1. If the production function is f (x1, x2) =min{x1, x2}, then the conditional input demand function for x2 is

a. x2 = y

b. x2 = min {w1 , w2 }

c. x2 = x1

d. x2 = y+x1

e. None of the above

2.The marginal cost curve

a. Cuts the average total cost curve at its minimum; is lower than the average total cost when the average total cost

is increasing; is higher than the average total cost when the average total cost is decreasing.

b. Cuts the average total cost curve at its minimum; is lower than the average total cost when the average total cost

is increasing; is higher than the average total cost when the average total cost is decreasing.

c. Cuts the average total cost curve at its minimum; is lower than the average total cost when the average total cost

is decreasing; is higher than the average total cost when the average total cost is increasing.

d. Cuts the average total cost curve at its maximum; is lower than the average total cost when the average total cost

is decreasing; is higher than the average total cost when the average total cost is increasing.

e. None of the above is true.