Question: Suppose the total-cost function for a firm is given by C= qw?/3/3 a. Use Shephard's lemma to compute the (constant output) demand functions for
Suppose the total-cost function for a firm is given by C= qw?/3/3 a. Use Shephard's lemma to compute the (constant output) demand functions for inputs I and k. b. Use your results from part (a) to calculate the underlying production function for q.
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To solve this problem we need to use Shephards Lemma and the relationship between cost functions and production functions Part a Use Shephards lemma t... View full answer
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