In the short-run, we assume that capital is a fixed input and labor is a variable input, so the firm can increase output only by increasing the amount of labor it uses. In the short-run, the firm's production function is q = f(L, K), where q is output, L is workers, and K is the fixed number of units of capital. A specific equation for the production function is given by: or, when K = 29, q = 8LK + 5L² q= (8Lx29) + 5L² - (3) ²³. Use this equation to generate the values for output and fill in the table to the right. (Round your answers to the nearest integer.)
In the short-run, we assume that capital is a fixed input and labor is a variable input, so the firm can increase output only by increasing the amount of labor it uses. In the short-run, the firm's production function is q = f(L, K), where q is output, L is workers, and K is the fixed number of units of capital. A specific equation for the production function is given by: or, when K = 29, q = 8LK + 5L² q= (8Lx29) + 5L² - (3) ²³. Use this equation to generate the values for output and fill in the table to the right. (Round your answers to the nearest integer.)
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter7: Production Economics
Section: Chapter Questions
Problem 5E
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Transcribed Image Text:K
In the short-run, we assume that capital is a fixed input and labor is a variable input, so the firm
can increase output only by increasing the amount of labor it uses. In the short-run, the firm's
production function is q = f(L, K), where q is output, L is workers, and K is the fixed number of
units of capital.
A specific equation for the production function is given by:
or, when K = 29,
9 =
= 8LK + 5L² - L³
3
+ 6L² - (37) 2³.
(8L x 29) +
Use this equation to generate the values for output and fill in the table to the right. (Round your
answers to the nearest integer.)
Transcribed Image Text:Labor (L)
9246
8 100 12
Production
Output (q)
0
481
987
2,005
2,928
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