Answer these three questions. Pay special attention to the second question of the first question. Remember to draw a picture for the

(a) What does the production function measure? Why does the slope of the production function change? (Hint: draw a diagram to illustrate a production function and its slope} (b) Person A hires Person B o o odd jobs around their house and garden, and agrees to pay them $10 per hour. Person A guarantees at least 4t] hours of work per week and to pay 1.5 times the base rate (i.e. $15 per hour) for every hour worked beyond 40 hours. If B works for 45 hours this week, are wages a xed cost or a variable cost to A? Calculate A's total costs for the week. Explain your answer. (c) What is producer surplus? What information does it provide about the benets a rm receives for supplying a product in the market