Question
For a Cobb-Douglas production function of the form: q = f(K,L) = AKL solve (a) the cost minimisation problem given wage w and rental rate
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For a Cobb-Douglas production function of the form: q = f(K,L) = AKL
solve (a) the cost minimisation problem given wage w and rental rate of capital r and (b) profit maximisation problems given wage w, the rental rate of capital r and the price of the produced good p. For what values of and the profit maxmisation problem has a solution?
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Principles Of Econometrics
Authors: R Carter Hill, William E Griffiths
3rd Edition
0471723606, 9780471723608
