This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: A firm has the following production function: q = (L1/3 + K1/3)3 a. Determine the returns to ... (Read 57 times)

mwit1967

  • Hero Member
  • *****
  • Posts: 501
on: Jul 1, 2018
A firm has the following production function:
 
  q = (L1/3 + K1/3)3
 
  a. Determine the returns to scale for this function.
  b. Determine the MRTS.
  c. Determine the Elasticity of Substitution.

Question 2

A monopoly will NOT be able to perfectly price discriminate if
 
  A) obtaining information about each buyer's reservation price is too costly.
  B) demand is very elastic.
  C) demand is very inelastic.
  D) resale is impossible.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Mholman93

  • Sr. Member
  • ****
  • Posts: 328
Reply #1 on: Jul 1, 2018
Answer to Question 1

a. CRTS
b. MRTS = -(L/K)-2/3
c. E = 3/2

Answer to Question 2

A


mwit1967

  • Member
  • Posts: 501
Reply 2 on: Jul 1, 2018
Wow, this really help

patma1981

  • Member
  • Posts: 292
Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

« previous next »
 

Did you know?

Though the United States has largely rejected the metric system, it is used for currency, as in 100 pennies = 1 dollar. Previously, the British currency system was used, with measurements such as 12 pence to the shilling, and 20 shillings to the pound.

Did you know?

All adverse reactions are commonly charted in red ink in the patient's record and usually are noted on the front of the chart. Failure to follow correct documentation procedures may result in malpractice lawsuits.

Did you know?

To combat osteoporosis, changes in lifestyle and diet are recommended. At-risk patients should include 1,200 to 1,500 mg of calcium daily either via dietary means or with supplements.

Did you know?

Human neurons are so small that they require a microscope in order to be seen. However, some neurons can be up to 3 feet long, such as those that extend from the spinal cord to the toes.

Did you know?

The cure for trichomoniasis is easy as long as the patient does not drink alcoholic beverages for 24 hours. Just a single dose of medication is needed to rid the body of the disease. However, without proper precautions, an individual may contract the disease repeatedly. In fact, most people develop trichomoniasis again within three months of their last treatment.

Glioma. (a) Illustration of a large glioma (colored area) within the left cerebral hemisphere in a s Glioma. (a) Illustration of a large glioma (colored area) within the left cerebral hemisphere in a s
Part C - Structure and function of the human brain Part C - Structure and function of the human brain
How to find the domain and range of a function (Part 1) How to find the domain and range of a function (Part 1)
How to shift and reflect a square root function using transformations How to shift and reflect a square root function using transformations
The system moves at 1.50 2 m/s while the inclined planes are rough. a) Determine the ... The system moves at 1.50 2 m/s while the inclined planes are rough. a) Determine the ...
Structure and function of the gills of a bony fish. Structure and function of the gills of a bony fish.
Video: Protein Structure - Primary, Secondary, Tertiary and Quaternary

For a complete list of videos, visit our video library