Solution-What kind of production function does the firm have

What kind of production function does the firm have

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Reference no: EM132503615

1. Suppose the production function for face masks can be represented as q=f(K, L)=0.5K^0.3 L^0.3.

a) What kind of production function does the firm have?

b) Draw two isoquant curves and label two points on each curve.

c) Does this production function exhibit increasing return to scale, decreasing return to scale or constant return to scale? Prove your answer.

d) If w=$50 and r=$25, calculate the K and L that will produce q=300 in the least costly way.

Reference no: EM132503615

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What kind of production function does the firm have

Reference no: EM132503615

Reference no: EM132503615

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