# 4. Below are production functions that turn capital (K) and labor (L) into output. For each...   4. Below are production functions that turn capital (K) and labor (L) into output. For each of the production functions below, state and PROVE whether it is Constant/Increasing/or Decreasing Returns to scale. That is, you want to see how production changes when you increase all inputs (K.L) by a factor of a, where a > 1: (4 points each) (a) F(K,L) =KİL (b) F(K,L) = min 4K, 2L] + 20 (c) F(K,L) = 4K +3L
5. For this problem you will analyze the elasticity of substitution and the isoquant graphs for the following production function F(KL) = 2K1/2 1/2 (a) Graph the isoquant for F(K.L) that represents an output of 10. Be sure to show your work and label the axes clearly. Also, two points should be clearly labelled. pomis) 18 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 (b) What is the marginal rate of technical substitution for F? (2 points)
(c) What is the elasticity of substitution for F? (3 points)  #### Earn Coin

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• ### 1. Below are production functions that turn capital (K) and labor (L) into output. For each... 1. Below are production functions that turn capital (K) and labor (L) into output. For each of the production functions below, state and PROVE whether it is Constant/Increasing/or Decreasing Returns to scale. That is, you want to see how production changes when you increase all inputs (KL) by a factor of a, where a > 1: (3 points each) (a) F(K.L) = (b) F(KL)= min (4K, 2L + 20 (c) F(K,L) = 5K+ 10L

• ### 1. Below are production functions that turn capital (K) and labor (L) into output. For each... 1. Below are production functions that turn capital (K) and labor (L) into output. For each of the production functions below, state and PROVE whether it is Constant/Increasing/or Decreasing Returns to scale. That is, you want to see how production changes when you increase all inputs (K.L) by a factor of a, where a > 1: (3 points each) (a) F(KL)=KL (b) F(K,L) = min (4K, 22] + 20 (c) F(K,L) = 5K+10L

• ### 1. Below are production functions that turn capital (K) and labor (L) into output. For cach of th... 1. Below are production functions that turn capital (K) and labor (L) into output. For cach of the production functions below, state and PROVE whether it is Constant/Increasing/or Decreasing Returns to scale. That is, you want to see how production changes when you increase all inputs (K,L, (M)) by a factor of a, where a > 1: (3 points each) (a) F(K,L)-KİLİ+2K +3L (b) F(K, L)=min/4K, 2L1+20 (d) F(K,L,M) KL3M 1. Below are production functions that turn capital (K) and...

• ### 5. For this problem you will analyze the elasticity of substitution and the isoquant graphs for... 5. For this problem you will analyze the elasticity of substitution and the isoquant graphs for the following production function F(K.L) = 2K1/2 1/2 (a) Graph the isoquant for F(K,L) that represents an output of 10. Be sure to show your work and label the axes clearly. Also, two points should be clearly labelled. (3 points) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 (b) What is the...

• ### Below are production functions that turn capital (K) and labor (L) into output. For each of...

Below are production functions that turn capital (K) and labor (L) into output. For each of the production functions below, state and PROVE whether it is Constant/Increasing/or Decreasing Returns to scale. That is, you want to see how production changes when you increase all inputs (K,L,(M)) by a factor of α, where α > 1: (4 points each) a) F(K,L) = K^1/3*L^1/3+2K+3 b) F(K,L) = sqr(K^3+L^3) c) F(K,L) = (K^2/4+L^2/4)^2 d) F(K,L,M) = min(K,L)*M

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• ### 5. Suppose that an economy has a fixed amount L* of homogeneous labour, and a fixed amount K*of h... 5. Suppose that an economy has a fixed amount L* of homogeneous labour, and a fixed amount K*of homogeneous capital, to be used in producing outputs x and y) In an Edgeworth box having dimensions L and K* in input space, suppose the inputs are the absolute slope of the x isoquant (i.e., the marginal rate of technical substitution) is 1K/2L and the absolute slope of the y' isoquant (i.e., the marginal rate of technical substitution) İs l K/L indicate...