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1. Given the production function of q = min (ak, BI). v is the unit price for k and w is the unit price for

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1. Given the production function of q = min (ak, BI). v is the unit price for k and w is the unit price for 1. (a). (5 points) Derive the total cost function. This should be a function of q. v and w. (b). (10 points) Derive the contingent input demand functions (i.e., the input demand functions contingent on a particular output level q) for capital k and labor fe. (c). (10 points) Derive the elasticity of k with respect to v and the elasticity of It with respect to w. (d). (5 points) Show that the sum of the two elasticities derived in (c) is 0. 2. Given the

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