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Please help me solve this question in its entirety, I'm confused on all of these things. Imagine you Work for a rm that only utilizes
Please help me solve this question in its entirety, I'm confused on all of these things.
Imagine you Work for a rm that only utilizes labor and capital as inputs and has a CBS production function: q=f(L,x)=[L%+x%]2 a. What is the MPL? What does this mean ec0n0mically? b. What is the MPK? What does this mean economically? c. What is the MRTS'? What does this mean economically? d. Does this production function have constant, increasing, or decreasing returns to scale? e. What is the short run supply function for the rm? f. What is the derived labor demand for the rm? g. What is the price elasticity of supply? What does this mean economically? h. How does supply shift when the amount of capital employed changes? What does this mean economically? i. What is the price elasticityr of labor demand? What does this mean economically? j. How does derived labor demand change when the price of labor changes? What does this mean economicallyStep by Step Solution
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