Question
A firm produces a product with labor and capital as inputs. The production function is described by Q = LK . The marginal products associated
A firm produces a product with labor and capital as inputs. The production function is described byQ=LK. The marginal products associated with this production function areMPL=KandMPK=L. Letw=2 andr=2 be the prices of labor and the price of capital, respectively.
(b)Find the equation for the firm'slong-runtotal cost curve as a function of quantityQ.
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Authors: Jeffrey F Beatty, Susan S Samuelson
3rd Edition
0324537115, 9780324537116
