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compute the marginal product of capital (MPK) and the marginal product of capital (MPL) of
a. Q=3 K0.4+4 L0.3
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- compute the marginal product of capital (MPK) and the marginal product of capital (MPL) of b. Q=K2/ 5L3 /51. If the MRPK is less than the cost of capital, a firm should increase its investment in physical capital. decrease its investment in physical capital. exit the industry. keep its investment in physical capital the same.How do firms use a diagram to determine their desired level of capital stock (K)
- Please refer to the table attached. The number of fish caught per week on a trawler is a function of the crew size assigned to operate the boat. Based on past data, consider the following production function identifying the relationship between output and labor input. You may assume that capital is fixed at 10 units. Answer all of the question. Calculate APL and MPL. Graph APL and MPL. Do they have the expected shape? On your graph, identify the three stages of production.Question 19 Consider the following graph of a production function when capital is constant. (The following is a description of the figure: it shows a two-axis graph; the horizontal axis measures labor and the vertical axis measures output; for a K fixed, the graph shows that maximal production that the firm can achieve with different levels of labor; the graph starts at cero production for zero labor; then it is increasing in all of its range; three levels of labor are shown as reference; there are L1, L2, and L3; they are related as follows L1<L2<L3; the graph is convex from 0 to L1, that is, its slope is increasing; the graph is concave from L1 on, that is, its slope is decreasing; the line that is tangent to the curve at L2, passes through the origin of the graph.) From the graph we know that for the corresponding K: MPL(L2,K)=MPL(L3,K) MPL(L1,K)>MPL(L2,K) MPL(L1,K)=MPL(L2,K) MPL(L1,K)<MPL(L2,K) MPL(L3,K)>MPL(L2,K)At some point, if all factors of production are being used, it becomes impossible to generate additional output, so the AS curve becomes (two words, 1 mark). 18
- Suppose the production function for widgets is given by q=kl -0.8k²-0.21² where q represents the annual quantity of widgets produced, k represents annual capital input, and I represents annual labor input. Suppose k = 10; at what level of labor input does this average productivity reach maximum? (please put your answer in numerical values with no comma or decimal place). How many widgets are produced at that point? (please put your answer in numerical values with no comma or decimal place). If k = 10, at what level of labor input does MPL = 0? Suppose capital inputs were increased to k = 20, at what level of labor input does this average productivity reach maximum? widgets are produced at that point? (please put your answer in numerical values with no comma or decimal place). If k = 20, at what level of labor input does MPL = 0? answer in numerical values with no comma or decimal place). Does the widget production function exhibit constant, increasing, or decreasing returns to scale?…A firm is currently producing such that: MPL = 30 W = 10 MPK = 20 To minimize the cost of production, this firm should: a. Use more labor and less capital which will (likely) decrease the MPL b. Use more labor and less capital which will (likely) increase the MPL C. Use less labor and more capital which will (likely) decrease the MPK Od. Use less labor and more capital which will (likely) increase the MPK v = 20Given the following production function Y=X+4X^2-0.2X^3. At what level of X does the Average physical product (APP) reach its maximum?
- What is the marginal product of capital (MPK) for the following production function Q = min {L, K} ? O MPK = 1 if LK MPK = 0 if LK O MPK = 0 if LAn economy has the following Cobb-Douglas production function: ?=100?^(1/3)?^(2/3) . The economy has 125 units of capital and 64 units of labor. d. Calculate the marginal product of capital MPK. e. Calculate the marginal product of labor (MPL).Suppose that the output Q (in units) of a certain company is Q = 75K¹/3-2/3, where K is the capital expenditures in thousands of dollars and L is the number of labor hours. Find aQ/ƏK when capital expenditures are $1,331,000 and the labor hours total 2197. (Round your answer to the nearest whole number.) aq/ək = units per thousand dollars Interpret aQ/ƏK. If labor hours remain at 2197 and K increases by $1000, Q will increase about units. Find aQ/aL when capital expenditures are $1,331,000 and the labor hours total 2197. (Round your answer to the nearest whole number.) ƏQ/ƏL = units per labor hour Interpret aQ/ƏL. If capital expenditures remain at $1,331,000 and L increases by one hour, Q will increase about units.SEE MORE QUESTIONS
