Dave currently uses labor and capital to make his microbrews. He has been tracking his production...

  

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Dave currently uses labor and capital to make his microbrews. He has been tracking his production data over the last 2 years. This data is located in the tab "Production Data." Dave has asked you to analyze the production data by doing the following: (1) Estimate a linear production function using a regression of Q on K and L. Note: Your production function should like this: Q = cL+bK, where Q=quantity demanded, L= labor, and K=capital. Make sure you click on the box "constant is zero" to get rid of the constant in the equation! (2) Determine the marginal product of labor and the marginal product of capital. Explain what these marginal products tell you about the relative productivity of labor and capital at GBC. Q 6572.9 9359.3 11106.5 12008.9 10526.8 34060.2 24278.9 42574.6 16251.9 12720.5 10044.5 5988.7 8531 L K 1623.1 2799.9 2144.3 5425 1864.4 7215.1 2458.3 11676.8 2114 8117.7 6906.1 45580.2 4527.9 30699.1 7142 55850.1 3205.4 16187.5 2531.7 15620.8 264.4 6620.4 1407.3 8753.7 1450.4 16969.8 2402.7 10787.9 5367.3 21093.4 1395.5 8842.4 91197 56869.9 17010.6 52063.6 32887.2 3573.2 20319.3 24929.8 17117.4 7685.9 24929.8 11656.3 19175.5 98491.7 15648.3 10882.7 2146.2 80956.3 10831 31753.9 5217.4 16533.8 3048.5 51593.1 8356.9 33784 2840 5928.5 1507.7 16019.8 2599.1 20658.5 22938.7 7456.7 20000.5 10882.7 31223.9 4976 2752 1370 4976 2000 5000.4 8000 50000 Dave currently uses labor and capital to make his microbrews. He has been tracking his production data over the last 2 years. This data is located in the tab "Production Data." Dave has asked you to analyze the production data by doing the following: (1) Estimate a linear production function using a regression of Q on K and L. Note: Your production function should like this: Q = cL+bK, where Q=quantity demanded, L= labor, and K=capital. Make sure you click on the box "constant is zero" to get rid of the constant in the equation! (2) Determine the marginal product of labor and the marginal product of capital. Explain what these marginal products tell you about the relative productivity of labor and capital at GBC. Q 6572.9 9359.3 11106.5 12008.9 10526.8 34060.2 24278.9 42574.6 16251.9 12720.5 10044.5 5988.7 8531 L K 1623.1 2799.9 2144.3 5425 1864.4 7215.1 2458.3 11676.8 2114 8117.7 6906.1 45580.2 4527.9 30699.1 7142 55850.1 3205.4 16187.5 2531.7 15620.8 264.4 6620.4 1407.3 8753.7 1450.4 16969.8 2402.7 10787.9 5367.3 21093.4 1395.5 8842.4 91197 56869.9 17010.6 52063.6 32887.2 3573.2 20319.3 24929.8 17117.4 7685.9 24929.8 11656.3 19175.5 98491.7 15648.3 10882.7 2146.2 80956.3 10831 31753.9 5217.4 16533.8 3048.5 51593.1 8356.9 33784 2840 5928.5 1507.7 16019.8 2599.1 20658.5 22938.7 7456.7 20000.5 10882.7 31223.9 4976 2752 1370 4976 2000 5000.4 8000 50000