=+d. Suppose w 5 20 and r 5 10. Determine the price p (as a function of

Question:

=+d. Suppose w 5 20 and r 5 10. Determine the price p (as a function of F) at which a firm using technology f would produce x.

, you should have derived the conditional input demands

,1w,r,x2 5 a ar bw b

b/1a1b2 a

x A

b 1/1a1b2 and k1w,r,x2 5 a bw ar b

a/1a1b2 a

x A

b 1/1a1b2

. (13.45)

The cost function was previously provided in equation (13.43).

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