1. (25 pts) Suppose the farm technology is given by y = 10x25x23, answer the following...

 

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1. (25 pts) Suppose the farm technology is given by y = 10x25x23, answer the following a. (1pts) Calculate the MPP for x b. (1pts) Calculate the MPP for x c. (4pts) Find the isoquant for y = 45 (obtain the equation for x in terms of x and y = 45) d. (5pts) Graph your result from (c) with x in the vertical axis and x in the horizontal axis for y = 45. To graph the isoquant, use the following values for x = 2, 3, 4, 5, 6, 7, 8, 9, and 10 e. (4pts) Find the MRSxx2 f. (5pts) What is the MRSxx for x = 7 and x = 6? Provide an explanation. g. (5 pts) Does this farm display constant returns to scale? Show your math and interpret their return to scale you find. 1. (25 pts) Suppose the farm technology is given by y = 10x25x23, answer the following a. (1pts) Calculate the MPP for x b. (1pts) Calculate the MPP for x c. (4pts) Find the isoquant for y = 45 (obtain the equation for x in terms of x and y = 45) d. (5pts) Graph your result from (c) with x in the vertical axis and x in the horizontal axis for y = 45. To graph the isoquant, use the following values for x = 2, 3, 4, 5, 6, 7, 8, 9, and 10 e. (4pts) Find the MRSxx2 f. (5pts) What is the MRSxx for x = 7 and x = 6? Provide an explanation. g. (5 pts) Does this farm display constant returns to scale? Show your math and interpret their return to scale you find.

Answer rating: 100% (QA)

a To calculate the Marginal Physical Product MPP for x we differentiate the production function y 10x15x23 with respect to x while holding x constant ... View the full answer