=+B. Suppose that all restaurants are employing the production function f1,,k,c2 5 30, 0.4k 0.4c where ,
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=+B. Suppose that all restaurants are employing the production function f1,,k,c2 5 30, 0.4k 0.4c where
, stands for weekly labor hours, k stands for weekly hours of rented capital and c stands for the entrepreneurial skill of the owner. Note that, with the exception of the c term, this is the same production technology used in exercise 14.4. The weekly demand for hamburgers in your city is, again as in exercise 14.4, x1p2 5 100,040 2 1,000p.
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Related Book For
Microeconomics An Intuitive Approach With Calculus
ISBN: 9781337335652,9781337027632
2nd Edition
Authors: Thomas Nechyba
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