Consider a firm that produces cars with the following production function: q = min(aK, bL) a. Find the Marginal Rate of Technical Substitution of labour for capital for this firm b. If per unit prices of capital (K) and labour (L) are r and w respectively, find the input demand functions for K and L; as well as the long run cost function c. Present your solutions graphically. (Thus, draw the Isoquant and Isocost of this firm)

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A: Average cost measures the per unit cost of production.

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A: Answer in step 2.

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A:

Q: What is MC(y) for cost function c(y) = y3? Input prices are taken as constants.

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A: The answer to the questions is as given below :

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Q: You are a manager for Herman Miller, a major manufacturer of office furniture. You recently hired an…

A: PLEASE FIND THE ANSWER BELOW.

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A:

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A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…