Define the difference of long-run production function and a short-run production function?

Q: How is the difference between average total cost and average variable cost impacted by an increase…

A: Average total cost is the total cost per unit whereas average variable cost is the total variable…

Q: Provide a graph and an explanation to show that the production function Q = L.5K.5 has diminishing…

A: Meaning of Law of Variable Proportions: The term law of variable proportions refers to the…

Q: If the marginal cost of production is greater than the average variable cost, what does this tell…

A: Variable costs are the ones which change with the change in the level of output, i.e., it is output…

Q: With a Cobb-Douglas production function of Y= K$L$, What are the marginal product of capital and the…

A: Y = K25L35

Q: Why does the average fixed cost falls with the increase in output?

A: Fixed cost is that cost which doesn't Change in the short run as the production proceeds.  Average…

Q: True or False? This marginal cost function is the derivative of the production function.

A: We have, Cw1,w2,y=w113+w2133y2 The marginal cost  MC = Cyw,y It means the C(w1,w2,y) function is…

Q: The production function in the image uses a variable amount of labor and a fixed a mount of capital…

A: Production function states the functional relationship among input and output produced. In the…

Q: Does this production function exhibit constant returns to scale? Using the marginal products you…

A: To evaluate if the production function displays consistent returns to scale, we must first see if…

Q: What is the  Short run and long run period in the production function of the economics

A: In simple words we can say that the Short run period in the production function of the economics…

Q: Show the relationship between production function and cost function

A: Production function refers to the quantities of a physical product to the quantity of factors of…

Q: In the Figure below , explain why are the short run production Function and the long run production…

A: Production function refers to a mathematical equation that represents the technological relatioship…

Q: What is the difference between the short run and long run for a firm? How does this relate to fixed…

A: Short run and long in economics is related to production of firms in which various fixed and various…

Q: With a Cobb-Douglas production function of Y = K$L5, What are the marginal product of capital and…

A: A production function illustrates the relationship between the inputs used and output produced in a…

Q: Show the relationship between short-run marginal and average cost curves, and long-run marginal and…

A: In the short run there are two types of costs:- fixed costs and variable costs. In the short run…

Q: What is the behaviour of average fixed cost as output increases

A: Total cost is the expenditure incurred in the production of goods and services. It is the cost that…

Q: Explain the relationship between the production function and the average costs and marginal costs…

A: Answer: Production function/Total product: production function shows the relationship between output…

Q: What is the difference between a fixed input and a variable input?

A: Inputs are the resources that are used in the production of output. There are generally four inputs…

Q: A farm producing wheat has the following production function Q = 4L + 3K. Does the above function…

A: Given, Q=4L+3K Production function shows the technical association between the input and output. It…

Q: Explain how a change in the price of one input factor changes a firm’s long-run expansion path?

A: The firms, and businesses are the entities who are considered to be of utmost importance for the…