« previous next »

Author Question: Suppose a perfectly competitive firm's production function is q = L0.2K0.6 and it takes the wage and ... (Read 56 times)

Davideckstein7

  • Hero Member
  • *****
  • Posts: 555
on: Jul 1, 2018
Suppose a perfectly competitive firm's production function is q = L0.2K0.6 and it takes the wage and price as given. Then the firm's long-run demand for labor as a function of K, w, and p is
 
  A) p5((0.2/w)2(0.6/r)3).
  B) p5((0.2/w)4(0.6/r)5).
  C) p5((0.2/w)5(0.6/r)4).
  D) p5((0.2/w)3(0.6/r)2).

Question 2

If a firm's marginal costs ________ then its ________.
 
  A) fall; best-response curve shifts
  B) rise; forced out of the oligopoly
  C) rise; output increases
  D) fall; price falls


Kaytorgator

  • Sr. Member
  • ****
  • Posts: 345
Reply #1 on: Jul 1, 2018
Answer to Question 1

A

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

In Eastern Europe and Russia, interferon is administered intranasally in varied doses for the common cold and influenza. It is claimed that this treatment can lower the risk of infection by as much as 60–70%.

Did you know?

In the ancient and medieval periods, dysentery killed about ? of all babies before they reach 12 months of age. The disease was transferred through contaminated drinking water, because there was no way to adequately dispose of sewage, which contaminated the water.

Did you know?

People often find it difficult to accept the idea that bacteria can be beneficial and improve health. Lactic acid bacteria are good, and when eaten, these bacteria improve health and increase longevity. These bacteria included in foods such as yogurt.

Did you know?

Bisphosphonates were first developed in the nineteenth century. They were first investigated for use in disorders of bone metabolism in the 1960s. They are now used clinically for the treatment of osteoporosis, Paget's disease, bone metastasis, multiple myeloma, and other conditions that feature bone fragility.

Did you know?

The most destructive flu epidemic of all times in recorded history occurred in 1918, with approximately 20 million deaths worldwide.

Structure and function of the Na+/K+ pump. Structure and function of the Na+/K+ pump.
Four main models that describe the relationship between ecosystem function and biodiversity. Four main models that describe the relationship between ecosystem function and biodiversity.
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
How to horizontally shift a sinusoidal function (y=a*sin⁡b(x−c)+d) How to horizontally shift a sinusoidal function (y=a*sin⁡b(x−c)+d)
Derivative of Inverse Trig Function Derivative of Inverse Trig Function
For each function f(x) = 6x^2 - 4, estimate the instantaneous rate of change for the given ... For each function f(x) = 6x^2 - 4, estimate the instantaneous rate of change for the given ...
Video: Major Elements in Biological Molecules: Carbohydrates

For a complete list of videos, visit our video library