At the given wage and price level, Live Happley should hireSuppose that the price of strawberries increases to $15 per pound, but the wage rate remains at $200.On the previous graph, use the purple points (diamond symbol) to plot Live Happley's labor demand curve when the output price is $15 per pound.Now Live Happley should hirewhen the output price is $15 per pound.Assuming that all strawberry-producing firms have similar production schedules, an increase in the price of strawberries will cause thestrawberry pickers toSuppose that wages increase to $250 due to an increased demand for workers in this market. Assuming that the price of strawberries remains at $15per pound, Live Happley will now hire 4. Profit maximizationConsider Live Happley Fields, a small player in the strawberry business whose production has no individual effect on wages and prices. Live Happley'sproduction schedule for strawberries is given in the following table:LaborOutput(Number of workers)(Pounds of strawberries)120385446880Suppose that the market wage for strawberry pickers is $200 per worker per day, and the price of strawberries is $13 per pound.On the following graph, use the blue points (circle symbol) to plot Live Happley's labor demand curve when the output price is $13 per pound.Note: Remember to plot each point between the two integers. For example, when the number of workers increases from 0 to 1, the value of themarginal product of for the first worker should be plotted with a horizontal coordinate of 0.5, the value halfway between 0 and 1. Line segments willautomatically connect the points.300270Demand P = $13240210180Demand P = $151501209060300.2LABOR (Number of workers)At the given wage and price level, Live Happley should hireWAGE (Dollars per worker)

The production function illustrates the relationship between the quantity of inputs used and the…

Answered: Consider Live Happley Fields, a small…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Consider a production process where flowers are grown (the output) using gardeners (labor) and greenhouses (capital). The quantity of flowers grown per day with various combinations of labor and capital are shown in the table. Fill in the marginal product of labor in the table below. (Enter your responses as integers).
Quantities Produced 225 220 215 210 205 200 195 190 185 180 175 170 165 160 155 150 145 140 135 130 125 120 115 110 105 100 95 90 85 80 75 70 65 60 55 50 45 40 35 30 0 1 2 3 Number of Workers units of output. productivity. The graph above shows the relationship between the daily quantities of a good produced by a small firm and the number of workers hired, given all the other resources available to the firm. For example, one worker can produce 30 units and two workers can produce 55 units. Such a relationship between a production factor (here labor) and the amount of output produced is called a production function. Currently the nominal wage rate is W = $200 per worker per day and the price of the product is P = $10 per unit. Of the amount of increase in production noted above, 4 Now suppose that the firm installs some new machines and offers the workers some rigorous training and as a result the productivity of the workers increases. In particular, the marginal product of each worker…
Use the following image to answer the questions: The first is a (human) worker, who must be paid $18 for each hour they spend producing chairs. The second is a robot, that costs $15 of inputs (including electricity and maintenance) for each hour it works. Assume that the sale price of chairs is always sufficiently high that it is profitable to fulfill this 80-chair order. The firm needs to make 80 chairs to fulfill its order. Assume also that the firm is profit maximizing (& therefore cost minimizing). 1) What combinations of robot and worker hours must they use to minimize costs? Show your work. Please Use the equation that must be true for cost minimization pls show full calculations
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Tom Petersen is considering renovating bar stools at Dreamland. The productionfunction for new bar stools is given byq= 0.5L0.5where q is the number of stools produced during the renovation week and l represents thea number of worker hours employed during the period. The firm is a price taker for both bar stools(which sell for P) and workers (which can be hired at a wage rate of w per hour).a. What is the cost function for this firm C(w,q)?b. What is the supply function for bar stools q(P,w)?c. What is the profit function for this firm (P,w)?d. What is the firm’s demand function for labor function L(P,w)?
Graph the demand for labor as a function of the wage using this data. What happens to the number of workers when wage goes up? How many workers will be hired and how many cookies made at a wage of 40.50? Please give me the equations so I can understand how to create this graph.
am. 118.
In the Cost Minimization Problem, the isoquant curve for an output level equal to the output quota? Illustrates the cost of labor and capital a firm pays to produce a level of output in excess of an output quota. Illustrates all combinations of labor and capital that a firm cannot afford. Illustrates all combinations of labor and capital that a firm can afford. O Illustrates all combinations of labor and capital that a firm can use to produce a level of output equal to the output quota.
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Q5. A bicycle manufacturer in China currently employs 40 production workers and five supervisors and produces . The marginal product of the last production worker employed is 60 units of output per hour, and production workers are paid 50 CNY per hour. The marginal product of the last supervisor employed is 120 units of output per hour, and supervisors are paid 80 CNY per hour. i. If the firm produced 2,100 bicycles per month before the last production worker was hired, how many bicycles does it produce now? ii. Assume that the firm's isoquants are smooth curves and that labor hours can be varied continuously. Is the firm producing the maximum level of bicycles given its current level of cost? Explain why or why not. If it isn't, explain what it should do to increase output.

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