Question 1:Can you assume that cars are produced based on production function of Q = 5KL where Q is the number of cars, K is the number of robots used and L is the number of workers.

1.1 If we use K=10 robots and L=10 workers, how many products can be produced (if all the robots and workers used) based on the production function given above? Is this production efficient?

1.2 If we use K=10, L=10 to produce Q = 450 cars, is the production efficient?

Question 2:We should consider production in short run and long run. In the short run, quantity of labor (L) is changing, but quantity of capital (K) and others are fixed. But in the long run, all inputs are variable.

Consider the following 4 different production inputs:A) capital and equipment, B) plant size, C) labor, D) land

2.1 Which of the above production inputs are variable (changing) in the long run?

2.2. Which of the above production inputs are variable (changing) in the short run?

Question 3:If you were a producer what product or service would you produce/provide? Choose a product and tell us how you would produce it.What kind of workers will you hire for the production of your chosen product? Will you rent a space? Will you buy any equipment and material? What else is needed?