Skateboards are produced according to the production function, q = 10K0.25L0.5 - L. Given that capital is fixed at 16 units in the short run, what quantity of labor is needed to produce 36 units of output?

A) L = 4
B) L = 2
C) L = 25
D) L = 16


A

Economics

You might also like to view...

Nicole's income elasticity of demand for hats is 1.5 . All else equal, this means that if her income increases by 20 percent, she will buy

a. 150 percent more hats. b. 50 percent more hats. c. 30 percent more hats. d. 20 percent more hats.

Economics

According to the Phillips curve, which fiscal policies can be used to reduce unemployment in the short run?

Economics

In a market in which the government has set a price ceiling below the equilibrium price:

A. the quantity demanded will equal quantity supplied. B. there will be excess supply. C. quantity supplied will exceed quantity demanded. D. a black market might develop.

Economics

When new technologies are applied to the production and distribution of goods and services:

A. average labor productivity decreases. B. diminishing returns to capital no longer hold. C. diminishing returns to capital still hold. D. scarcity is eliminated.

Economics