Is the marginal product of labor increasing

Assignment Help Business Economics

Reference no: EM131090773

First Problem The production function for fragles is f(K, L) = L/2 + K, where L is the amount of labor used and K the amount of capital used. 1. Does this technology demonstrates increasing, constant or decreasing returns to scale? 2. Is the marginal product of labor increasing, constant or decreasing? 3. In the short run, capital is fixed at 4 units. Labor is variable. On a graph, use blue ink to draw output as a function of labor input in the short run. Use red ink to draw the marginal product of labor as a function of labor input in the short run. The average product of labor is defined as total output divided by the amount of labor input. Use black ink to draw the average product of labor as a function of labor input in the short run.

Reference no: EM131090773

Questions Cloud

Describe understanding of term nonprofit sector civil sector : Summarize your understanding of the term American Creed/American Exceptionalism. How have these "ideas" come under attack in today's society regarding equality for all? Give an example of political issues surrounding equal rights and services for ..

Existing components the lab will rely upon : Fully explain on your purchase order why it is necessary to join this new lab to the network and what existing components the lab will rely upon once it is connected.

Suppose the cross-price elasticity of demand between goods : Suppose the cross-price elasticity of demand between goods X and Y is -4. How much would the price of good Y have to change in order to change the consumption of good X by 10 percent?

Aspects of human resource management : Your paper should discuss the change aspect of Human resource management in general and in accordance with the Zhejiang Geely Holding Group Co. Ltd also discuss the 7 aspects of Human resource management how the company trains newly hired workers and..

Is the marginal product of labor increasing : First Problem The production function for fragles is f(K, L) = L/2 + K, where L is the amount of labor used and K the amount of capital used. Does this technology demonstrates increasing, constant or decreasing returns to scale? Is the marginal produ..

Is the technology available to this firm convex : Second Problem General Monsters Corporation has two plants for producing juggernauts, one in Flint and one in Inkster. The Flint plant produces according to fF (x1, x2) = min{x1, 2x2} and the Inkster plant produces according to fI (x1, x2) = min{2x1,..

How current cost estimate compare with initial cost estimate : Visit the Project Library (Links to an external site.) and review the documents concerning Costs and Funding. How do current cost estimates compare with initial cost estimates? Does this match the material your authors provide on project crashing?..

Short-run production function of competitive firm : Third Problem The short-run production function of a competitive firm is given by f(L) = 6L 2/3 , where L is the amount of labor it uses. The cost per unit of labor is w = 6 and the price per unit of output is p = 3. 1. Plot a few points on the graph..

The expected monetary value of this investment : A person has a chance to invest $50,000 in a business venture. If the venture works, the investor will reap $200,000. If the venture fails, the investor will lose his money. It appears that there is about a .50 probability of the venture working. ..

User Account

All Pages