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pose there are two inputs in the production function, labor and capital, and these two perfect substitutes. The existing technology permits 5 machines to do
pose there are two inputs in the production function, labor and capital, and these two perfect substitutes. The existing technology permits 5 machines to do the work of 2 1 he production function is F(E, K) = 2K + 5E. The firm wants to produce q units of o re q > 0 1s some number. Suppose the price of capital is $10 per machine per hour. V ibination of inputs will the firm use if the wage rate 1s $15 or $25 or $35 per hour
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