6- Costs End of Chapter Problem

a.Suppose that a firm has the Cobb-Douglas production function

Q=12K^0.75L^0.25. Because this function exhibits _______________returns to scale, the long-run average cost curve is__________________, whereas the long-run total cost curve is upward-sloping, with _________________slope.

b.Now suppose that the firm's production function isQ = KL. Because this function exhibits______________returns to scale, the long-run average cost curve is_________________, whereas the long-run total cost curve is upward-sloping, with_________________slope.