1. Consider the 'CobbDouglas' production function: we Ni) = KENS0' where a is an exogenous parameter that determines the share of output produced by each factor of production. Assume that capital and labor inputs, Kt and Nt, must be positive. (a) Compute the rst and secondorder partial derivatives with respect to each argument of production function. (b) Explain why marginal product is positive and diminishing with respect to each ar- gument ifO 1. (c) Assume that 0