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Badgett's Gadgets produces gadgets with the production function, y= co, , where a is the quantity of labor input, r2 is the quantity of capital
Badgett's Gadgets produces gadgets with the production function, y= co, , where a is the quantity of labor input, r2 is the quantity of capital input, and y is the quantity of output. In the short run, Badgett's capital input is fixed at x, = 8, and so its short run production function is y = x/(8) /3 =2x/3. The per-unit price of labor input is w1 = 20 and the per- unit price of capital input is w2 = 40. What is Badgett's short run conditional demand function for labor input, a1, given that ? = 8 in the short run? = 24 O = 1 O O
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