Determine the profit maximizing quantity of labor

Assignment Help Microeconomics
Reference no: EM13964567

Production function for a competitive firm is Q = K2/3 L1/2. The firm sells its product at $100 in a competitive market and can hire labor at a constant rate of wage of $50 per unit of time. Capital is fixed at 8,000 units. Determine the profit maximizing quantity of labor (L).

Reference no: EM13964567

Questions Cloud

How much will the firm produce at the market price : Find the equation for the ATC. Is it U-shaped? A simple yes/no is not enough. Use math. Find the shut-down price. How much will the firm produce at the market price of $53.4?
Calculate the resonant frequency : Calculate the total impedance Z for above circuit for ω= 2Π525 rad/sec ( f = 525 hz). For the bove mentioned series RCL circuit, if V = 120cos(2Π525t). Given Vo =120 volt, what is the value of Io = Vo/Z ?
What is the total cost of producing hundred units of output : What input combination should it choose to minimize its total cost given that w = r = $10? What is the total cost of producing 100 units of output?
Determine the heat supplied to the sir in the heat exchanger : Assuming the air in the heat exchanger acts as a heat sink having an average temperature of 25°C, determine the minimum power supplied to the heat pump, in kW
Determine the profit maximizing quantity of labor : The firm sells its product at $100 in a competitive market and can hire labor at a constant rate of wage of $50 per unit of time. Capital is fixed at 8,000 units. Determine the profit maximizing quantity of labor (L).
Implications of ppp : Today's spot rate of the Mexican peso is $.10. Assume that purchasing power parity holds. The U.S. inflation rate over this year is expected to be 7%, while the Mexican inflation over this year is expected to be 3%. Wake Forest Co. plans to import..
What is the social security retirement system : What is the Social Security retirement system. The percent of total health care costs in the United States paid for by governments is approximately.
Will you agree or disagree to patent this invention : As a patent agent, an inventor comes to you claiming that he has invented a self-powered engine that requires no fuel to run.
Find the speed of the wave along the string : Suppose you place a speaker in front the open end of a tube which is closed at the other end, and vary the frequency of a pure sound (sine wave) produced by the speaker. You find that there are resonances at 300 Hz and 500 Hz, among many others.

Reviews

Write a Review

Microeconomics Questions & Answers

  The free rider problem

Question: Explain why the free rider problem makes it difficult for perfectly competitive markets to provide the Pareto efficient level of a public good.

  Failure of the super committee is good thing for economy

Some commentators have argued that the failure of the “Super committee” is good thing for the economy?  Do you agree?

  Case study analysis about optimum resource allocation

Case study analysis about optimum resource allocation: -  Why might you suspect (even without evidence) that the economy might not be able to produce all the schools and clinics the Ministers want? What constraints are there on an economy's productio..

  Fixed cost and vairiable cost

Questions:  :   Which of the following are likely to be fixed costs and which variable costs for a chocolate factory over the course of a month?  Explain your choice.

  Problem - total cost, average cost, marginal cost

Problem - Total Cost, Average Cost, Marginal Cost: -  Complete the following table of costs for a firm.  (Note: enter the figures in the  MC   column  between  outputs of  0 and 1, 1 and 2, 2 and 3, etc.)

  Oligopoly and demand curve problem

Problem based on Oligopoly and demand curve,  Draw and explain the demand curve facing each firm, and given this demand curve, does this mean that firms in the jeans industry do or do not compete against one another?

  Impact of external costs on resource allocation

Explain the impact of external costs and external benefits on resource allocation;  Why are public goods not produced in sufficient quantities by private markets?  Which of the following are examples of public goods (or services)? Delete the incorrec..

  Shifts in demand and movements along the demand curve

Describe the differences between shifts in demand and movements along the demand curve. What are the main factors which can shift the demand curve? Explain why they cause the demand curve to shift. Use examples and draw graphs to support your discuss..

  Article review question

Article Review Question: Read the following excerpts from the article "Fruit, veg costs surge' by Todd, Dagwell, published in the Herald on January 25th 2011 and answer questions below:

  Long-term growth, international trade & globalization

Long-term Growth, International Trade & Globalization:- This question deals with concepts such as long-term growth, international trade and globalization. Questions related to trade deficit, trade surplus, gains from trade, an international trade sce..

  European monetary union (emu) in crisis

"Does the economic bailout of Spain and Greece spell the beginning of the end for the European Monetary Union (EMU)?"

  Development game “settlers of catan”

Read the rules of the game, the overview and the almanac for the Development Game "Settlers of Catan"

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