1/2Consider a firm with the production function ƒ(x₁, x₂) = x¹/²x₂. The price of thetwo inputs is ₁ = 2 and w₂ = 1.If x₁ = x₂ = 16, the marginal product of input 1 isWhen ₁ is increasing and 2 stays the same, the marginal product of input 1 isConstantDecreasingIncreasingThis production function hasConstant returns to scaleDecreasing returns to scaleO Increasing returns to scaleNone of the other answers is correctDoes the production function have a diminishing technical rate of substitution?NoYes

Production function shows the functional relationship between the output and inputs. The production…

If x₁ = x₂ = 16, the marginal product of input 1 is two inputs is w₁ = 2 and ₂ = 1. When ₁ is increasing and 2 stays the same, the marginal product of inpu Constant O Decreasing O Increasing This production function has Constant returns to scale Decreasing returns to scale

If x₁ = x₂ = 16, the marginal product of input 1 is two inputs is w₁ = 2 and ₂ = 1. When ₁ is increasing and 2 stays the same, the marginal product of inpu Constant O Decreasing O Increasing This production function has Constant returns to scale Decreasing returns to scale

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Does the production function 10 q= 1000L - K exhibit increasing, decreasing, or constant returns to scale? This production function exhibits V returns to scale. 20 tv MacBook Air DII DD 80 F10 F4 FS F6 F2 $ &t 3 4 6 7 8 9 { E Y P F G J K L > с V N M command option - - .. .- - B
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Q2
Could I please have help answering the original question and checking my isoquant points
(a) Solve for and graph this firm’s isoquant at q = 10. Please label three points along this isoquant b) Does this production function exhibit increasing, decreasing, or constant returns to scale? Explain. Please corroborate your answer using a set of isoquants when the quantity of both inputs gets doubled.
Which of the following production functions exhibits increasing returns to scale? OA. AY=k1/2 1/2 O B. Y=K°L1-a O.Y=k1/3L 2/3 O D. Y=K1/2L 3/4 O E. Y=K1/3L 1/3
2
As the marginal physical product of a variable input increases, the marginal cost decreases. a. true b. false
The production function Q=0.8X+0.6Y exhibits A. increasing return to scale. OB. economies of scale. O C. decreasing returns to scale. O D. constant returns to scale.
Which of the following statements is true? O At every output level the marginal product curve lies above the average product curve. The marginal product curve always has a positive slope. The marginal product = average product curves when average product is at its maximum. O The marginal and average product curves intersect at the maximum level of output.
Assume a Cobb-Douglas production function of the form: 3 What type of returns to scale does this production function exhibit? In this instance, returns to scale equal This production function exhibits q=10L0.28K0.59 (Enter a numeric response using a real number rounded to two decimal places.) OA. increasing returns to scale. OB. constant returns to scale. OC. initially decreasing but then constant returns to scale. O D. decreasing returns to scale. O E. initially constant but then decreasing returns to scale.