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

Author Question: From the profit maximizing conditions for the Cobb-Douglas production function, we find that the ... (Read 36 times)

faduma

  • Hero Member
  • *****
  • Posts: 528
on: Jul 1, 2018
From the profit maximizing conditions for the Cobb-Douglas production function, we find that the optimal input demands for labor and capital may be related as L = brK/(aw). Under what conditions are the expenditures on capital and labor equal?
 
  A) Constant returns to scale
  B) Increasing returns to scale
  C) Decreasing returns to scale
  D) a = b

Question 2

Refer to Scenario 14.4. Suppose that a tax is imposed on each unit of the product that John produces. Which curve will shift?
 
  A) Marginal product of labor
  B) Marginal revenue product of labor
  C) The supply of labor
  D) All of the above will shift due to the tax on output.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

maaaaaaaaaa

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

D

Answer to Question 2

B


faduma

  • Member
  • Posts: 528
Reply 2 on: Jul 1, 2018
Great answer, keep it coming :)

sailorcrescent

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Atropine, along with scopolamine and hyoscyamine, is found in the Datura stramonium plant, which gives hallucinogenic effects and is also known as locoweed.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Did you know?

The effects of organophosphate poisoning are referred to by using the abbreviations “SLUD” or “SLUDGE,” It stands for: salivation, lacrimation, urination, defecation, GI upset, and emesis.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Went and Briggs demonstrated the relationship between light perception and auxin function. Went and Briggs demonstrated the relationship between light perception and auxin function.
Mount Logan, Yukon. Environmental conditions and organisms vary greatly from low to high elevations Mount Logan, Yukon. Environmental conditions and organisms vary greatly from low to high elevations
Production of Saliva Production of Saliva
Various types of integumentary conditions. (C) Acne. Various types of integumentary conditions. (C) Acne.
How to quickly find the vertex of a quadratic equation that is in standard form How to quickly find the vertex of a quadratic equation that is in standard form
Find the voltage, current and power for each resistor in the circuit below Find the voltage, current and power for each resistor in the circuit below
Video: Introduction to Cystic Fibrosis

For a complete list of videos, visit our video library