A firm produces using a Cobb-Douglas technology with production function:

y=f(x₁, x₂)=x₁^1/2x₂^3/2

Does a small increase in x₂ change the marginal product of x₁(and how?)

is the marginal product of x₂ (MP₂) increasing, decreasing or constant for small increases in x₂?

This technology demonstrates (increasing, decreasing, constant) returns to scale?

1)Increase in x₂increases MP₁; MP₂increasing; constant returns to scale

2)Increase in x₂does not change MP₁; MP₂increasing; constant returns to scale

3)Increase in x₂increases MP₁; MP₂constant; decreasing returns to scale

4)Increase in x₂does not change MP₁; MP₂increasing; increasing returns to scale

5)Increase in x₂increases MP₁; MP₂increasing; increasing returns to scale

6)Increase in x₂increases MP₁; MP₂constant; constant returns to scale