Q2.1- Suppose that you are given the following production function:Q = 100K0.6L0.4Determine the marginal product of capital and the marginal product of labor when K =25 and L= 100.2- For each of the following production functions, determine whether returns to scaleare decreasing, constant, or increasing when capital and labor inputs are increased fromK= L = 1 to K = L = 2.a. Q = 25K0.5L0.5b. Q = 2K + 3L + 4KL

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Suppose that you are given the following production function: Q=100K0.6L0.4 etermine the marginal product of capital and the marginal product of labor when k 6 and L = 100. For each of the following production functions, determine whether returns to sca e decreasing, constant, or increasing when capital and labor inputs are increased f = L = 1 to K = L = 2. a. Q=25K0.510.5

Suppose that you are given the following production function: Q=100K0.6L0.4 etermine the marginal product of capital and the marginal product of labor when k 6 and L = 100. For each of the following production functions, determine whether returns to sca e decreasing, constant, or increasing when capital and labor inputs are increased f = L = 1 to K = L = 2. a. Q=25K0.510.5

ENGR.ECONOMIC ANALYSIS

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ISBN:9780190931919

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Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Q2.
1- Suppose that you are given the following production function:
Q = 100K0.6L0.4
Determine the marginal product of capital and the marginal product of labor when K =
25 and L= 100.
2- For each of the following production functions, determine whether returns to scale
are decreasing, constant, or increasing when capital and labor inputs are increased from
K= L = 1 to K = L = 2.
a. Q = 25K0.5L0.5
b. Q = 2K + 3L + 4KL

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