A student has a part-time job in a restaurant. For this she is paid $8 per hour. Her utility function for earning $I and spending S hours studying is U(I,S) = I^1/4 S^3/4 (The utility function is a measure of the `usefulness' or `worth' to the student of a certain combination of money and study time). The total amount of time she spends each week working in the restaurant and studying is 100 hours. How should she divide up her time in order to maximise her utility

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A: y= f(x1,x2)=x1ax2b a=b=0.5 the price of factor 1 is 12, the price of factor 2 is 3

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Q: y= f(x1,x2)=x1ax2b Derive the equation for an isoquant curve.   If a=b=0.5 , the price of factor 1…

A: Since y = x1a.x2b, We get x2b = y / (x1a) So, x2 = [y / (x1a)](1/b)  [Equation for isoquant]

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A: Given: U(R,C) = 160lnN + Y Max N = 24 Budget contraint: Y= Wage* Working hours Y=w*(24-N)

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Q: (Short Answers) 1. Jie works in a university. He can work as many hours as he wishes at a wage rate…

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Q: What is the concept map of the Law of Diminishing Returns to a Factor?

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Q: 8) EFG Company is using labor and capital to build phones. The last employee produced 90 more phones…

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A:

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A:

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Q: T = - Q² + 17Q – 60 Find Q that maximizes the function:

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