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In a relationship among total, average and marginal products, where TP is maximized:
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- give me an example of marginal analysiss in a tableSuppose a soap-manufacturing production process is described by the following equation: Y = a + b log K + с log L Where, Y= Output (number of soaps produced) K=Capital L=Labor a, b and c are constants Suppose 0<a<1, 0< b<1 a. Find the Marginal Product of Labor (MPL) and Marginal Product of Capital (MPK) in the production of soap b. Is MPL diminishing, increasing or constant as L increases? c. Is MPK diminishing, increasing or constant as K increases?If the form of the production function is a Cobb-Douglas function, do diminishing marginal products apply here?
- Write about the production function with two and more than two variablesWhat is the law of diminishing marginal product, In which stages of production it manifest and What is the logical justification for the law of diminishing marginalA firm can manufacture a product according to the production function:Q=F(K,L)=K^(3/4) L^(1/4).a.Calculate the average product of labour, AP_L, when the level of capital is fixed at 81 units and the firm uses 16 units of labour. How does the average product of labour change when the firm uses 256 units of labour? b.Find an expression for the marginal product of labour, MP_L, when the amount of capital is fixed at 81 units. Then, calculate the marginal product of labour for 16 and 81 units of labour. c.Suppose capital is fixed at 81 units. If the firm can sell its output at a price of $200 per unit and can hire labour at $50 per unit, how many units of labour should the firm hire in order to maximize profits?
- For each of the following production functions, compute the marginal product of capital (MPK) and the marginal product of capital (MPL). a. Q = 3K0.4 + 4L0.3 b. Q = K²/5[3/5Suppose the productionfunction is given by Q = 5K + 3L. What is the average product of capital when10 units of capital and 10 units of labor are employed? 5 8 3 30Demonstrate the law of diminishing yields on a graph by drawing the relationships on TP, AP and MP curves and describe it with a sentence.
- Among the three stages of production, until what point should one produce considering the law of diminishing marginal product?Consider the following production function: Q = (6L + 3K)¹/2 1. What is the Marginal Product of Labor (MPL)? What is the Marginal Product of Capital (MPK)? Are they diminishing? 2. What is the Average Product of Labor (APL)? What is the Average Product of Capital (MPK)? 3. What is the TRSL,K? Is the absolute value of TRSLK diminishing in L or K? 4. Are there constant, decreasing, or increasing returns to scale?Suppose the production function is given by Q= 4K + 3L What is the average product of labor when 10 units of capital and 5 units of labor are employed?