor force, the labor force participation rate, and the unemployment rate by using population:100,000 Employed:60,000 Unemployed:3,000
a) If pizzas sell for $14, what is Pat's profit-maximizing output per hour What is her profit (or loss b) What is Pat's shutdown point (Hint: how low can Pat's price get before is shuts down) c) Graph Pat's MR, MC, ATC on the same diagram.
Studies indicate that the price elasticity of demand for cigarettes is about 0.4. If a packet of cigarettes currently costs $8 and the government wants to reduce smoking by 20%, by how much should it increase the price
Calculate the opportunity cost of an increase in the number of hours spent studying in order to earn a 3.0 GPA rather than a 2.0GPA. Total Hours Hrs Studying GPA HrsWrking Income
Discuss the statistical results you obtained in question 1. Include in your discussion R2 , the coefficients, and the statistical significance of the coefficients. For the statistical significance test, use the p-test rather than the t-test.
Company A just paid a $3.00 dividend per share. The dividend is expected to grow at a 4% rate indefinitely. The beta of the stock of Company A is 1.5. The market risk premium is 8% and the risk-free rate is 3%. (a) What is the expected return on t..
Penelope wants to buy a car that is worth $43,195 by making a $4300 down payment and arranging a four-year lease that calls for monthly payments in advance, interest of 2.91 percent compounded monthly, and a buyout payment of $20,000 at the end of..
Two companies, Perfect Lawn CO. and Ideal Grass Co. are competing in the manufacture and sale of lawn mowers. Perfect has a somewhat older plant and requires a variable cost of $150 per lawn mower; its fixed cost are $200,000 per year.
Hernandez Corp. uses two variable inputs, X and Y, to produce its final product, canoes. Its engineering department has estimated the marginal product functions for inputs X and Y as follows: MPx = Y/X MPy = 4 X/Y Where X and Y denote, respectivel..
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