Which of the following profit functions exhibits a linear production function?
A. ? = P × (3K + 4L) ? 20L ? 35K
B. ? = P × (3K0.5 + 4L0.5)1/0.2 ? 20L ? 35K
C. ? = P × min(2L, 5K) ? 20L ? 35K
D. ? = P × K0.75L0.50 ? 20L ? 35K
Answer: A
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The market supply curve is also the
A) marginal social cost curve. B) marginal value curve. C) marginal social benefit curve. D) maximum-supply-price curve.
The market for fish is perfectly competitive. So, the price elasticity of demand for fish from a single fishing boat
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