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Question: A certain country's production is described by the function
f(x, y) = 60x1/3y2/3
When x units of labor and y units of capital are used.
a. What is the marginal productivity of labor and the marginal productivity of capital when the amounts expended on labor and capital are 125 units and 8 units, respectively?
b. Should the government encourage capital investment rather than increased expenditure on labor at this time in order to increase the country's productivity?
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