(Answered) A firm operates with the production function q 14k 04 l05a

Economics

A firm operates with the production function Q = 1.4K 0.4 L0.5.

(a) If the prices of labor and capital are $10 and $20, respectively, and the firm's allocates only $8,000 a day for production costs (net of fixed cost) how many units of output can the firm produce? (Use the substitution method).

(b) How many units of labor and capital does firm employ?

View complete question

Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M91545473
Price:- $15

Verified Expert

Priced at $30 Now at $15, Verified Solution

Have any Question?Write your Review or question?

Related Questions in Microeconomics

Question evaluate whether new nations depend of strong

Question: Evaluate whether new nations depend of strong governments to succeed. Take a position on whether strong governments are necessary to ensure stability and prosperity for new nations. Be sure to define what makes ...

Question as noted earlier in this chapter ibm fell on hard

Question: As noted earlier in this chapter, IBM fell on hard times during the 1980s and ultimately abandoned its no-layoffs policy in the 1990s, while also taking other cost-cutting initiatives. Its "Hundred Percent Club ...

Question what is mediation in the collective bargaining

Question: What is Mediation in the Collective Bargaining Process? What are the advantages of mediation? How does Mediation differ from Interest Arbitration? The response must be typed, single spaced, must be in times new ...

Question suppose p 20 - 2q is the market demand function

Question: Suppose P = 20 - 2Q is the market demand function for a local monopoly. The marginal costis 2Q. The local monopoly tries to maximize its profits by equating MC = MR and charging auniform price. What will be the ...

Assignment consider a team that you have been a member of

Assignment: Consider a team that you have been a member of. This can be a work team, sports team, school team etc. Explain the purpose of the team, the group task functions, the individual task functions, and if the team ...

Question describe how the government should set up

Question: Describe how the government should set up monopolists price to ensure allocatice efficiency. What is the problem with setting the price at this level? The response must be typed, single spaced, must be in times ...

Question intel built a microprocessor chip factory at their

Question: Intel built a microprocessor chip factory at their site in Malaysia in 2012. spending $500,000,000 for it. They are expanding their business, and they want to build a new factory in 2017 Additional information ...

Question an economy has a saving rate of s 08 a

Question: An economy has a saving rate of s= .08, a depreciation rate of .02, a population growth rate of n= .03, and a growth rate of effective labor of g= .05. a. the capital-output ratio, k/y, for this economy is: b. ...

Question if the perfectly competitive firm produces the

Question: If the perfectly competitive firm produces the output at which its marginal cost equals market price, it receives no profit (or a very tiny one) on the last unit it produces. Doesn't it make sense to produce fe ...

Question in march 2002 president george bush signed into

Question: In March 2002, President George Bush signed into law a tariff increase of up to 30% on certain steel imports. Obviously the steel companies were pleased, and fabricated metal producers were displeased. Now go b ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Microeconomics Expert