Question: Question is in attached image. Thank you! 3) Consider the production function of a rm 3; = K Lb. Output y can be sold at

Question is in attached image. Thank you!

3) Consider the production function of a rm 3; = K \"Lb\". Output y can be sold at the price p. Firms face the price 1' for capital, K and w for labor L. Prot is given by arr = py rk ml the condition or prot maximization are given by 3'2 y _ _ _ _ _ -PT-, aL-PU ML \"1-0 (9) Show that this condition implies that prots are zero for this rm

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Economics Questions!

Write Verilog code for the divider circuit that has the data path in Figure 7.30 and the control circuit represented by the ASM chart in Figure 7.31. Clock Rsel- LR L ER E 0 EQ 0 Left-shift register...

Question is in the attached image. Thank you! 3) Consider a firm that produces output y in a a perfectly competitive market and can charge the market price p = 5 which it takes as given. Sup- pose...

Question is in attached image. Thank you! Consider an upstream and downstream monopolist problem. The upstream monopolist sells inputs, 3, to the downstream monopolist at the price :1 and faces the...

Question is in the attached image. Thank you! 2) Consider the problem of the upstream and downstream monopolist (pg 510 in Varian). Suppose the upstream monopolist faces a constant marginal cost of M...

help please on the following, For each ton of a certain type of rice commodity, the four-year forward price is 300. A four-year 400-strike European call option costs 110. The continuously compounded...

cc this are the questions Let US be the home country and Canada be the foreign country. Suppose that Canada experiences a temporary decline in their real GDP. Assume all else is constant. Consider...

Using the formulas for the steady state levels of capital and output, compare the capital stock, , and output, , after the drop in the population . (10 points) c. Graph the level of output (y-axis)...

Solve the following attachments The Pristine River Case The Pristine River has two polluting firms on its banks. Acme Industrial and Creative Chemicals each dump 100 tons of glop into the river each...

guide on this questions thank you 6. (10) Consider the following bargaining game between a buyer and a seller. The seller has access to a technology which allows him to produce q units of a good at...

Economics questions... . Suppose that a market is composed of two firms that simultaneously choose quantities. Firm 1 has 22 a cost function C1(q1) = q1^2. Firm 2 has a cost function C2(q2) =...

Help with drawing graph is need too Thank you and Please don't Block it when you are not able to solve it 1. Computing labor productivity and its relationship to the demandfor labor Sizzler's...

Analysis of a metal chloride XCl3 shows that it contains 67.2 percent Cl by mass. Calculate the molar mass of X and identify the element.

Identify 3 things (3 different types of errors, i.e, not all 3 can be spelling errors) that are wrong with this cover letter and explain how they could be improved. Assume parts that are not shown at...

Consider the state variable model with parameter K given by 0 1 0 x(t) 0 0 1 x(t) + u(t), -2 -K -2 y(t) =[100]x(t). Plot the characteristic values of the system as a func- tion of K in the range 0

Question # 2: Convert the following GOAL statement into SMART GOA L. To become a doctor (150)

Read the business case study JP Morgan Chase & Co and answer the following: Write a one paragraph synopsis of Alayne Fleischmanns situation since blowing the whistle.

Sophia spends all her money on gummy worms and apps for her smartphone. A pound of gummy worms and a smartphone app each cost $2. Sophias parents give her an allowance of $80 and 2 pounds of gummy...

Q1. You are the C.E.O. of an advertising agency. The creative team that works for you is talented and creative. It always comes up with fresh ideas for ad campaigns. On the other hand this creative...

Q3. Your organization has recently modified the attendance policy for employees in accordance with the condition during COVID-9 pandemic. The new policy emphasises on the flexible time bracket to...

Which one of the following is NOT among the three elements of a Business process? Question 42 options: A) Inputs B) Resources C) Outputs D) Performance

Always have the dignity of the other or others as a backdrop.

1. There are two purposes in this chapter. The first is to break out of habits that have a limiting effect on ones own ability to change. Secondly, it is to understand how the cleaning affects the...