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Kayana owns a coffee shop. Her production function is where is the number of cups of coffee, Kis the number of machines and is
Kayana owns a coffee shop. Her production function is where is the number of cups of coffee, Kis the number of machines and is the number of workers. If Ke10 and L-20. the marginal rate of technical subsition 20) fewer machines and produce the same quantity of coffee and capital 010), if Kayana were to add one more worker, she could use Al that amount of labor
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