School House Bakery's long run production function is Q = KL where Q is the number of loaves of bread they bake per week, K is the quantity of capital rented, and L is the quantity of labor hired. For this production function MP_L=K and MP_K=L. The weekly cost of K is $1 (r=$1) and the weekly cost of L is $3 (w=$3). See Graph A in the Graph Supplement.

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