« previous next »

Author Question: Suppose MPL = 20 and MPK = 40 and the rental rate on capital is 10 . If the level of production is ... (Read 77 times)

james9437

  • Hero Member
  • *****
  • Posts: 568
on: Jul 1, 2018
Suppose MPL = 20 and MPK = 40 and the rental rate on capital is 10 . If the level of production is currently efficient, the wage rate must be
 a. 10
  b. 5
  c. 20
  d. 40

Question 2

Suppose a production function is q = K1/2L1/3 and in the short run capital (K) is fixed at 100 . If the wage is 10 and the rental rate on capital is 20, the fixed cost is
 a. 2,000
  b. 200
  c. 20,000
  d. 0


Ahnyah

  • Sr. Member
  • ****
  • Posts: 336
Reply #1 on: Jul 1, 2018
Answer to Question 1

b

Answer to Question 2

a


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

james9437

  • Hero Member
  • *****
  • Posts: 568
Reply #2 on: Jul 1, 2018
Thank you


Ahnyah

  • Sr. Member
  • ****
  • Posts: 336
Reply #3 on: Jul 1, 2018
No problemo


« previous next »
 

Did you know?

Elderly adults are at greatest risk of stroke and myocardial infarction and have the most to gain from prophylaxis. Patients ages 60 to 80 years with blood pressures above 160/90 mm Hg should benefit from antihypertensive treatment.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Did you know?

Inotropic therapy does not have a role in the treatment of most heart failure patients. These drugs can make patients feel and function better but usually do not lengthen the predicted length of their lives.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Tree species richness in North America is correlated with evapotranspiration rate. Tree species richness in North America is correlated with evapotranspiration rate.
Oil and Natural Gas Production from More Wells in Smaller Areas Oil and Natural Gas Production from More Wells in Smaller Areas
Factors That Affect Your Basal Metabolic Rate Factors That Affect Your Basal Metabolic Rate
Role of Factors of Production in Determining Growth, 1975–2009 Role of Factors of Production in Determining Growth, 1975–2009
Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ... Daniel's Enterprises has a beta of 1.98 and a growth rate of 12 percent. The stock is ...
Mechanisms involved in production of metabolic alkalosis due to loss of gastric fluid Mechanisms involved in production of metabolic alkalosis due to loss of gastric fluid
Video: Mitochondrial Structure & ETC Protein Complexes (Protein Complexes and Electron Transport)

For a complete list of videos, visit our video library