Question: 15. A rm has a short run production function Q = A'iLi, where A is technology, K is capital set at level of 4, and

15. A rm has a short run production function Q = A'iLi, where A is technology, K is capital set at level of 4, and L is Labor. The price of labor is w, and the price of capital is r. The price of output is p. (a) Please write down the prot of the rm. (b) Please derive rm's rst order condition respect to labor. {c} Please derive rm's optimal level of labor that maximize the prot. {:1} Please derive rm's demand for labor. and express it as a function of wage. (e) Please derive own wage demand elasticity of labor. {f} In this example, are labor and capital gross substitutes or gross complements? {g} A market consists of 10 identical rms. What is the aggregate labor demand of the market

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