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2022 Question 2 A firm pays each worker (i.e. each unit of labour L) a wage w = 4 and pays for each computer (i.e.
2022 Question 2 A firm pays each worker (i.e. each unit of labour L) a wage w = 4 and pays for each computer (i.e. each unit of capital K) a cost of r = 2. The firm has a production function Y = min [2K, 2L] and needs to produce Y = 12. Which of the following is correct? a) The firm employs 12 workers and buys 12 computers. b) The firm buys 12 computers and hires 6 workers. c) The firm buys 6 computers and hires 12 workers. d) The firm buys 6 computers and hires 6 workers
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