Chapter 14, Problem 34RE

(a)

To determine

To calculate: The number of units of labor and the number of units of capital that maximize production if the production function is $z=300x^{2/3}{y}^{1/3}$.

(b)

To determine

To calculate: The marginal productivity of money and interpret the answer if the production function is $z=300x^{2/3}{y}^{1/3}$.

(c)

To determine

To graph: The constraint with the production function when $z=180,000$, $z=300,000$, and when the z-value is optimal if the production function is $z=300x^{2/3}{y}^{1/3}$.