Question 2short answersMacroecon

a.Illustrate the impact of a rise in "A" on the productionfunction.

b.Now draw the MPN curve and illustrate the impact of a rise in "A" on the MPN curve.What is the economic reason for the shift in MPN? Explain providing economic reason(intuition).

c.Suppose that the production function of a Firm is NOT Cobb-Douglas, but instead lookslike this: Y = 0.2 (K + N0.5). Use calculus to derivethe MPN.