Question: Consider the production function = () = 0.5 Letbe the price of output andbe the price of input State the profit maximisation problem formally (with

Consider the production function = () = 0.5

Letbe the price of output andbe the price of input

  1. State the profit maximisation problem formally (with the production function substituted).
  2. Find the input demand and output supply functions.
  3. Find the profit function.

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