Question: thanks........ 1) A firm has a production function, = F ( MH, H, K) = A(MH) ' - (H - 7)2 The wage payed per

thanks........

thanks........ 1) A firm has a production function, = F ( MH,

1) A firm has a production function, = F ( MH, H, K) = A(MH) ' - (H - 7)2 The wage payed per hour is w. The firm must also pay a cost of z for each worker hired and p for each manhour worked. The firm wants to minimize the cost of producing Q. a) [20 points] What is the first order condition for the optimal choice of em- ployees and hours? b) [10 points] What is the first order condition if workers must be paid double wages for overtime for all hours worked over 8 hours? c) [10 points] What is the first order condition if workers waste the first hour of work? 2) [30 points] Explain why if an employee has to pay for his general training, he would want to do so

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