Question
Given a production function f(x 1 , x 2 ) = x 1/3 1 x 2/3 2 (a) Give an expression for the marginal product
Given a production function f(x1, x2) = x 1/31 x 2/32
(a) Give an expression for the marginal product of x1 at the point (x1, x2)
(b) Does the marginal product of x1 increase, decrease or remain constant for small increases in x1, holding x2 fixed?
(c) Does the marginal product of x2 increase, decrease or remain constant for small increases in x2, holding x1 fixed?
(d) Does an increase in the amount of x2 increase, decrease or leave unchanged the marginal product of x1?
(e) What is the technical rate of substitution between x1 and x2? (f) What type of returns to scale does this technology exhibit?
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