2wrQSuppose the long-run cost function is given by: C(w, r, Q) =(W+1)"What would be the conditionaldemand for labor and capital respectively?2rQ2wQ(w+r)²(w+r)²Q(w+r)²(w+r)212Q2w²Q(w+r)?(w+r)2212Q2w²Q(w+r)(w+r)3

Answer: Given, Long-run total cost function: Cw,r,Q=2wrQw+r The equation for conditional demand for…

2wrQ Suppose the long-run cost function is given by: C(w,r. Q) = What would be the conditional (W+r)' demand for labor and capital respectively? 2rQ 2wQ (w+r)? ' (w+r)² Q (w+r)² (w+r)? 2W²Q (w+r)2 (w+r)2 O 27²Q 2w²Q (w+r)³ ' (w+r)³

2wrQ Suppose the long-run cost function is given by: C(w,r. Q) = What would be the conditional (W+r)' demand for labor and capital respectively? 2rQ 2wQ (w+r)? ' (w+r)² Q (w+r)² (w+r)? 2W²Q (w+r)2 (w+r)2 O 27²Q 2w²Q (w+r)³ ' (w+r)³

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

2wrQ
Suppose the long-run cost function is given by: C(w, r, Q) =
(W+1)"
What would be the conditional
demand for labor and capital respectively?
2rQ
2wQ
(w+r)²
(w+r)²
Q
(w+r)²
(w+r)
212Q
2w²Q
(w+r)?
(w+r)2
212Q
2w²Q
(w+r)
(w+r)3

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