The table below shows the total production of a firm as the quantity of labor employed increases. The quantities of all other resources employed are constant. Compute the marginal and average products and enter them in the table.
-
(a) At what levels are there increasing returns to labor and at what levels are there decreasing returns to labor?
-
(b) Describe the relationship between the total product and marginal product.
-
(c) Describe the relationship between marginal and average product.
B)
For the following three cases, use a midpoints formula to calculate the coefficient for the cross
-
(a) The quantity demanded for product A increases from 30 to 40 as the price of product B increases from $0.10 to $0.20.
Elasticity: ______ Relationship: ________________
-
(b) The quantity demanded for product A decreases from 3000 to 1500 as the price of good B increases from $5 to
$10.
Elasticity: ______ Relationship: ________________ -
(c) The quantity demanded for product A remains 400 units as the price of product B increases from $25 to $30. Elasticity: ______ Relationship: ________________
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 1 images
