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Suppose the production function is Cobb-Douglas, y = x 1/2 1 x 3/2 2.
(a) Write an expression for the marginal product of x1 at the point (x1, x2). Is it an increasing, decreasing or constant in x1?
(b) Write an expression for the marginal product of x2 at the point (x1, x2). Is it an increasing, decreasing or constant in x2?
(c) What is the technical rate of substitution?
(d) Does this technology demonstrate increasing, decreasing or constant returns to scale?
Suppose the employees of Starbucks in China are paid 8 yuan per hour and a cup of coffee is priced at 8 yuan. If Starbucks is maximising its profit, What is the value of marginal product of labour (VMPL) per hour of the last worker employed by Starbu..
If the average level of consumer surplus for each hotel guest equals $24, illustrate what is the total consumer surplus per night.
Find the trend in the growth rate of M1 and M2. What accounts for differences in the growth rate of each money supply measure - Summarize measurement issues in M1 and M2 identified by the Federal Reserve.
Consider both sides of the argument and come to a decision of whether to close the plant or continue to operate it. How would you explain to either the president or the CEO that he or she is wrong?
Why does the government have a bad reputation of being inefficient? And if it is inefficient in some areas and not others, does that mean they should privatize the inefficient responsibilities?
Which of these can be a people turnoff for customers?
q1. i illustrate what price will the monopolistically competitive firm charge in this market?ii illustrate what are the
Which segment of the population is one of the wealthiest in the U.S.?
There are pros and cons if policymakers use monetary and fiscal policy to stabilize the economy. Explain the main arguments in favor of economic stabilization. Explain why policy lags could make stabilization policies counterproductive.
Fearing inflation, it wants to increase taxes so which the net change in the equilibrium level of GDP is zero. By Elucidate how much taxes should be increased
Certain environmental laws prohibit EPA from considering the costs of meeting various standards when the levels of the standards are set. Is this a good example of “putting first things first” or simply an unjustifiable waste of resources? Why?
Show that the balance sheet balances if these are the only assets and liabilities.
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