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2. (20 marks) Suppose a rm has two different methods of production using the same capital (i.e. same machines). Method 1 will produce using a
2. (20 marks) Suppose a rm has two different methods of production using the same capital (i.e. same machines). Method 1 will produce using a CBS production function: q = h(K, L) = (x/K+ x/Z)2 Method 2 will produce using a Cobb-Douglas production function: q=g(K,L)=4>
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