1/3 1/3Farmer Joe's production function is f(x1, x2) =", where xị isthe number of pounds of lemons he uses and x2 is the number of hours he spends1/21/22wi"wy3/2, where y is thesqueezing them. His cost function is c(w1. w2, y) =number of units of lemonade produced.(a)If lemons cost $1 per pound, the wage rate is $1 per hour, and theprice of lemonade is p, what is his marginal cost function?

Marginal Cost = dTC/dQ where Q is the quantity.

1/3 „1/3 Farmer Joe's production function is f(x1,x2) = x;^x°, where x¡ is the number of pounds of lemons he uses and x2 is the number of hours he spends 1/21/²,3/2, where y is the %3D squeezing them. His cost function is c(w1. w2, y) number of units of lemonade produced. = 2wwy3/2, where y is the (a) If lemons cost $1 per poud, the wage rate is $1 per hour, and the price of lemonade is p, what is his marginal cost function? 2.

1/3 „1/3 Farmer Joe's production function is f(x1,x2) = x;^x°, where x¡ is the number of pounds of lemons he uses and x2 is the number of hours he spends 1/21/²,3/2, where y is the %3D squeezing them. His cost function is c(w1. w2, y) number of units of lemonade produced. = 2wwy3/2, where y is the (a) If lemons cost $1 per poud, the wage rate is $1 per hour, and the price of lemonade is p, what is his marginal cost function? 2.

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter11: Profit Maximization

Section: Chapter Questions

Problem 11.9P

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