Marginal product of labor in the short run

Assignment Help Microeconomics
Reference no: EM132414718

Problem: A Competitive firm has a production function described as follows. "Weekly output is the square root of theminimum of the number of units of capital and the number of units of labor employed per week." Suppose thatin the short run this firm must use 16 units of capital but can vary its amount of labor freely.

Required:

Question 1: Write down a formula that describes the marginal product of labor in the short run as a function of the amount of labor used. (Be careful at the boundaries.)

Question 2: If the wage is w = $1 and the price of output is p = $4, how much labor will the firm demand in the shortrun?

Question 3: What if w = $1 and p = $10?

Question 4: Write down an equation for the firms short- run demand for labor as a function of w and p.

Reference no: EM132414718

Questions Cloud

Firm employment of capital and labor : Explain what you expect to happen to the firm's employment of capital and labor if this were to happen.
What is the internal rate of return : The net cost of the machine is $66,000. If the cost of capital is 10 percent, what is the net present value? What is the internal rate of return
Determine the demand functions for domestic travel : Determine the demand functions for domestic travel and foreign travel. Make sure you show your work - show the steps used.
Derive market demand function : Derive market demand function. Sketch market demand function and market supply function on a graph. label each curve and any relevant kinks and intercepts.
Marginal product of labor in the short run : Write down a formula that describes the marginal product of labor in the short run as a function of the amount of labor used. (Be careful at the boundaries.)
Discuss about a treatment and management plan for patient : Think about a treatment and management plan for the patient. Be sure to consider appropriate dosages for any recommended pharmacologic and/or nonpharmacologic.
Computing firm fixed cost-variable cost and marginal cost : A representative firm in a perfectly competitive, constant cost industry has a cost function TC= 100+4Q^2+100Q.
How hypothesis testing used in health care research : Evaluate and provide examples of how hypothesis testing and confidence intervals are used together in health care research. Provide a workplace example.
Discuss the two common mistakes in managing complex systems : Define three advantages of applying information visualization to policy analysis. Discuss the two common mistakes in managing complex systems.

Reviews

Write a Review

Microeconomics Questions & Answers

  What is strategy is most desirable from economic efficiency

Firms have tried a number of different strategies to reduce the negative effects of competition on their ability to earn economic profits. What is the strategy is most desirable from the economic efficiency and consumer well being

  Profit curves for individual psychic in the market

Consider the market for psychic readings. Assume that psychic readings are given (produced) by a number of undistinguishable psychics.

  Business adviser for alba and gavigan

You are a business adviser for Alba and Gavigan. Describe a skimming price and a penetration price, and advise them whether they should charge a skimming price or a penetration price, with supportive reasoning for and against each pricing alter..

  Why would economists use the term deadweight loss

Why would economists use the term deadweight loss to describe the impact on consumer surplus and producer surplus from a price control?

  Contrast pure discount bonds with coupon bonds

Compare and contrast pure discount bonds with coupon bonds and provide at least one example of such government or corporate bonds that can be bought and sold by investors. Describe the way interest rates are determined for these bonds by using the ap..

  Explain implications to your chosen firm sustainability

Choose one microeconomic concept applied in your final project. Explain your findings and the implications to your chosen firm's (Coca-Cola) sustainability.

  Determine bigger fluctuations in inventory investment

Improved methods of inventory control were supposed to reduce fluctuations in inventory stocks. It is clear that these methods have helped reduce.

  Find marens consumption in the two periods

Find Marens consumption in the two periods ( as a function of m1,m2 and r)3) If the interest rises, how will Maren chanhe her consumption in each of the two periodes

  Create a list of ten activities that might be surveyed

Create a list of at least 10 activities that might be surveyed by an organization to evaluate the effectiveness of an existing or upgraded virtual collaboration network.

  Is a minimum wage law a price floor or a price ceiling

Recently in Oklahoma, lawmakers have increased the minimum wage to $8.00/hr because the old minimum wage ($5.25/hr) was found to be ineffective. Is a minimum wage law a price floor or a price ceiling? Describe.

  Explains the cost of a bag of premium oranges

Suppose that a roadside orange stand in Florida charges $1 for a bag of "standard" oranges and $2 for a bag of "premium" unblemished oranges, which are guaranteed to be perfectly ripe. In Montana, consumers must pay $3 per bag to transport FL oranges..

  When asking about what is offered from each plan to assist

when asking about what is offered from each plan to help you decide would you not want to know how much each costs? if

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