Question: Suppose that the production function is f ( x 1 , x 2 ) = ( x 1 ) 1 3 ( x 2 )
Suppose that the production function is
fx xx
x
a Write the expression for the marginal product of input x
b What is the marginal rate of technical substitution between x and x
c Does this production function have diminishing rate of technical substitution?
d Does the production function exhibit decreasing, constant, or increasing returns to
scale?
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